Yahoo Finance General Dynamics (GD) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, General Dynamics (GD) closed at $225.03, marking a +0.68% move from the previous day. This move outpaced the S&P 500's daily gain of 0.17%. At the same time, the Dow added 0.6%, and the tech-heavy Nasdaq gained 0.67%.
Prior to today's trading, shares of the defense contractor had lost 3.64% over the past month. This has lagged the Aerospace sector's loss of 3.09% and the S&P 500's gain of 0.25% in that time.
Investors will be hoping for strength from General Dynamics as it approaches its next earnings release. The company is expected to report EPS of $2.62, up 0.38% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.52 billion, up 1.39% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.74 per share and revenue of $41.15 billion, which would represent changes of +4.51% and +4.42%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for General Dynamics. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. General Dynamics is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, General Dynamics is holding a Forward P/E ratio of 17.55. This represents a no noticeable deviation compared to its industry's average Forward P/E of 17.55.
Investors should also note that GD has a PEG ratio of 2.04 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Aerospace - Defense industry currently had an average PEG ratio of 1.89 as of yesterday's close.
The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GD in the coming trading sessions, be sure to utilize Zacks.com.
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General Dynamics Corporation (GD) : Free Stock Analysis Report
