JP Morgan Decides to Downgrade General Dynamics (NYSE:GD) Stock


General Dynamics (NYSE:GD) Receives a Downgrade

General Dynamics (NYSE:GD) was downgraded by research professionals at JP Morgan from their past Overweight rating to a Neutral rating in a comprehensive report issued to investors and clients on Wednesday, 16 December.

From a total of 16 analysts covering General Dynamics Corporation (NYSE:GD) stock, 12 rate it a ”Buy”, 0 a “Sell”, and 6 a ”Hold”. This means that 67% of the ratings are positive. The highest target price is $175 while the lowest target price is $152. The mean of all analyst targets is $167.56 with a 21.04% above today’s ($137.05) stock price. General Dynamics Corporation was the topic of 11 analyst reports since July 31, 2015 according to the firm StockzIntelligence Inc. Barclays Capital upgraded shares on November 30 to “Overweight” rating. RBC Capital Markets maintained GD stock in a recent report from October 29 with “Outperform” rating. Finally, Zacks upgraded the stock to “Hold” rating in a report issued on an August 31.

Approximately 598,231 shares of stock traded hands. General Dynamics Corporation (NYSE:GD) has declined 0.70% since May 13, 2015 and is downtrending. It has outperformed by 1.92% the S&P500.

The overall sentiment of institutions has decreased to 0.89 in Q2 2015. Its down 0.06, from 0.95 in 2015Q2. The ratio dropped, as 46 institutions have sold all the shares of General Dynamics Corporation that they owned while 327 funds have taken shares off the table. 70 funds have purchased shares for the first time while 261 added to their positions. These institutions now hold 286.80 million shares or 0.91% more than the 284.23 million shares they owned in 2015Q2.

The Fund Longview Asset Management Llc currently is holding shares equating to 98.3% of its total portfolio in General Dynamics Corporation representing a total of 33.33 million shares. Another fund,Evercore Trust Company N.A., is holding a total of 24.29 million shares equating to 12.92% of their holdings. Additionally, Abrams Bison Investments Llc has a 547,000 share stake in General Dynamics Corporation which represents 8.28% of their total portfolio. The Fund, Weybosset Research & Management Llc, based out of Rhode Island, has also built up a stake in the stock, which represents a total of 6.29% of their total portfolio. Finally Newfocus Financial Group Llc, a fund which is based in the state of Washington reported a total holdings of 29,596 shares.

Insider activity is a very important aspect to track on any stock. Going back to May 6, 2015, shareholders of General Dynamics Corporation have witnessed 0 buys, and a total of 1 insider sale equating to a net activity of approximately $735,241 . Gilliland Marguerite Amy sold 4,826 shares worth approximately $735,241. Flynn Larry R sold 57,340 shares worth approximately $7.92 million. Lombardo Joseph T sold 87,630 shares worth approximately $12.31 million.

General Dynamics Corporation is an aerospace and defense firm that offers a portfolio of services and products in business aviation; combat vehicles, weapons systems and munitions; communications and information technology systems and solutions, and military and commercial shipbuilding. The company has a market cap of $43.56 billion. The Firm operates through four business groups: Aerospace, Combat Systems, Information Systems and Technology and Marine Systems. It has 15.43 P/E ratio. Aerospace group designs, makes and outfits a family of Gulfstream business-jet aircraft and provides aircraft services.

According to Zacks Investment Research, “General Dynamics Corp.’s primary businesses focus is on shipbuilding and marine systems, business aviation, information systems, and land and amphibious combat systems. Each of these businesses involves design, manufacturing and program management expertise, advanced technology, and integration of complex systems. The primary customers for the company’s businesses are the United States military, the armed forces of allied nations, other government organizations and a diverse base of corporate and industrial buyers.”