- General Dynamics reported earnings per share (EPS) of $3.66 for the first quarter of 2025, surpassing both last year’s EPS of $2.88 and analysts’ estimates of $3.48.
- The company achieved a revenue of $12.22 billion, marking a 14% increase year-over-year, which exceeded the estimated $11.95 billion.
- The Technologies segment generated $3.43 billion in revenue, a 6.8% increase from the previous year, surpassing the estimated $3.27 billion.
- Marine Systems revenue increased by 7.7% year-over-year to $3.59 billion, higher than the estimated $3.52 billion.
- Combat Systems revenue was $2.18 billion, reflecting a 3.5% increase from the previous year and marginally beating the estimate of $2.16 billion.
- Aerospace revenue saw a significant 45% year-over-year increase, reaching $3.03 billion, above the estimated $3 billion.
- Overall operating margin improved to 10.4%, up from 9.7% last year and slightly beating the estimate of 10.2%.
- The Aerospace segment’s operating margin significantly rose to 14.3% from last year’s 12.2%, exceeding the estimated 13.7% due to enhanced manufacturing efficiencies.
- Marine Systems maintained an operating margin of 7%, meeting last year’s figure and exceeding the estimated 6.58%.
- Combat Systems maintained an operating margin of 13.4%, matching last year’s performance, albeit slightly under the estimated 14.1%.
- The Technologies segment’s operating margin increased to 9.6% from 9.2% last year, slightly above the estimated 9.23%.
- General Dynamics continues to see steady growth and improved operational performance in its defense portfolio, according to CEO Phebe Novakovic.
- The investment community shows mixed sentiment with 10 buy ratings, 17 hold ratings, and 1 sell rating.
A look at General Dynamics Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
General Dynamics Corporation, a diversified defense company with a strong position in the market, has received a mixed outlook based on the Smartkarma Smart Scores. While the company scored high in Momentum with a score of 5, indicating a positive trend in stock performance, it also achieved a solid score of 4 in Growth, highlighting its potential for expansion and future success. General Dynamics also demonstrated decent scores in Value, Dividend, and Resilience, with scores of 3 in each category, reflecting a stable financial position and a reliable dividend payout.
Overall, the outlook for General Dynamics seems promising with its strengths in Growth and Momentum, which bode well for its long-term performance. The company’s diversified portfolio of products and services in various sectors such as business aviation, combat vehicles, shipbuilding, and information systems provides a solid foundation for continued growth and success in the defense industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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