Bank of America Securities analyst Ronald Epstein maintained a Buy rating on General Dynamics on October 24 and set a price target of $370.00.
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Ronald Epstein has given his Buy rating due to a combination of factors including strong revenue growth and solid performance in key segments. General Dynamics reported impressive third-quarter earnings, with earnings per share surpassing expectations and significant revenue growth driven by Aerospace and Marine segments. The Aerospace division, in particular, demonstrated a remarkable 30% year-over-year increase, highlighting the company’s robust topline strength.
Additionally, the company’s backlog reached $109.9 billion, indicating strong future demand, especially in the Technologies segment. Despite slight revenue offsets in Combat Systems and Technologies, margins across all segments were near expectations, reinforcing the company’s financial stability. The overall book-to-bill ratio of 1.5x further supports the positive outlook, contributing to Epstein’s confidence in maintaining a Buy rating for General Dynamics.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $370.00 price target.
Based on the recent corporate insider activity of 123 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of GD in relation to earlier this year.