Zacks Research Issues Optimistic Outlook for GD Earnings

General Dynamics Co. (NYSE:GD) – Research analysts at Zacks Research increased their Q1 2026 earnings per share (EPS) estimates for shares of General Dynamics in a research note issued to investors on Monday, January 13th. Zacks Research analyst R. Department now expects that the aerospace company will post earnings per share of $4.12 for the quarter, up from their prior forecast of $4.11. The consensus estimate for General Dynamics’ current full-year earnings is $13.81 per share. Zacks Research also issued estimates for General Dynamics’ Q2 2026 earnings at $2.87 EPS and Q3 2026 earnings at $4.86 EPS.

General Dynamics (NYSE:GD) last announced its earnings results on Wednesday, October 23rd. The aerospace company reported $3.35 earnings per share for the quarter, missing analysts’ consensus estimates of $3.48 by ($0.13). General Dynamics had a net margin of 7.90% and a return on equity of 16.59%. The business had revenue of $11.67 billion during the quarter, compared to analyst estimates of $11.65 billion. During the same quarter last year, the business posted $3.04 earnings per share. The business’s quarterly revenue was up 10.4% compared to the same quarter last year.

Other research analysts also recently issued research reports about the company. Royal Bank of Canada downgraded General Dynamics from an “outperform” rating to a “sector perform” rating and reduced their price objective for the stock from $330.00 to $290.00 in a report on Thursday, December 19th. TD Cowen raised General Dynamics to a “strong-buy” rating in a research note on Tuesday, October 8th. Vertical Research lowered General Dynamics from a “buy” rating to a “hold” rating and lowered their price objective for the stock from $352.00 to $290.00 in a research report on Monday, January 6th. Sanford C. Bernstein cut their target price on shares of General Dynamics from $343.00 to $331.00 and set a “market perform” rating on the stock in a research report on Thursday, October 24th. Finally, Seaport Res Ptn downgraded shares of General Dynamics from a “strong-buy” rating to a “hold” rating in a research note on Friday, October 11th. One analyst has rated the stock with a sell rating, twelve have assigned a hold rating, eight have issued a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, General Dynamics presently has a consensus rating of “Hold” and an average target price of $304.53.

General Dynamics Price Performance

Shares of GD stock opened at $266.86 on Thursday. General Dynamics has a 1 year low of $247.36 and a 1 year high of $316.90. The company has a current ratio of 1.32, a quick ratio of 0.80 and a debt-to-equity ratio of 0.32. The firm’s 50 day moving average is $273.71 and its 200-day moving average is $288.32. The firm has a market capitalization of $73.38 billion, a price-to-earnings ratio of 20.32, a PEG ratio of 1.38 and a beta of 0.61.

General Dynamics announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, December 4th that allows the company to repurchase 10,000,000 outstanding shares. This repurchase authorization allows the aerospace company to repurchase shares of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

General Dynamics Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, February 7th. Stockholders of record on Friday, January 17th will be given a dividend of $1.42 per share. This represents a $5.68 dividend on an annualized basis and a dividend yield of 2.13%. The ex-dividend date is Friday, January 17th. General Dynamics’s dividend payout ratio is currently 43.26%.

Insider Activity

In other news, VP Christopher J. Brady sold 5,540 shares of the stock in a transaction on Friday, November 22nd. The shares were sold at an average price of $280.91, for a total transaction of $1,556,241.40. Following the completion of the sale, the vice president now owns 20,296 shares of the company’s stock, valued at $5,701,349.36. This represents a 21.44 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 1.52% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On General Dynamics

A number of large investors have recently added to or reduced their stakes in the company. Fifth Third Wealth Advisors LLC boosted its position in shares of General Dynamics by 67.6% during the third quarter. Fifth Third Wealth Advisors LLC now owns 8,546 shares of the aerospace company’s stock worth $2,583,000 after buying an additional 3,448 shares during the period. Olstein Capital Management L.P. boosted its position in General Dynamics by 36.4% during the 3rd quarter. Olstein Capital Management L.P. now owns 15,000 shares of the aerospace company’s stock worth $4,533,000 after acquiring an additional 4,000 shares during the last quarter. Oppenheimer & Co. Inc. grew its stake in shares of General Dynamics by 10.0% during the 3rd quarter. Oppenheimer & Co. Inc. now owns 37,074 shares of the aerospace company’s stock worth $11,204,000 after acquiring an additional 3,363 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its position in shares of General Dynamics by 69.1% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 261,992 shares of the aerospace company’s stock worth $69,032,000 after purchasing an additional 107,095 shares in the last quarter. Finally, Lummis Asset Management LP boosted its holdings in General Dynamics by 32.6% during the third quarter. Lummis Asset Management LP now owns 10,368 shares of the aerospace company’s stock worth $3,133,000 after purchasing an additional 2,551 shares during the last quarter. Institutional investors own 86.14% of the company’s stock.

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.