4-Star Stocks Poised to Pop: General Dynamics
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, defense contractor General Dynamics (NYS: GD) has earned a respected four-star ranking.
With that in mind, let's take a closer look at General Dynamics' business and see what CAPS investors are saying about the stock right now.
General Dynamics facts
Headquarters (Founded) | Falls Church, Va. (1899) |
Market Cap | $25.7 billion |
Industry | Aerospace and defense |
Trailing-12-Month Revenue | $32.1 billion |
Management | Chairman/CEO Jay Johnson |
Return on Equity (Average, Past 3 Years) | 20% |
Cash/Debt | $1.5 billion / $4.1 billion |
Dividend Yield | 2.6% |
Competitors | Boeing |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 1,357 members who have rated General Dynamics believe the stock will outperform the S&P 500 going forward.
Just last month, one of those Fools, market8, tapped the stock as a solid way to play defense:
My recommendation for a stable cash company would be General Dynamics, which is getting negative press related to politics, but has solid long-term appeal. ... I am not worried about the political hammer on defense, albeit a negative at the margin. The growth rate will remain positive even if the slope flattens out on budget cutbacks. With this company you get very stable cash flows, but my favorite part of the company is the upside the Gulfstream brand provides. Time is a critical resource for the super wealthy and business jets should have strong global demand going forward as the rising elite seek to maximize the one resource they can't buy more of.
What do you think about General Dynamics, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of General Dynamics, Lockheed, and Northrop. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
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