The Bloomberg-listed consensus rating among the 19 analysts covering General Dynamics (GD) hasn’t changed since the beginning of the year. However, analyst ratings from RBC Capital Markets and Sterne Agee have been dropped. Both had “buy” ratings at the beginning of the year.
Currently, 13 analysts have a “buy” rating on the stock, and the rest have a “hold” rating. The average 12-month target price for GD stock declined from $165.88 at the beginning of January 2016 to $162.23 on July 28, 2016, after the 2Q16 earnings release. At a price of $147.10 on July 28, this constitutes a return potential of 10.3%.
Notable target revisions
Among the major banks (VFH), J.P. Morgan (JPM) has a “neutral” rating for military (XAR) contractor General Dynamics (GD). It has maintained its 12-month target of $157 since the beginning of the year. Credit Suisse, while maintaining its “outperform” rating, has reduced its 12-month target from $171 at the beginning of January to $164 on July 28, 2016.
Barclays (BCS), which has an “overweight” rating on the stock, increased its target from $157 at the beginning of the year to $161 on July 28. Goldman Sachs (GS), which has a “neutral” rating on the stock, has reduced its target from $151 to $149 in the same period. Buckingham Research has maintained its target of $170 since the beginning of the year and has a “buy” rating on GD stock.