- General Dynamics‘ Q3 earnings per share (EPS) was $3.35, below the estimate of $3.49 but higher than last year’s $3.04.
- The company’s backlog decreased by 3.1% from last year, currently standing at $92.6 billion.
- Total revenue rose by 10% year-over-year to $11.67 billion, slightly missing the estimated $11.7 billion.
- Technologies segment revenue saw a 2% increase to $3.38 billion, surpassing the estimate of $3.3 billion.
- Marine Systems revenue jumped by 20% to $3.60 billion, beating the expected $3.3 billion.
- Combat Systems revenue was slightly down by 0.5% at $2.21 billion, but it still exceeded the forecast of $2.18 billion.
- Aerospace revenue increased by 22% to $2.48 billion, falling short of the estimated $2.96 billion.
- The operating margin stood at 10.1%, up from last year’s 10%, but below the prediction of 10.5%.
- Aerospace operating margin dropped to 12.3% from the previous 13.2%, matching the forecasted value.
- Marine Systems’ operating margin increased to 7.2% from 7%, not meeting the anticipated 7.44%.
- Combat Systems’ operating margin improved to 14.7%, surpassing both the previous year’s 13.5% and the expected 14.5%.
- Technologies segment’s operating margin was 9.7%, above the previous year’s 9.5% and estimated 9.55%.
- Analyst recommendations for General Dynamics include 18 buys and 9 holds, with no sell ratings.
General Dynamics on Smartkarma
On Smartkarma, an independent investment research network, Value Investors Club recently covered General Dynamics Corp (GD) on Friday, Jul 19, 2024. The analysis highlighted the company’s global presence in aerospace and defense, showcasing a diverse portfolio of businesses and a robust market position. With a solid financial performance boasting $42.3 billion in revenue and $3.3 billion in net income, General Dynamics also maintains a strong balance sheet with $8.2 billion in net debt. The report emphasizes the investment potential of the Gulfstream business, pointing out its $21 billion backlog, new product launches, and dominant position in the business/private jet sector.
A look at General Dynamics Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
General Dynamics Corporation, a diversified defense company, seems to have a balanced long-term outlook based on the Smartkarma Smart Scores. With consistent scores of 3 across Value, Dividend, Growth, and Resilience categories, the company portrays stability and reliability in these key areas. Additionally, scoring a 4 in Momentum indicates a promising upward trend in the company’s performance, suggesting a positive market sentiment and potential for future growth.
General Dynamics Corporation, a prominent player in the defense industry, offers a wide range of products and services including business aviation, combat vehicles, shipbuilding, and information systems. With its Smartkarma Smart Scores indicating a solid overall outlook, investors may find General Dynamics to be a steady investment option with potential for growth and resilience in the long run.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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