General Dynamics (NYSE:GD) Downgraded by Wall Street Zen to “Hold”

Wall Street Zen lowered shares of General Dynamics (NYSE:GD) from a buy rating to a hold rating in a research note issued to investors on Saturday morning.

A number of other brokerages have also weighed in on GD. JPMorgan Chase & Co. upped their target price on shares of General Dynamics from $380.00 to $385.00 and gave the stock an “overweight” rating in a research note on Friday, December 19th. Vertical Research raised General Dynamics from a “hold” rating to a “buy” rating and set a $400.00 price objective for the company in a research report on Monday, October 27th. Citigroup lifted their target price on General Dynamics from $371.00 to $389.00 and gave the company a “neutral” rating in a research report on Tuesday, January 13th. Morgan Stanley upped their price target on General Dynamics from $408.00 to $410.00 and gave the stock an “overweight” rating in a research report on Thursday. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of General Dynamics in a report on Thursday, January 22nd. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $372.32.

General Dynamics Trading Up 0.3%

NYSE:GD opened at $351.00 on Friday. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.44 and a quick ratio of 0.87. The business’s 50-day simple moving average is $347.77 and its 200-day simple moving average is $334.98. General Dynamics has a fifty-two week low of $239.20 and a fifty-two week high of $369.70. The stock has a market capitalization of $94.81 billion, a PE ratio of 22.72, a price-to-earnings-growth ratio of 1.83 and a beta of 0.41.

General Dynamics (NYSE:GD) last announced its earnings results on Wednesday, January 28th. The aerospace company reported $4.17 EPS for the quarter, topping the consensus estimate of $4.11 by $0.06. The firm had revenue of $14.38 billion for the quarter, compared to the consensus estimate of $13.77 billion. General Dynamics had a net margin of 8.01% and a return on equity of 17.57%. The business’s quarterly revenue was up 7.8% on a year-over-year basis. During the same period last year, the company posted $4.15 EPS. General Dynamics has set its FY 2026 guidance at 16.100-16.200 EPS. Sell-side analysts expect that General Dynamics will post 14.83 earnings per share for the current fiscal year.

General Dynamics Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 6th. Stockholders of record on Friday, January 16th will be given a $1.50 dividend. This represents a $6.00 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date of this dividend is Friday, January 16th. General Dynamics’s dividend payout ratio (DPR) is presently 38.83%.

Insider Buying and Selling at General Dynamics

In related news, VP David Paddock sold 20,360 shares of the stock in a transaction on Wednesday, December 17th. The stock was sold at an average price of $334.92, for a total value of $6,818,971.20. Following the sale, the vice president owned 36,644 shares in the company, valued at approximately $12,272,808.48. This represents a 35.72% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.50% of the company’s stock.

Hedge Funds Weigh In On General Dynamics

Several institutional investors and hedge funds have recently modified their holdings of GD. Dunhill Financial LLC grew its stake in General Dynamics by 620.0% in the 3rd quarter. Dunhill Financial LLC now owns 72 shares of the aerospace company’s stock valued at $25,000 after buying an additional 62 shares during the last quarter. KERR FINANCIAL PLANNING Corp bought a new stake in shares of General Dynamics during the third quarter worth approximately $25,000. Dagco Inc. acquired a new position in shares of General Dynamics in the fourth quarter valued at approximately $25,000. Halbert Hargrove Global Advisors LLC bought a new position in shares of General Dynamics during the third quarter worth approximately $26,000. Finally, Burkett Financial Services LLC lifted its holdings in General Dynamics by 650.0% during the 3rd quarter. Burkett Financial Services LLC now owns 75 shares of the aerospace company’s stock worth $26,000 after purchasing an additional 65 shares during the last quarter. 86.14% of the stock is currently owned by institutional investors and hedge funds.

More General Dynamics News

Here are the key news stories impacting General Dynamics this week:

• Positive Sentiment: Revenue and backlog beat: Q4 revenue came in at $14.38B (+7.8% YoY) and business segments (notably shipbuilding) reported strength and rising backlog — a concrete demand signal supporting future revenue. General Dynamics Can Still Shoot Higher From Here
• Positive Sentiment: Analyst support: Morgan Stanley raised its price target to $410 (overweight) and Bank of America reaffirmed a $400 buy target — analyst optimism and higher targets can underpin further upside. MarketScreener: Morgan Stanley adjusts price target
• Neutral Sentiment: Canada says Gulfstream certification “underway”: Ottawa says the certification process for certain Gulfstream jets is in progress — this reduces some near?term trade friction but leaves timing uncertainty. Canada says jet certification underway
• Neutral Sentiment: Street view remains constructive: analysts’ consensus and median price targets remain above the stock; many firms still rate GD a buy/overweight, supporting investor confidence even after mixed results. GD receives average recommendation of Moderate Buy
• Negative Sentiment: Guidance miss and EPS softness: GD set FY?2026 EPS guidance at $16.10–16.20, below street expectations (~$17.26); Q4 diluted EPS was $4.17, slightly under consensus — a near-term growth and margin concern. Annual profit forecast disappoints
• Negative Sentiment: Cash flow and spending profile: operating cash from operations fell ~28% YoY to ~$1.56B while capex jumped (~$609M), pressuring free cash flow in the near term despite higher cash balances. Quiver Quant: Q4 2025 earnings
• Negative Sentiment: Political/regulatory risk: President Trump signaled tariffs/decertification threats on Canadian-made planes until certain Gulfstream approvals occur — a potential earnings/headwind risk for GD’s Gulfstream unit if escalation continues. Trump says US to decertify, levy tariff on Canadian planes
• Negative Sentiment: Insider sales: multiple insider sell transactions over the past six months (no purchases) may concern some investors about insider sentiment/timing. Quiver Quant: insider trading breakdown

About General Dynamics

General Dynamics is a major American aerospace and defense contractor that designs, manufactures and supports a broad range of products and services for government and commercial customers worldwide. Headquartered in the United States (Reston, Virginia), the company supplies platforms and systems used by armed forces, civil authorities and private operators across multiple domains including air, land, sea and cyber.

Its principal activities span several operating businesses: a business aviation unit that develops and supports Gulfstream business jets; land systems that produce armored combat vehicles and related logistics and sustainment services; marine systems that design and construct submarines and surface ships for navies; and mission systems and information technology operations that provide command-and-control, communications, cybersecurity and systems-integration services.