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General Dynamics Corporation GD

Ship & Boat Building & Repairing · SIC 3730 · Vertical: Ship & Boat Building & Repairing (SIC 3730)

374.50USD+0.28% · 1 dayClose 03 Nov 2026

General Dynamics is a global aerospace and defense company with business aviation, shipbuilding, land combat vehicles and technology units. The company reports strong Navy demand for submarines and European demand for land equipment, which has lifted orders and backlog. Revenue rose 10.1% in fiscal 2025 to 52.6 billion USD, and backlog reached 136.5 billion USD at the end of the second quarter of 2026.

The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).

At the close of 03 Nov 2026, General Dynamics Corporation (GD) stock was 374.50 USD (+0.28% on the day), with market capitalisation 101.2 bn USD, P/E 24.2 on diluted EPS of 15.45 USD over the last 12 months, dividend yield 1.65%, beta 0.49, 52-week range 312.53–395.97 USD. Latest reported quarter (Q3 2026): revenue of 14.6 bn USD (+12.9% YoY), net income of 1.2 bn USD (+16.1% YoY).

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
101.2 bn USD
shares as of 04 Oct 2026
P/E (TTM)
24.2
Diluted EPS TTM 15.45 · TTM to 31 Dec 2025
E/P (TTM)
4.13%
TTM to 31 Dec 2025
Dividend yield
1.65%
DPS 12m 6.16
Beta (2y)
0.49
Volatility (1y) 23%
52-week range
312.53395.97

Price history

Loading chart…

Technical reading

RSI (14)
74.4
overbought (≥ 70)
Bollinger (20, 2)
318.00 – 377.99
in the upper half of the band · %B 0.94 · band width 17.2%
SMA 50 / 200
350.99 / 354.92
mixed trend
MACD (12, 26, 9)
6.94 / 2.61
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month+13.5%−2.0%+15.4 pp—
3 months−2.9%−2.2%−0.8 pp—
6 months+7.3%+4.3%+3.0 pp—
Year to date+11.2%+10.6%+0.7 pp—
1 year+9.5%+10.5%−0.9 pp−35.1%
3 years+54.0%+73.7%−19.7 pp−44.1%
5 years+89.0%+61.7%+27.3 pp—
Max drawdown (1y)
−17.5%
10 Aug 2026 → 07 Oct 2026
Max drawdown (5y)
−23.0%
13 Nov 2024 → 14 Feb 2025
Compound annual growth (5y)
+13.6%
S&P 500 +10.1%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q3 2026 · 04 Oct 2026

Revenue
14.6 bn USD
+12.9% YoY
Net income
1.2 bn USD
+16.1% YoY
Diluted EPS
unavailable
unavailable YoY
net / operating
8.4% / 10.5%

Quarterly margins

Quarterly statements · USD

Fiscal yearQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26Q3 '26
Revenue13.3 bn12.2 bn13.0 bn12.9 bn14.4 bn13.5 bn14.1 bn14.6 bn
Operating income1.4 bn1.3 bn1.3 bn1.3 bn1.5 bn1.4 bn1.5 bn1.5 bn
Depreciation & amortisation240.0 m223.0 m223.0 m226.0 m252.0 m232.0 m231.0 m235.0 m
Pre-tax income1.4 bn1.2 bn1.2 bn1.3 bn1.4 bn1.4 bn1.4 bn1.5 bn
Income tax220.0 m206.0 m218.0 m213.0 m256.0 m244.0 m247.0 m257.0 m
Net income1.1 bn994.0 m1.0 bn1.1 bn1.1 bn1.1 bn1.2 bn1.2 bn
Diluted EPS4.14 ≈3.66 ≈3.74 ≈3.88 ≈4.17 ≈———
Operating cash flow2.2 bn-148.0 m1.6 bn ≈2.1 bn ≈1.6 bn2.2 bn——
Capex355.0 m142.0 m198.0 m ≈212.0 m ≈609.0 m203.0 m234.0 m ≈481.0 m ≈
Dividends paid389.0 m383.0 m402.0 m403.0 m405.0 m405.0 m429.0 m429.0 m
Share repurchases1.3 bn600.0 m0 ≈0 ≈37.0 m217.0 m102.0 m ≈285.0 m ≈

≈ derived quarter (cumulative difference / share-days average)

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 100 percentile of its own 41-quarter history (min 11.0, median 18.7, max 23.0; quarters with earnings only).

Fiscal years

Fiscal year20182019202020212022202320242025
Revenue36.2 bn39.4 bn37.9 bn38.5 bn39.4 bn42.3 bn47.7 bn52.6 bn
Revenue YoY+16.9%+8.7%−3.6%+1.4%+2.4%+7.3%+12.9%+10.1%
Net income3.3 bn3.5 bn3.2 bn3.3 bn3.4 bn3.3 bn3.8 bn4.2 bn
Net income YoY+14.9%+4.2%−9.1%+2.8%+4.1%−2.2%+14.1%+11.3%
Diluted EPS11.1811.9811.0011.5512.1912.0213.6315.45
Diluted EPS YoY+16.9%+7.2%−8.2%+5.0%+5.5%−1.4%+13.4%+13.4%
net %9.2%8.9%8.4%8.5%8.6%7.8%7.9%8.0%
Free cash flow2.5 bn2.0 bn2.9 bn3.4 bn3.5 bn3.8 bn3.2 bn4.0 bn

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
2.3 bn USD
Financial debt
8.0 bn USD
Net debt
5.7 bn USD
Equity
25.6 bn USD
Total assets
57.2 bn USD
Debt / equity
0.31x
Current ratio
1.44x
ROE
17.7%
ROA
7.4%
FCF margin
7.5%

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
42.3 bn
2024
47.7 bn
2025
52.6 bn

SEC (XBRL)· 30 Jan 2026verified

Operating income
2023
4.2 bn
2024
4.8 bn
2025
5.4 bn

SEC (XBRL)· 30 Jan 2026verified

Depreciation & amortisation
2023
863.0 m
2024
886.0 m
2025
924.0 m

SEC (XBRL)· 30 Jan 2026verified

EBITDA
2023
5.1 bn ≈
2024
5.7 bn ≈
2025
6.3 bn ≈

SEC (XBRL)· 30 Jan 2026derived

Interest expense
2023
399.0 m
2024
—
2025
—

SEC (XBRL)· 08 Feb 2024verified

Pre-tax income
2023
4.0 bn
2024
4.5 bn
2025
5.1 bn

SEC (XBRL)· 30 Jan 2026verified

Income tax
2023
669.0 m
2024
758.0 m
2025
893.0 m

SEC (XBRL)· 30 Jan 2026verified

Net income
2023
3.3 bn
2024
3.8 bn
2025
4.2 bn

SEC (XBRL)· 30 Jan 2026verified

Diluted EPS
2023
12.02
2024
13.63
2025
15.45

SEC (XBRL)· 30 Jan 2026verified

Weighted average diluted shares
2023
275.7 m
2024
277.5 m
2025
272.4 m

SEC (XBRL)· 30 Jan 2026verified

Dividend per share
2023
—
2024
—
2025
5.89

SEC (XBRL)· 30 Jan 2026derived

Balance sheet · USD

Cash
2023
1.9 bn
2024
1.7 bn
2025
2.3 bn

SEC (XBRL)· 30 Jan 2026verified

Receivables
2023
3.0 bn
2024
3.0 bn
2025
2.4 bn

SEC (XBRL)· 30 Jan 2026verified

Inventories
2023
8.6 bn
2024
9.7 bn
2025
9.2 bn

SEC (XBRL)· 30 Jan 2026verified

Current assets
2023
23.6 bn
2024
24.4 bn
2025
24.2 bn

SEC (XBRL)· 30 Jan 2026verified

Property, plant & equipment, net
2023
6.2 bn
2024
6.5 bn
2025
7.5 bn

SEC (XBRL)· 30 Jan 2026verified

Goodwill
2023
20.6 bn
2024
20.6 bn
2025
21.0 bn

SEC (XBRL)· 30 Jan 2026verified

Intangibles (excl. goodwill)
2023
1.7 bn
2024
1.5 bn
2025
1.4 bn

SEC (XBRL)· 30 Jan 2026verified

Total assets
2023
54.8 bn
2024
55.9 bn
2025
57.2 bn

SEC (XBRL)· 30 Jan 2026verified

Accounts payable
2023
3.1 bn
2024
3.3 bn
2025
2.7 bn

SEC (XBRL)· 30 Jan 2026verified

Short-term debt
2023
507.0 m
2024
1.5 bn
2025
1.0 bn

SEC (XBRL)· 30 Jan 2026verified

Long-term debt
2023
8.8 bn
2024
7.3 bn
2025
7.0 bn

SEC (XBRL)· 30 Jan 2026verified

Current liabilities
2023
16.4 bn
2024
17.8 bn
2025
16.8 bn

SEC (XBRL)· 30 Jan 2026verified

Equity
2023
21.3 bn †
2024
22.1 bn †
2025
25.6 bn †

SEC (XBRL)· 30 Jan 2026verified

Shares outstanding at year end
2023
—
2024
—
2025
270.4 m

SEC (XBRL)· 30 Jan 2026verified

Cash flow · USD

Operating cash flow
2023
4.7 bn
2024
4.1 bn
2025
5.1 bn

SEC (XBRL)· 30 Jan 2026verified

Capex
2023
904.0 m
2024
916.0 m
2025
1.2 bn

SEC (XBRL)· 30 Jan 2026verified

Free cash flow
2023
3.8 bn ≈
2024
3.2 bn ≈
2025
4.0 bn ≈

SEC (XBRL)· 30 Jan 2026derived

Investing cash flow
2023
-941.0 m
2024
-953.0 m
2025
-1.3 bn

SEC (XBRL)· 30 Jan 2026verified

Financing cash flow
2023
-3.1 bn
2024
-3.4 bn
2025
-3.2 bn

SEC (XBRL)· 30 Jan 2026verified

Dividends paid
2023
1.4 bn
2024
1.5 bn
2025
1.6 bn

SEC (XBRL)· 30 Jan 2026verified

Share repurchases
2023
434.0 m
2024
1.5 bn
2025
637.0 m

SEC (XBRL)· 30 Jan 2026verified

Computed indicators

Growth

Revenue growth (YoY)
10.1%
computed by olivLawFY 2025
Revenue CAGR 3Y
10.1%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
6.7%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
11.7%
computed by olivLawFY 2025
Net income growth (YoY)
11.3%
computed by olivLawFY 2025
Net income CAGR 3Y
7.5%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
5.9%
computed by olivLawFY 2020 → FY 2025
EPS growth (YoY)
13.4%
computed by olivLawFY 2025
EPS CAGR 3Y
8.2%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
7.0%
computed by olivLawFY 2020 → FY 2025
FCF growth (YoY)
23.9%
computed by olivLawFY 2025

Profitability

Gross margin
unavailable
input data missing
EBITDA margin
12.0%
computed by olivLawTTM to 04 Oct 2026
EBIT margin
10.4%
computed by olivLawTTM to 04 Oct 2026
Net margin
8.2%
computed by olivLawTTM to 04 Oct 2026
FCF margin
10.4%
computed by olivLawTTM to 04 Oct 2026

Returns

ROE
18.0%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
ROA
7.9%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
ROIC
16.1%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
ROCE
14.2%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
Payout ratio (EPS)
39.9%
computed by olivLawTTM to 04 Oct 2026
Payout ratio (FCF)
28.3%
computed by olivLawTTM to 04 Oct 2026

Balance sheet

Net debt
2.6 bn USD
computed by olivLawbalance sheet at 04 Oct 2026
Net debt / EBITDA
0.4x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
Debt / equity
0.3x
computed by olivLawbalance sheet at 04 Oct 2026
Interest coverage
unavailable
the reported interest expense is far older than the latest period (the filer changed its XBRL tag): a stale figure is not used

Liquidity

Current ratio
1.4x
computed by olivLawbalance sheet at 04 Oct 2026
Quick ratio
0.9x
computed by olivLawbalance sheet at 04 Oct 2026
Cash ratio
0.2x
computed by olivLawbalance sheet at 04 Oct 2026

Cash

Operating cash flow
7.4 bn USD
computed by olivLawTTM to 05 Apr 2026
Capital expenditure
1.5 bn USD
computed by olivLawTTM to 04 Oct 2026
Free cash flow
5.9 bn USD
computed by olivLawTTM to 04 Oct 2026
FCF conversion
126.6%
computed by olivLawTTM to 04 Oct 2026
Cash conversion
109.0%
computed by olivLawTTM to 04 Oct 2026

Efficiency

Days sales outstanding
19 days
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
Days inventory outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
101.2 bn USD
computed by olivLawbalance sheet at 04 Oct 2026
Enterprise value
103.8 bn USD
computed by olivLawbalance sheet at 04 Oct 2026
Market cap / net income TTM
21.7x
computed by olivLawTTM to 04 Oct 2026
P/E (TTM)
21.7x
computed by olivLawTTM to 04 Oct 2026
Earnings yield
4.6%
computed by olivLawTTM to 04 Oct 2026
P/B
3.7x
computed by olivLawbalance sheet at 04 Oct 2026
P/S
1.8x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
EV/EBITDA
15.2x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
EV/EBIT
17.7x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
EV/Sales
1.8x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
P/FCF
17.2x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
FCF yield
5.8%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
Dividend yield
1.6%
computed by olivLawTTM to 04 Oct 2026
Shareholder yield (distributions)
2.3%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026

Risk

Altman Z
unavailable
input data missing

Valuation

olivLaw classification

Neutral profile

Score: 67 / 100

A scoring methodology on indicators and valuation, not investment advice.

Closing price

374.50 USD

03 Nov 2026Source: olivLaw, closing series

Market cap: 101.2 bn USD

Key indicators

Market capitalisation
101.2 bn USD
computed by olivLawbalance sheet at 04 Oct 2026
P/E (TTM)
21.7x
computed by olivLawTTM to 04 Oct 2026
P/B
3.7x
computed by olivLawbalance sheet at 04 Oct 2026
EV/EBITDA
15.2x
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
ROE
18.0%
computed by olivLawTTM to 04 Oct 2026 · balance sheet at 04 Oct 2026
Net margin
8.2%
computed by olivLawTTM to 04 Oct 2026
Revenue growth (YoY)
10.1%
computed by olivLawFY 2025
Dividend yield
1.6%
computed by olivLawTTM to 04 Oct 2026

Coverage and freshness

32/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 04 Oct 2026
Latest balance sheet date: 04 Oct 2026
Share count (cover of the latest filing), as of: 04 Oct 2026
Source: SEC (XBRL)published 30 Oct 2026
verified 2715derived 231

Score by group

  • Valuation34
  • Returns60
  • Quality100
  • Balance sheet86
  • Growth69

Estimated value range

Low
77.42
USD per share
Mid
88.81
USD per share
High
104.12
USD per share
Price: 374.50 USD
The price is above the range
Potential to the central value: -76.3% (value / price − 1)
Margin of safety: -321.7% (1 − price / value)
Agreement between methods: single method · 1 methods used · 1 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 77.42 – 104.12 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)unavailable · the reported interest expense is far older than the latest period (the filer changed its XBRL tag): a stale figure is not used
  • Peers: EV/EBITDAunavailable · not enough peers
  • Peers: P/Eunavailable · not enough peers
  • Dividend discount (DDM)77.42 – 104.12 (Mid 88.81)
Multiple comparisons use the SIC vertical: Ship & Boat Building & Repairing (SIC 3730)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Neutral profile · Score 67/100

FactorValueScoreWeight used
ROIC · Quality16.1%100 (on a fixed band)11%
Net margin · Quality8.2%100 (vs peers)7%
FCF conversion · Quality126.6%100 (on a fixed band)7%
Revenue CAGR 3Y · Growth10.1%84 (on a fixed band)9%
EPS CAGR 3Y · Growth8.2%55 (on a fixed band)9%
Net debt / EBITDA · Balance sheet0.4x100 (on a fixed band)11%
Interest coverage · Balance sheetunavailableunavailable—
Current ratio · Balance sheet1.4x52 (on a fixed band)4%
P/E (TTM) · Valuation21.7x38 (on a fixed band)11%
EV/EBITDA · Valuation15.2x0 (on a fixed band)11%
FCF yield · Valuation5.8%73 (on a fixed band)9%
Shareholder yield (distributions) · Returns2.3%33 (on a fixed band)7%
Payout ratio (FCF) · Returns28.3%100 (on a fixed band)4%

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet86/100 · 2/3 factors with a value
  • Growth69/100 · 2/2 factors with a value
  • Quality100/100 · 3/3 factors with a value
  • Returns60/100 · 2/2 factors with a value
  • Valuation34/100 · 3/3 factors with a value

Memo

GENERAL DYNAMICS CORPORATION (GD). Latest full fiscal year: 2025; data up to 2026-10-04.

Figures computed from the financial statements: revenue 52.5 bn USD in 2025; YoY growth 10.1%; net margin 8.2%; ROE 18.0%; net debt/EBITDA 0.4x.

The estimated value range is 77.42–104.12 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 88.81 USD, the price of 374.50 USD leaves a potential of -76.3% (value / price − 1) and a margin of safety of -321.7% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

olivLaw score 67/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • ROIC: 16.1%
  • Net margin: 8.2%
  • FCF conversion: 126.6%
  • Revenue CAGR 3Y: 10.1%
  • Net debt / EBITDA: 0.4x
  • FCF yield: 5.8%
  • Payout ratio (FCF): 28.3%

What contradicts it

  • EV/EBITDA: 15.2x
  • The price is above the estimated value range

Not assessed (insufficient data or a ratio without meaning): Interest coverage.

Versus the vertical median

Ship & Boat Building & Repairing (SIC 3730) · same industry (4-digit SIC) · compared with 6 companies

The size band was not applied: too few companies would have remained; the vertical includes much smaller or larger companies.

Multiples and returns vs the median

P/E
21.7x
vertical median —
EV/EBITDA
15.2x
vertical median —
P/S
1.8x
vertical median 0.4x
above median (+364.4%)
P/B
3.7x
vertical median 1.4x
above median (+160.9%)
ROE
18.0%
vertical median -0.6%
above median
Net margin
8.2%
vertical median -0.5%
above median
EBIT margin
10.4%
vertical median -0.3%
above median
Revenue YoY
10.1%
vertical median 17.2%
below median (−41.0%)
Net debt/EBITDA
0.4x
vertical median —
Dividend yield
1.6%
vertical median —

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
GDGeneral Dynamics Corporation101.2 bn21.718.0%8.2%+10.1%+10% / +54%
HIIHuntington Ingalls Industries, Inc.12.0 bn16.414.0%5.4%+8.2%−3% / +28%
MCFTMasterCraft Boat Holdings, Inc.541.6 m—-0.6%-0.5%+22.8%+20% / +11%
NXBNextBoat Inc.37.2 m—-129.3%-5.4%+21.1%−57% / unavailable
VEEETwin Vee Powercats Co.5.2 m—-62.6%-76.3%+3.0%−91% / −98%
MBUUMalibu Boats, Inc.297275.00.3%0.2%+13.3%−13% / −44%
VMARVision Marine Technologies Inc.————+45.4%−100% / −100%

1- and 3-year price returns: for GD from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
233.75
Total return -36% · Per year -36%
412.21
Total return 12% · Per year 12%
619.47
Total return 68% · Per year 68%
3 years
252.97
Total return -28% · Per year -10%
499.40
Total return 40% · Per year 12%
820.24
Total return 127% · Per year 32%
5 years
273.76
Total return -19% · Per year -4%
605.04
Total return 74% · Per year 12%
1,086.07
Total return 206% · Per year 25%
What moves the 3-year price the most
  • Exit P/E± 124.85
  • Net margin± 87.40
  • Annual revenue growth± 68.10
  • Annual dilution± 7.34

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 10-Q (30 Oct 2026), 8-K (30 Oct 2026 · results).

In brief

General Dynamics is a global aerospace and defense company with business aviation, shipbuilding, land combat vehicles and technology units. The company reports strong Navy demand for submarines and European demand for land equipment, which has lifted orders and backlog. Revenue rose 10.1% in fiscal 2025 to 52.6 billion USD 1, and backlog reached 136.5 billion USD at the end of the second quarter of 2026 3.

SWOT

Strengths

  • The company holds a leading position in nuclear submarine construction and a stable customer base anchored by U.S. government contracts 1.
  • A very large backlog gives multi-year revenue visibility 13.
  • The Gulfstream aircraft family has a strong reputation for performance and technology 1.

Weaknesses

  • Heavy dependence on a single customer, the U.S. government, exposes the company to budget and priority changes 1.
  • The Marine Systems segment has a lower operating margin than some other segments 1.
  • Reliance on single-source suppliers and semiconductors can delay production 1.

Opportunities

  • Strong demand for submarines and European land equipment could generate new contracts 1.
  • Expanding the aircraft services network could grow recurring revenue 1.
  • Partnerships with commercial and South Korean companies could open new markets 1.

Threats

  • Budget delays or government shutdowns could postpone or reduce programs 1.
  • Sanctions and trade restrictions could limit access to certain markets 2.
  • Inflationary pressures and tariffs could raise production costs 12.

Risks

  • Dependence on the U.S. governmenthigh

    Most revenue comes from the U.S. government, and reductions or reallocations of spending could affect programs.

  • Contract execution riskhigh

    Cost and schedule estimates can change, which could reduce profitability on fixed-price contracts.

  • Supply chainmedium

    Single-source suppliers and component shortages could delay deliveries and raise costs.

  • International risksmedium

    Political change, sanctions and currency movements could affect operations outside the U.S.

  • Acquisition riskslow

    Integrating acquired businesses and unidentified liabilities could affect financial results.

Investment thesis

What would need to be true (bull case)

  • A very large backlog and a book-to-bill ratio above 1 could support revenue growth over several years.
  • If margins in Aerospace and Marine Systems keep improving, overall profitability could advance.
  • Demand for business jets and services could generate stable recurring revenue.

What would break the thesis

  • If the defense budget stagnates or is redirected, major programs could be delayed or reduced.
  • Execution problems on fixed-price contracts could compress margins.
  • Supplier dependence and trade tensions could slow production and raise costs.

What to watch

  • Quarterly results and any update to 2026 guidanceQ3 2026
  • Progress of the U.S. defense budget for fiscal 20272027
  • Columbia and Virginia program progress and delivery rhythm2027

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 10-Q (30 Oct 2026), 8-K (30 Oct 2026 · results).

The business

The Aerospace segment builds Gulfstream business jets and provides maintenance and support through Jet Aviation, which runs a global network of about 30 FBO facilities 1. Marine Systems designs and builds nuclear-powered submarines for the U.S. Navy, including the Columbia and Virginia programs, and provides ship maintenance 1. Combat Systems produces combat vehicles such as the Abrams tank and Stryker, along with weapon systems and munitions 1.

Segments

Aerospace

The Aerospace segment generated 13.1 billion USD of revenue in 2025 with an operating margin of 13.3% 1. For 2026 the company expects revenue of about 13.6 billion USD and a margin of about 14% 1. Gulfstream deliveries rose to 158 aircraft in 2025 1.

Market context

U.S. defense spending remains elevated, and the administration has publicly backed further increases for fiscal 2027, which shows up in strong demand for submarines 1. In international markets, regional conflicts have increased demand for military equipment in Europe 1. In business aviation, demand for jets remains strong and the services market grows with the global installed base 1.

Constraints include supply chain pressure, the need for skilled labor and U.S. budget delays that can postpone contracts 1. Sanctions on Russia have restricted access to part of the aerospace market 2. Tariffs have had a limited effect on results so far 2.

Trends

  • Rising defense spendingtailwind

    Elevated defense budgets and administration support for further increases could sustain demand for submarines and munitions 12.

  • Business jet demandtailwind

    Strong Gulfstream orders and a growing global fleet could support production and services revenue 12.

  • Supply chain delaysheadwind

    Reliance on single sources and semiconductors could delay deliveries 1.

  • Budget uncertainty and tariffsmixed

    Budget delays, government shutdowns and tariffs could affect funding timing and margins, although the current impact is considered not material 12.

Competitive position

General Dynamics competes in defense and aerospace markets with other large contractors, particularly in submarine construction, business aviation and land vehicles 1. It holds leading positions on some programs, but competition exists especially for new contracts and export share 1.

  • Huntington Ingalls IndustriesHII

    Another major U.S. Navy shipbuilder that takes part in comparable surface combatant programs 1.

  • Lockheed MartinLMT

    A defense contractor active in combat systems and technology that draws on the same government budgets 1.

  • TextronTXT

    A business aircraft and defense systems maker that competes indirectly in the business aviation market 1.

  • Other business jet manufacturers

    Several business jet makers outside the U.S. compete with Gulfstream in long-range and large-cabin segments 1.

News & filings

In the press

The latest news item in our archive is from 13 Oct 2026; the newest SEC filing is from 30 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.

SEC filings

Sources

  1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / General Dynamics Corporation · 30 Jan 2026
  2. [2] Form 10-Q, quarter ended 2026-07-05 · SEC / General Dynamics Corporation · 29 Jul 2026
  3. [3] Form 8-K, results release (exhibit 99.1) · SEC / General Dynamics Corporation · 29 Jul 2026

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.