General Dynamics
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General Dynamics Corporation operates as an aerospace and defense company worldwide. The last earnings update was 69 days ago. More info.
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GD Share Price and Events
7 Day Returns
1 Year Returns
GD Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| General Dynamics (GD) | 5% | 10% | 8% | -17.9% | 31.5% | 68.5% |
| US Aerospace & Defense | 1.5% | 6.1% | 12.4% | -7.8% | 41.2% | 58.7% |
| US Market | -0.1% | 3.7% | 10.2% | 7.6% | 38.1% | 46.4% |
1 Year Return vs Industry and Market
- GD underperformed the Aerospace & Defense industry which returned -7.8% over the past year.
- GD underperformed the Market in United States of America which returned 7.6% over the past year.
GD Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
General Dynamics
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for General Dynamics.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 15 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Aerospace & Defense Unlevered Beta | Simply Wall St/ S&P Global | 0.92 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.916 (1 + (1- 21%) (23.58%)) |
1.058 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.06 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.058 * 5.96%) |
9.04% |
Discounted Cash Flow Calculation for NYSE:GD using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for General Dynamics is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9.04%) |
|
|---|---|---|---|
| 2019 | 3,687.67 | Analyst x9 | 3,382.09 |
| 2020 | 3,641.22 | Analyst x9 | 3,062.77 |
| 2021 | 4,045.20 | Analyst x5 | 3,120.61 |
| 2022 | 4,261.00 | Analyst x3 | 3,014.70 |
| 2023 | 4,449.00 | Analyst x2 | 2,886.88 |
| 2024 | 4,619.97 | Est @ 3.84% | 2,749.40 |
| 2025 | 4,782.08 | Est @ 3.51% | 2,610.06 |
| 2026 | 4,938.71 | Est @ 3.28% | 2,472.18 |
| 2027 | 5,092.38 | Est @ 3.11% | 2,337.87 |
| 2028 | 5,245.01 | Est @ 3% | 2,208.41 |
| Present value of next 10 years cash flows | $27,844.97 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $5,245.01 × (1 + 2.73%) ÷ (9.04% – 2.73%) |
$85,456.50 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $85,456.50 ÷ (1 + 9.04%)10 |
$35,981.39 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $27,844.97 + $35,981.39 |
$63,826.35 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $63,826.35 / 288.77 |
$221.03 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $221.03 |
| Current discount | Discount to share price of
$182.37
= -1 x ($182.37 - $221.03) / $221.03 |
17.5% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- General Dynamics's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- General Dynamics's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for General Dynamics's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
General Dynamics's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $11.37 |
| NYSE:GD Share Price ** | NYSE (2019-04-23) in USD | $182.37 |
| United States of America Aerospace & Defense Industry PE Ratio | Median Figure of 41 Publicly-Listed Aerospace & Defense Companies | 22.29x |
| United States of America Market PE Ratio | Median Figure of 3,080 Publicly-Listed Companies | 18.03x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of General Dynamics.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:GD Share Price ÷ EPS (both in USD) = 182.37 ÷ 11.37 |
16.04x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- General Dynamics is good value based on earnings compared to the US Aerospace & Defense industry average.
- General Dynamics is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
General Dynamics's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 16.04x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts |
6.2%per year |
| United States of America Aerospace & Defense Industry PEG Ratio | Median Figure of 34 Publicly-Listed Aerospace & Defense Companies | 1.81x |
| United States of America Market PEG Ratio | Median Figure of 2,109 Publicly-Listed Companies | 1.55x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 16.04x ÷ 6.2% |
2.59x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- General Dynamics is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
General Dynamics's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $40.73 |
| NYSE:GD Share Price * | NYSE (2019-04-23) in USD | $182.37 |
| United States of America Aerospace & Defense Industry PB Ratio | Median Figure of 56 Publicly-Listed Aerospace & Defense Companies | 2.64x |
| United States of America Market PB Ratio | Median Figure of 5,185 Publicly-Listed Companies | 1.92x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:GD Share Price ÷ Book Value per Share (both in USD) = 182.37 ÷ 40.73 |
4.48x |
* Primary Listing of General Dynamics.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- General Dynamics is overvalued based on assets compared to the US Aerospace & Defense industry average.
Value checks
We assess General Dynamics's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Aerospace & Defense industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Aerospace & Defense industry average (and greater than 0)? (1 check) General Dynamics has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
GD Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- General Dynamics's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- General Dynamics's earnings growth is positive but not above the United States of America market average.
- General Dynamics's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:GD Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts | 6.2% |
| NYSE:GD Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts | 4.6% |
| United States of America Aerospace & Defense Industry Earnings Growth Rate | Market Cap Weighted Average | 10.5% |
| United States of America Aerospace & Defense Industry Revenue Growth Rate | Market Cap Weighted Average | 5.6% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.5% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 45,699 | 5,335 | 4,541 | 2 |
| 2022-12-31 | 43,780 | 5,038 | 4,258 | 3 |
| 2021-12-31 | 42,003 | 4,985 | 4,002 | 9 |
| 2020-12-31 | 40,458 | 4,662 | 3,713 | 15 |
| 2019-12-31 | 38,558 | 4,842 | 3,417 | 15 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 36,193 | 3,128 | 3,358 |
| 2018-09-30 | 34,092 | 3,052 | 3,085 |
| 2018-07-01 | 32,578 | 3,131 | 2,985 |
| 2018-04-01 | 31,067 | 2,816 | 2,948 |
| 2017-12-31 | 30,973 | 3,836 | 2,912 |
| 2017-10-01 | 30,350 | 2,670 | 2,856 |
| 2017-07-02 | 30,427 | 2,298 | 2,823 |
| 2017-04-02 | 30,526 | 2,195 | 2,788 |
| 2016-12-31 | 30,561 | 2,109 | 2,679 |
| 2016-10-02 | 30,716 | 1,653 | 2,863 |
| 2016-07-03 | 31,053 | 1,986 | 2,865 |
| 2016-04-03 | 31,161 | 2,301 | 2,903 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
All data from General Dynamics Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 15.67 | 15.67 | 15.67 | 1.00 |
| 2022-12-31 | 14.54 | 14.54 | 14.54 | 1.00 |
| 2021-12-31 | 13.88 | 14.70 | 13.32 | 6.00 |
| 2020-12-31 | 12.86 | 13.35 | 12.35 | 9.00 |
| 2019-12-31 | 11.70 | 11.85 | 11.60 | 10.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | 11.37 |
| 2018-09-30 | 10.41 |
| 2018-07-01 | 10.05 |
| 2018-04-01 | 9.90 |
| 2017-12-31 | 9.73 |
| 2017-10-01 | 9.50 |
| 2017-07-02 | 9.35 |
| 2017-04-02 | 9.20 |
| 2016-12-31 | 8.79 |
| 2016-10-02 | 9.31 |
| 2016-07-03 | 9.22 |
| 2016-04-03 | 9.19 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess General Dynamics's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
General Dynamics has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
GD Past Performance
How has General Dynamics performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- General Dynamics's year on year earnings growth rate has been positive over the past 5 years.
- General Dynamics's 1-year earnings growth exceeds its 5-year average (15.3% vs 3.8%)
- General Dynamics's earnings growth has not exceeded the US Aerospace & Defense industry average in the past year (15.3% vs 29.2%).
Earnings and Revenue History
All data from General Dynamics Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 36,193.00 | 3,358.00 | 2,232.00 | |
| 2018-09-30 | 34,092.00 | 3,085.00 | 2,242.00 | |
| 2018-07-01 | 32,578.00 | 2,985.00 | 2,170.00 | |
| 2018-04-01 | 31,067.00 | 2,948.00 | 2,075.00 | |
| 2017-12-31 | 30,973.00 | 2,912.00 | 2,065.00 | |
| 2017-10-01 | 30,350.00 | 2,856.00 | 1,974.00 | |
| 2017-07-02 | 30,427.00 | 2,823.00 | 1,942.00 | |
| 2017-04-02 | 30,526.00 | 2,788.00 | 1,933.00 | |
| 2016-12-31 | 30,561.00 | 2,679.00 | 1,931.00 | |
| 2016-10-02 | 30,716.00 | 2,863.00 | 1,923.00 | |
| 2016-07-03 | 31,053.00 | 2,865.00 | 1,928.00 | |
| 2016-04-03 | 31,161.00 | 2,903.00 | 1,910.00 | |
| 2015-12-31 | 31,781.00 | 3,036.00 | 1,937.00 | |
| 2015-10-04 | 32,022.00 | 2,938.00 | 1,975.00 | |
| 2015-07-05 | 31,779.00 | 2,899.00 | 1,977.00 | |
| 2015-04-05 | 31,371.00 | 2,793.00 | 1,996.00 | |
| 2014-12-31 | 30,852.00 | 2,673.00 | 1,955.00 | |
| 2014-09-28 | 30,537.00 | 2,560.00 | 1,959.00 | |
| 2014-06-29 | 30,521.00 | 2,518.00 | 1,978.00 | |
| 2014-03-30 | 30,881.00 | 2,512.00 | 2,006.00 | |
| 2013-12-31 | 30,930.00 | 2,486.00 | 2,039.00 | |
| 2013-09-29 | 30,961.00 | -268.00 | 2,114.00 | |
| 2013-06-30 | 31,160.00 | -320.00 | 2,127.00 | |
| 2013-03-31 | 31,248.00 | -326.00 | 2,138.00 | |
| 2012-12-31 | 30,992.00 | -381.00 | 2,221.00 | |
| 2012-09-30 | 32,582.00 | 2,401.00 | 2,094.00 | |
| 2012-07-01 | 32,501.00 | 2,466.00 | 2,076.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Whilst General Dynamics has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.
- General Dynamics used its assets more efficiently than the US Aerospace & Defense industry average last year based on Return on Assets.
- General Dynamics's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess General Dynamics's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Aerospace & Defense industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
General Dynamics has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
GD Health
How is General Dynamics's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up General Dynamics's finances.
The net worth of a company is the difference between its assets and liabilities.
- General Dynamics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- General Dynamics's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from General Dynamics Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 11,732.00 | 12,417.00 | 963.00 |
| 2018-09-30 | 12,755.00 | 13,081.00 | 1,010.00 |
| 2018-07-01 | 11,994.00 | 14,278.00 | 1,862.00 |
| 2018-04-01 | 11,774.00 | 6,479.00 | 4,332.00 |
| 2017-12-31 | 11,435.00 | 3,982.00 | 2,983.00 |
| 2017-10-01 | 11,564.00 | 4,882.00 | 2,722.00 |
| 2017-07-02 | 10,952.00 | 3,978.00 | 1,856.00 |
| 2017-04-02 | 10,583.00 | 3,889.00 | 2,168.00 |
| 2016-12-31 | 10,301.00 | 3,888.00 | 2,334.00 |
| 2016-10-02 | 11,317.00 | 3,886.00 | 2,303.00 |
| 2016-07-03 | 10,995.00 | 3,436.00 | 1,899.00 |
| 2016-04-03 | 10,582.00 | 3,400.00 | 1,907.00 |
| 2015-12-31 | 10,738.00 | 3,399.00 | 2,785.00 |
| 2015-10-04 | 10,734.00 | 3,413.00 | 3,372.00 |
| 2015-07-05 | 11,276.00 | 3,413.00 | 4,032.00 |
| 2015-04-05 | 11,520.00 | 3,411.00 | 4,412.00 |
| 2014-12-31 | 11,829.00 | 3,893.00 | 4,888.00 |
| 2014-09-28 | 13,010.00 | 3,911.00 | 5,105.00 |
| 2014-06-29 | 13,119.00 | 3,910.00 | 3,841.00 |
| 2014-03-30 | 13,690.00 | 3,911.00 | 4,296.00 |
| 2013-12-31 | 14,501.00 | 3,909.00 | 5,301.00 |
| 2013-09-29 | 12,605.00 | 3,936.00 | 4,065.00 |
| 2013-06-30 | 11,756.00 | 3,907.00 | 3,757.00 |
| 2013-03-31 | 11,582.00 | 3,909.00 | 3,745.00 |
| 2012-12-31 | 11,390.00 | 3,909.00 | 3,296.00 |
| 2012-09-30 | 14,272.00 | 3,925.00 | 2,874.00 |
| 2012-07-01 | 13,662.00 | 3,933.00 | 2,540.00 |
- General Dynamics's level of debt (105.8%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (27% vs 105.8% today).
- Debt is well covered by operating cash flow (25.2%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 12.6x coverage).
Financial health checks
We assess General Dynamics's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) General Dynamics has a total score of 3/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
GD Dividends
What is General Dynamics's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
General Dynamics
shares you are expected to receive
$45
in your first year as a dividend.
Dividend Amount
- General Dynamics's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.4%).
- General Dynamics's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
| United States of America Aerospace & Defense Industry Average Dividend Yield | Market Cap Weighted Average of 22 Stocks | 1.9% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2008 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | ||
| 2022-12-31 | 5.26 | 1.00 |
| 2021-12-31 | 4.74 | 7.00 |
| 2020-12-31 | 4.37 | 10.00 |
| 2019-12-31 | 4.00 | 11.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-03-06 | 4.080 | 2.394 |
| 2018-12-06 | 3.720 | 2.236 |
| 2018-08-01 | 3.720 | 1.958 |
| 2018-06-06 | 3.720 | 1.918 |
| 2018-03-07 | 3.720 | 1.754 |
| 2017-12-06 | 3.360 | 1.593 |
| 2017-08-02 | 3.360 | 1.654 |
| 2017-06-07 | 3.360 | 1.677 |
| 2017-03-01 | 3.360 | 1.745 |
| 2016-12-07 | 3.040 | 1.693 |
| 2016-08-03 | 3.040 | 1.950 |
| 2016-07-27 | 3.040 | 2.059 |
| 2016-03-02 | 3.040 | 2.195 |
| 2015-12-02 | 2.760 | 2.050 |
| 2015-08-05 | 2.760 | 1.917 |
| 2015-06-03 | 2.760 | 1.910 |
| 2015-03-04 | 2.760 | 2.023 |
| 2014-12-03 | 2.480 | 1.783 |
| 2014-08-06 | 2.480 | 1.927 |
| 2014-06-04 | 2.480 | 2.101 |
| 2014-03-05 | 2.480 | 2.241 |
| 2013-12-04 | 2.240 | 2.280 |
| 2013-08-07 | 2.240 | 2.571 |
| 2013-06-05 | 2.240 | 2.763 |
| 2013-03-06 | 2.240 | 3.112 |
| 2012-12-05 | 2.040 | 2.979 |
| 2012-08-01 | 2.040 | 3.104 |
| 2012-06-07 | 2.040 | 3.180 |
| 2012-03-07 | 2.040 | 2.980 |
| 2011-12-07 | 1.880 | 2.725 |
| 2011-08-03 | 1.880 | 3.047 |
| 2011-06-01 | 1.880 | 2.635 |
| 2011-03-02 | 1.880 | 2.540 |
| 2010-12-01 | 1.680 | 2.310 |
| 2010-08-04 | 1.680 | 2.655 |
| 2010-06-02 | 1.680 | 2.696 |
| 2010-03-03 | 1.680 | 2.270 |
| 2009-12-02 | 1.520 | 2.194 |
| 2009-08-05 | 1.520 | 2.413 |
| 2009-06-03 | 1.520 | 2.737 |
| 2009-04-24 | 1.520 | 2.769 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
General Dynamics's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (3.1x coverage).
- Dividends after 3 years are expected to be well covered by earnings (3x coverage).
Income/ dividend checks
We assess General Dynamics's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can General Dynamics afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) General Dynamics has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
GD Management
CEO
| COMPENSATION | $20,720,254 |
| AGE | 60 |
| TENURE AS CEO | 6.3 years |
CEO Bio
Ms. Phebe N. Novakovic has been the Chairman and Chief Executive Officer of General Dynamics Corporation since January 1, 2013 and has been its Director since May 2012. Ms. Novakovic served as the President and Chief Operating Officer at General Dynamics Corporation from May 2, 2012 to December 2012. She served as an Executive Vice President of General Dynamics Marine Systems, Inc., from May 01, 2010 to May 2012. Ms. Novakovic served as Senior Vice President of Planning & Development at General Dynamics Corporation and General Dynamics Land Systems Inc. from July 2005 to May 1, 2010. She served as Vice President of Strategic Planning at General Dynamics Corporation from October 2002 to June 30, 2005. She served as Staff Vice President of General Dynamics Corporation from May 2002 to October 2002; Director of Strategic Planning and Development March 2001 to May 2002 and Special Assistant to the Secretary and Deputy Secretary of Defense from July 1, 1997 to March 2001 and had been a Deputy Associate Director of the Office of Management and Budget. Ms. Novakovic serves as a Director of Abbott Diabetes Care, Inc. She has been an Independent Director at Abbott Laboratories since 2010.
CEO Compensation
- Phebe's compensation has been consistent with company performance over the past year.
- Phebe's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the General Dynamics management team in years:
- The average tenure for the General Dynamics management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Phebe Novakovic
Chairman & CEO
$21M
60
6.3 yrs
Jason Aiken
Senior VP & CFO
$5M
46
5.3 yrs
John Casey
Executive Vice President of Marine Systems
$5M
63
6.9 yrs
Mark Roualet
Executive Vice President of Combat Systems
$5M
59
6.1 yrs
Kim Kuryea
Senior Vice President of Human Resources & Administration
51
2 yrs
Howard Rubel
Vice President of Investor Relations
Greg Gallopoulos
Senior VP
58
9.3 yrs
Tom Kirchmaier
Senior Vice President of Planning
61
Chris Marzilli
Executive VP of Information Technology & Mission Systems Segments
59
0.3 yrs
Dan Clare
Senior Vice President
59
Board of Directors Tenure
Average tenure and age of the General Dynamics board of directors in years:
- The tenure for the General Dynamics board of directors is about average.
Board of Directors
Phebe Novakovic
Chairman & CEO
$21M
60
6.3 yrs
Jim Crown
Lead Director
$349K
64
8.9 yrs
Bill Osborn
Independent Director
$326K
71
9.3 yrs
Rudy deLeon
Independent Director
$328K
65
4.6 yrs
Mark Malcolm
Independent Director
$324K
64
3.7 yrs
Les Lyles
Independent Director
$306K
71
15.3 yrs
Laura Schumacher
Independent Director
$298K
55
5.2 yrs
Peter Wall
Independent Director
$334K
62
2.7 yrs
Catherine Reynolds
Independent Director
$302K
60
1.9 yrs
Ward Nye
Independent Director
$155K
55
0.9 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 06. Feb 19 | Sell | Christopher Brady | Individual | 04. Feb 19 | 04. Feb 19 | -2,327 | $171.23 | $-398,448 | ||
| 11. Dec 18 | Buy | Catherine Reynolds | Individual | 07. Dec 18 | 07. Dec 18 | 600 | $167.64 | $100,585 | ||
| 30. Oct 18 | Buy | Mark Malcolm | Individual | 26. Oct 18 | 26. Oct 18 | 3,000 | $169.87 | $509,612 | ||
Management checks
We assess General Dynamics's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) General Dynamics has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
GD News
Simply Wall St News
What Investors Should Know About General Dynamics Corporation's (NYSE:GD) Financial Strength
Let’s take a look at General Dynamics’s leverage and assess its financial strength to get an idea of their ability to fund strategic acquisitions and grow through cyclical pressures. … Note that this information is centred entirely on financial health and is a high-level overview, so I encourage you to look further … View our latest analysis for General Dynamics
Simply Wall St - – Full articleEstimating The Fair Value Of General Dynamics Corporation (NYSE:GD)
I will use the Discounted Cash Flow (DCF) model! … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. … We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows
Simply Wall St - – Full articleGeneral Dynamics Corporation (NYSE:GD): Ex-Dividend Is In 2 Days
On the 10 May 2019, General Dynamics Corporation (NYSE:GD) will be paying shareholders an upcoming dividend amount of US$1.02 per share. … Is this future income a persuasive enough catalyst for investors to think about General Dynamics as an investment today? … Whenever I am looking at a potential dividend stock investment, I always check these five metrics:?
Simply Wall St - – Full articleRead This Before You Buy General Dynamics Corporation (NYSE:GD) Because Of Its P/E Ratio
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … General Dynamics has a price to earnings ratio of 14.88, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleIs Now An Opportune Moment To Examine General Dynamics Corporation (NYSE:GD)?
Today we're going to take a look at the well-established General Dynamics Corporation (NYSE:GD). … As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s take a look at General Dynamics’s outlook and value based on the most recent financial data to see if the opportunity still exists.
Simply Wall St - – Full articleShould You Worry About General Dynamics Corporation's (NYSE:GD) CEO Salary Level?
This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … How Does Phebe Novakovic's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that General Dynamics Corporation has a market cap of US$48b, and is paying total annual CEO compensation of US$22m.
Simply Wall St - – Full articleDoes General Dynamics's Share Price Gain of 52% Match Its Business Performance?
To wit, the General Dynamics share price has climbed 52% in five years, easily topping the market return of 40% (ignoring dividends). … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … During five years of share price growth, General Dynamics achieved compound earnings per share (EPS) growth of 9.9% per year.
Simply Wall St - – Full articleWhat Should We Expect From General Dynamics Corporation's (NYSE:GD) Earnings Over The Next Year?
Help shape the future of investing tools and receive a $20 prize! … On 31 December 2018, General Dynamics Corporation (NYSE:GD) announced its earnings update. … the consensus outlook from analysts appear somewhat bearish,
Simply Wall St - – Full articleWill General Dynamics Corporation's (NYSE:GD) Earnings Grow Over The Next Few Years?
Help shape the future of investing tools and you could win a $250 gift card! … In December 2018, General Dynamics Corporation (NYSE:GD) announced its most recent earnings update, whicha
Simply Wall St - – Full articleIs General Dynamics Corporation (NYSE:GD) Investing Effectively In Its Business?
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
Simply Wall St - – Full articleGD Company Info
Description
General Dynamics Corporation operates as an aerospace and defense company worldwide. It operates in five segments: Aerospace, Combat Systems, Information Technology, Mission Systems, and Marine Systems. The Aerospace segment designs, manufactures, and supports business-jet aircraft; and offers business-aviation services, including maintenance, fixed-base operation, government fleet, aircraft management, charter, and staffing services, as well as integrated aviation solutions. The Combat Systems segment engages in the design, development, production, modernization, and sustainment of combat vehicles, weapons systems, and munitions. This segment offers wheeled combat and tactical vehicles; main battle tanks and tracked combat vehicles; weapons systems, armaments, and munitions; and maintenance, logistics support, and sustainment services. The Information Technology segment provides information technology (IT), IT infrastructure modernization, and professional services, as well as cloud, cyber, software development, systems engineering, and data analytics services and solutions. The Mission Systems segment offers mission-critical C4ISR products and systems, such as space, intelligence, and cyber systems; ground systems and products; and naval, air, and electronic systems. The Marine Systems segment designs and builds nuclear-powered submarines, surface combatants, and auxiliary and combat-logistics ships for the United States Navy and Jones Act ships for commercial customers. This segment provides nuclear-powered submarines; surface combatants; auxiliary and combat-logistics ships; commercial product carriers and containerships; design and engineering support services; and maintenance, modernization, and lifecycle support services, as well as repair services for navy ships. The company was incorporated in 1952 and is headquartered in Falls Church, Virginia.
Details
| Name: | General Dynamics Corporation |
| GD | |
| Exchange: | NYSE |
| Founded: | 1952 |
| $52,662,969,945 | |
| 288,769,918 | |
| Website: | http://www.gd.com |
| Address: |
General Dynamics Corporation 2941 Fairview Park Drive, Suite 100, Falls Church, Virginia, 22042, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | GD | Common Stock | New York Stock Exchange | US | USD | 02. Jan 1968 | |
| DB | GDX | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1968 | |
| LSE | 0IUC | Common Stock | London Stock Exchange | GB | USD | 02. Jan 1968 | |
| BMV | GD * | Common Stock | Bolsa Mexicana de Valores | MX | MXN | 02. Jan 1968 | |
| BOVESPA | GDBR34 | EACH BDR REPR 1 COM STK USD1 | Bolsa de Valores de Sao Paulo | BR | BRL | 24. Aug 2015 |
Number of employees
Current staff
Industry
| Aerospace and Defense | |
| Capital Goods |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/23 23:37 |
| End of day share price update: | 2019/04/23 00:00 |
| Last estimates confirmation: | 2019/04/23 |
| Last earnings filing: | 2019/02/13 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
