General Dynamics (NYSE:GD) Announces Quarterly Earnings Results

General Dynamics (NYSE:GD) posted its quarterly earnings results on Friday. The aerospace company reported $3.88 earnings per share for the quarter, beating the consensus estimate of $3.69 by $0.19, RTT News reports. General Dynamics had a net margin of 8.13% and a return on equity of 17.99%. The firm had revenue of $12.91 billion during the quarter, compared to the consensus estimate of $12.49 billion. During the same period in the previous year, the firm posted $3.35 earnings per share. The business’s revenue was up 10.6% compared to the same quarter last year. General Dynamics updated its FY 2025 guidance to 15.300-15.35 EPS.

General Dynamics Stock Up 2.6%

General Dynamics stock opened at $350.22 on Friday. General Dynamics has a fifty-two week low of $239.20 and a fifty-two week high of $360.50. The stock has a market cap of $94.20 billion, a PE ratio of 23.50, a price-to-earnings-growth ratio of 2.10 and a beta of 0.47. The firm’s 50-day simple moving average is $329.49 and its 200 day simple moving average is $301.72. The company has a debt-to-equity ratio of 0.32, a quick ratio of 0.83 and a current ratio of 1.36.

General Dynamics Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 14th. Investors of record on Friday, October 10th will be issued a dividend of $1.50 per share. The ex-dividend date is Friday, October 10th. This represents a $6.00 annualized dividend and a yield of 1.7%. General Dynamics’s payout ratio is 40.27%.

Insider Buying and Selling at General Dynamics

In related news, CEO Phebe N. Novakovic sold 129,090 shares of the business’s stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $313.57, for a total transaction of $40,478,751.30. Following the transaction, the chief executive officer directly owned 769,607 shares in the company, valued at approximately $241,325,666.99. The trade was a 14.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Christopher J. Brady sold 8,150 shares of the business’s stock in a transaction dated Monday, August 25th. The stock was sold at an average price of $321.18, for a total transaction of $2,617,617.00. Following the transaction, the vice president owned 22,818 shares in the company, valued at approximately $7,328,685.24. This trade represents a 26.32% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 242,460 shares of company stock valued at $76,192,291 in the last quarter. 1.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Chapman Financial Group LLC purchased a new position in General Dynamics in the second quarter valued at about $43,000. Rakuten Securities Inc. raised its position in shares of General Dynamics by 53.1% in the second quarter. Rakuten Securities Inc. now owns 173 shares of the aerospace company’s stock valued at $50,000 after purchasing an additional 60 shares during the period. Osterweis Capital Management Inc. purchased a new stake in shares of General Dynamics during the 2nd quarter valued at approximately $173,000. Sivia Capital Partners LLC purchased a new stake in shares of General Dynamics during the 2nd quarter valued at approximately $240,000. Finally, Palisade Capital Management LP purchased a new stake in shares of General Dynamics during the 2nd quarter valued at approximately $248,000. 86.14% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research firms have weighed in on GD. Susquehanna lifted their price target on shares of General Dynamics from $315.00 to $365.00 and gave the company a “positive” rating in a research note on Thursday, July 24th. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and issued a $400.00 price target on shares of General Dynamics in a research note on Wednesday, October 8th. Wall Street Zen raised shares of General Dynamics from a “hold” rating to a “buy” rating in a research note on Saturday, October 4th. JPMorgan Chase & Co. lifted their price objective on shares of General Dynamics from $284.00 to $345.00 and gave the company an “overweight” rating in a report on Thursday, July 24th. Finally, Robert W. Baird raised their price target on shares of General Dynamics from $283.00 to $350.00 and gave the company a “neutral” rating in a research report on Thursday, July 24th. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, General Dynamics presently has an average rating of “Hold” and a consensus target price of $327.44.

About General Dynamics

General Dynamics Corporation operates as an aerospace and defense company worldwide. It operates through four segments: Aerospace, Marine Systems, Combat Systems, and Technologies. The Aerospace segment produces and sells business jets; and offers aircraft maintenance and repair, management, aircraft-on-ground support and completion, charter, staffing, and fixed-base operator services.