Entering text into the input field will update the search result below

General Dynamics: Buying Quality Yield


  • General Dynamics is back on track as new aerospace orders are accelerating while other segments remain stable.
  • Investors are in a great spot to benefit from high free cash flow and the company's ability to hike dividends and engage in buybacks.
  • I remain bullish as the valuation looks good in an environment where investors are desperately looking for quality yield.

Gulfstream G-V am Bishop Airport (KBIH) Bishop, Kalifornien, USA
sierrarat/iStock via Getty Images


It's shouldn't be a surprise to a lot of readers that I'm bullish on aerospace & defense companies. Especially companies like the General Dynamics Corporation (NYSE:GD), which I have covered twice in recent history,

This article was written by

Leo Nelissen profile picture

Leo Nelissen is an analyst focusing on major economic developments related to supply chains, infrastructure, and commodities. He is a contributing author for iREIT® on Alpha.

As a member of the iREIT® on Alpha team, Leo aims to provide insightful analysis and actionable investment ideas, with a particular emphasis on dividend growth opportunities. Learn More.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

This article serves the sole purpose of adding value to the research process. Always take care of your own risk management and asset allocation.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

Comments (9)

I happen to think GD will outperform S&P 500 in next 10 years due to the valuation gap, and lower risk profile. S&P 500 benefited from the strong growth of big tech. With big tech increasing competing with each other directly and more scrutiny by government, it seems hard to maintain the margin expansion.
BM Cashflow Detective profile picture
Success consists in selling exactly the products that are in demand at the moment.

And that's exactly what General Dynamics does.

I'm long $GD

General Dynamics is still good value based on its 3y P/FCF/G ratio of 1.53.

The stocks are wonderful to hold and great to buy.
Leo Nelissen profile picture
@BM Cashflow Detective Couldn't agree more. Buy, never sell.
SteveG2020 profile picture
Just wait. Another 2-3 years we will be at war again. Was Army infantry 8yrs. We will be back to policing the world soon enough. Long GD and LMT. 🇺🇸❤️
Leo Nelissen profile picture
@SteveG2020 Thank you for your service.
Ramon_13 profile picture
@SteveG2020 long both myself
Disagree with this article? Submit your own. To report a factual error in this article, . Your feedback matters to us!

About GD

SymbolLast Price% Chg
Market Cap
Yield (TTM)
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on GD

Related Stocks

SymbolLast Price% Chg
To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.