General Dynamics (NYSE:GD) Issues FY 2026 Earnings Guidance

General Dynamics (NYSE:GD) updated its FY 2026 earnings guidance on Wednesday. The company provided EPS guidance of 16.100-16.200 for the period, compared to the consensus EPS estimate of 17.260. The company issued revenue guidance of $54.3 billion-$54.8 billion, compared to the consensus revenue estimate of $54.3 billion.

General Dynamics Stock Performance

NYSE GD traded down $10.86 during trading hours on Wednesday, reaching $355.76. 2,326,836 shares of the company were exchanged, compared to its average volume of 1,576,391. The stock has a market capitalization of $96.10 billion, a P/E ratio of 23.06, a P/E/G ratio of 1.80 and a beta of 0.41. The company has a quick ratio of 0.87, a current ratio of 1.40 and a debt-to-equity ratio of 0.29. General Dynamics has a 1 year low of $239.20 and a 1 year high of $369.70. The business’s 50 day simple moving average is $347.09 and its 200-day simple moving average is $334.16.

General Dynamics (NYSE:GD) last released its quarterly earnings data on Wednesday, January 28th. The aerospace company reported $4.17 EPS for the quarter, beating the consensus estimate of $4.11 by $0.06. General Dynamics had a net margin of 8.18% and a return on equity of 18.27%. The business had revenue of $14.38 billion for the quarter, compared to the consensus estimate of $13.77 billion. During the same period in the prior year, the firm earned $4.15 earnings per share. The company’s revenue was up 7.8% compared to the same quarter last year. General Dynamics has set its FY 2026 guidance at 16.100-16.200 EPS. On average, equities research analysts expect that General Dynamics will post 14.83 earnings per share for the current year.

General Dynamics Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, February 6th. Investors of record on Friday, January 16th will be given a $1.50 dividend. This represents a $6.00 annualized dividend and a dividend yield of 1.7%. The ex-dividend date is Friday, January 16th. General Dynamics’s dividend payout ratio is 38.89%.

Wall Street Analysts Forecast Growth

GD has been the subject of a number of research analyst reports. Sanford C. Bernstein reaffirmed a “market perform” rating and set a $398.00 price objective on shares of General Dynamics in a report on Monday, January 12th. Melius Research upgraded General Dynamics to a “strong-buy” rating in a research report on Tuesday, October 28th. Citigroup upped their price objective on General Dynamics from $371.00 to $389.00 and gave the stock a “neutral” rating in a report on Tuesday, January 13th. Robert W. Baird set a $390.00 target price on General Dynamics in a research report on Monday, October 27th. Finally, Susquehanna reaffirmed a “positive” rating and issued a $420.00 target price on shares of General Dynamics in a research note on Thursday, January 15th. One analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, ten have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $366.70.

Insider Activity

In related news, VP David Paddock sold 20,360 shares of the business’s stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $334.92, for a total transaction of $6,818,971.20. Following the transaction, the vice president owned 36,644 shares in the company, valued at $12,272,808.48. The trade was a 35.72% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 1.50% of the stock is owned by insiders.

Key Headlines Impacting General Dynamics

Here are the key news stories impacting General Dynamics this week:

• Positive Sentiment: Q4 results beat expectations — GAAP diluted EPS $4.17 vs. consensus $4.11 and revenue $14.38B vs. ~$13.77B; revenue grew ~7.8% year‑over‑year, showing underlying demand across businesses. General Dynamics Reports Fourth-Quarter and Full-Year 2025 Financial Results
• Positive Sentiment: Segment strength — Marine Systems and Combat Systems drove solid top‑line and orders; book‑to‑bill was strong (1.6x), and backlog stands near $118B, supporting multi‑year revenue visibility. Strong Marine Systems Performance Drives GD’s Q4 Earnings and Revenues
• Positive Sentiment: Contract wins — Company secured a significant U.S. Navy contract, reinforcing defense revenue tailwinds as defense spending remains elevated. General Dynamics Corporation (GD) Secures Major Navy Contract as Defense Spending Ramps Up
• Neutral Sentiment: Metrics vs. estimates — While headline EPS/revenue beat, some per‑unit metrics and year‑over‑year comparisons are mixed; analysts are parsing margins, cash conversion and segment trends for forward implications. General Dynamics (GD) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates
• Negative Sentiment: Tariff hit — Management disclosed absorbing a ~$41M tariff charge this quarter, which directly pressured margins and likely tempered investor enthusiasm despite the beat. Defense Giant General Dynamics Absorbs $41 Million Tariff Blow, Backlog Hits $118 Billion
• Negative Sentiment: Rising capex and supply‑chain pressure — Full‑year capital expenditures increased (~27% to $1.2B), and management flagged supply‑chain costs that can weigh on near‑term margins and free cash flow. General Dynamics Reports Fourth-Quarter and Full-Year 2025 Financial Results

Institutional Investors Weigh In On General Dynamics

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Northern Trust Corp lifted its position in General Dynamics by 35.0% during the third quarter. Northern Trust Corp now owns 3,332,917 shares of the aerospace company’s stock valued at $1,136,525,000 after buying an additional 863,392 shares during the period. AQR Capital Management LLC lifted its position in General Dynamics by 118.3% during the 3rd quarter. AQR Capital Management LLC now owns 1,663,847 shares of the aerospace company’s stock valued at $567,372,000 after acquiring an additional 901,679 shares during the period. Boston Partners boosted its stake in General Dynamics by 4.4% during the third quarter. Boston Partners now owns 1,478,713 shares of the aerospace company’s stock worth $504,742,000 after acquiring an additional 62,451 shares in the last quarter. Raymond James Financial Inc. grew its holdings in General Dynamics by 2.4% in the third quarter. Raymond James Financial Inc. now owns 809,829 shares of the aerospace company’s stock worth $276,150,000 after purchasing an additional 18,726 shares during the period. Finally, Balyasny Asset Management L.P. lifted its holdings in shares of General Dynamics by 831.1% during the third quarter. Balyasny Asset Management L.P. now owns 737,259 shares of the aerospace company’s stock valued at $251,405,000 after purchasing an additional 658,081 shares during the last quarter. 86.14% of the stock is owned by hedge funds and other institutional investors.

About General Dynamics

General Dynamics is a major American aerospace and defense contractor that designs, manufactures and supports a broad range of products and services for government and commercial customers worldwide. Headquartered in the United States (Reston, Virginia), the company supplies platforms and systems used by armed forces, civil authorities and private operators across multiple domains including air, land, sea and cyber.

Its principal activities span several operating businesses: a business aviation unit that develops and supports Gulfstream business jets; land systems that produce armored combat vehicles and related logistics and sustainment services; marine systems that design and construct submarines and surface ships for navies; and mission systems and information technology operations that provide command-and-control, communications, cybersecurity and systems-integration services.