Zacks Research Issues Pessimistic Forecast for GD Earnings

General Dynamics Co. (NYSE:GD) – Zacks Research lowered their Q2 2025 EPS estimates for shares of General Dynamics in a note issued to investors on Wednesday, February 19th. Zacks Research analyst R. Department now forecasts that the aerospace company will post earnings per share of $3.49 for the quarter, down from their previous forecast of $3.70. The consensus estimate for General Dynamics’ current full-year earnings is $14.83 per share. Zacks Research also issued estimates for General Dynamics’ Q1 2026 earnings at $4.54 EPS, Q4 2026 earnings at $5.06 EPS, FY2026 earnings at $16.98 EPS and FY2027 earnings at $18.27 EPS.

General Dynamics (NYSE:GD) last announced its earnings results on Wednesday, January 29th. The aerospace company reported $4.15 EPS for the quarter, missing the consensus estimate of $4.29 by ($0.14). General Dynamics had a net margin of 7.93% and a return on equity of 17.10%.

A number of other equities research analysts have also recently commented on the company. Barclays reduced their price objective on General Dynamics from $305.00 to $285.00 and set an “overweight” rating for the company in a research note on Tuesday, February 4th. Robert W. Baird restated a “neutral” rating and set a $283.00 price target (down previously from $345.00) on shares of General Dynamics in a research note on Tuesday, January 14th. Vertical Research lowered shares of General Dynamics from a “buy” rating to a “hold” rating and dropped their price objective for the company from $352.00 to $290.00 in a research note on Monday, January 6th. Wells Fargo & Company dropped their target price on shares of General Dynamics from $279.00 to $276.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 30th. Finally, Royal Bank of Canada lowered their target price on General Dynamics from $290.00 to $280.00 and set a “sector perform” rating on the stock in a research note on Thursday, January 30th. One investment analyst has rated the stock with a sell rating, twelve have issued a hold rating, seven have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat.com, General Dynamics has a consensus rating of “Hold” and an average target price of $298.59.

General Dynamics Price Performance

General Dynamics stock opened at $246.25 on Friday. The stock’s 50 day moving average price is $260.08 and its two-hundred day moving average price is $282.84. General Dynamics has a 52-week low of $239.87 and a 52-week high of $316.90. The company has a debt-to-equity ratio of 0.33, a quick ratio of 0.82 and a current ratio of 1.37. The stock has a market capitalization of $66.57 billion, a price-to-earnings ratio of 18.05, a PEG ratio of 1.68 and a beta of 0.61.

Institutional Trading of General Dynamics

Hedge funds have recently made changes to their positions in the stock. Mackenzie Financial Corp raised its position in General Dynamics by 0.9% during the fourth quarter. Mackenzie Financial Corp now owns 91,766 shares of the aerospace company’s stock valued at $24,179,000 after purchasing an additional 824 shares in the last quarter. Forum Financial Management LP raised its holdings in shares of General Dynamics by 6.6% during the 4th quarter. Forum Financial Management LP now owns 2,177 shares of the aerospace company’s stock valued at $574,000 after buying an additional 135 shares in the last quarter. Castlekeep Investment Advisors LLC bought a new stake in General Dynamics in the 4th quarter worth approximately $1,061,000. Toronto Dominion Bank boosted its stake in General Dynamics by 8.4% in the fourth quarter. Toronto Dominion Bank now owns 134,806 shares of the aerospace company’s stock worth $35,520,000 after buying an additional 10,459 shares in the last quarter. Finally, Parr Mcknight Wealth Management Group LLC bought a new position in General Dynamics during the fourth quarter valued at approximately $3,619,000. 86.14% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other General Dynamics news, Director Laura J. Schumacher sold 1,796 shares of the business’s stock in a transaction that occurred on Friday, January 31st. The shares were sold at an average price of $255.68, for a total value of $459,201.28. Following the completion of the transaction, the director now owns 11,175 shares of the company’s stock, valued at $2,857,224. The trade was a 13.85 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Corporate insiders own 1.52% of the company’s stock.

General Dynamics Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, February 7th. Investors of record on Friday, January 17th were given a dividend of $1.42 per share. This represents a $5.68 annualized dividend and a yield of 2.31%. The ex-dividend date was Friday, January 17th. General Dynamics’s payout ratio is 41.64%.

General Dynamics declared that its board has approved a stock repurchase program on Wednesday, December 4th that allows the company to buyback 10,000,000 outstanding shares. This buyback authorization allows the aerospace company to purchase shares of its stock through open market purchases. Shares buyback programs are usually a sign that the company’s board believes its stock is undervalued.

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.