General Dynamics Lands $1.85 Billion Pentagon Deal To Bolster US Naval Strength
Written by Emily J. Thompson, Senior Investment Analyst
Source: Benzinga
Contract Announcement: General Dynamics Electric Boat has received a $1.85 billion contract adjustment from the U.S. Department of Defense to enhance submarine production, specifically for Virginia-class submarines, ensuring steady output and supporting supplier investments.
Company Impact: The funding will facilitate the acquisition of long-lead materials essential for manufacturing, reflecting the Pentagon's commitment to maintaining the Navy's underwater fleet capabilities while General Dynamics stock has seen a slight decline in premarket trading.
Analyst Views on GD
Wall Street analysts forecast GD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for GD is 386.85 USD with a low forecast of 360.00 USD and a high forecast of 410.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
7 Buy
8 Hold
0 Sell
Moderate Buy
Current: 365.830
Low
360.00
Averages
386.85
High
410.00
Current: 365.830
Low
360.00
Averages
386.85
High
410.00
About GD
General Dynamics Corporation is a global aerospace and defense company. It offers a portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions, and technology products and services. Its segments include Aerospace, Marine Systems, Combat Systems and Technologies. The Aerospace segment produces business jets and is the standard bearer in new technology aircraft, aircraft repair, customer support and custom completion services. The Marine Systems segment designs and builds nuclear-powered submarines and is engaged in surface combatant and auxiliary ship design and construction for the U.S. Navy. The Combat Systems segment manufactures land combat solutions worldwide, including wheeled and tracked combat vehicles, weapons systems and munitions. The Technologies segment provides a full spectrum of services, technologies and products to a range of military, intelligence, federal civilian and state customers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
