-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We trim our 12-month target by $10 to $412, led by a P/E of 22.6x applied to our 2027E EPS, a discount to peers' average forward P/E of 24.6x but a premium relative to GD's three-year average forward P/E of 18.6x. We decrease our 2026E EPS by $0.18 to $16.77 and 2027E by $0.43 to $18.24. GD's fundamentals remain robust, with total backlog surging 48% Y/Y to $131 billion and a strong 2.1x book-to-bill ratio. Marine Systems continues to be the primary growth driver (revenue +21%), fueled by Virginia- and Columbia-class submarine programs. GD is investing heavily in shipyard capacity and munitions production to meet sustained demand. Aerospace delivered strong 15% operating margins on improved G700/G800 productivity, though Middle East conflicts moderated near-term order flow. Strong cash generation of $2.2 billion strengthens the balance sheet. Full-year 2026 EPS guide raised to $16.45-$16.55, adding confidence in execution across all segments despite ongoing supply chain management in complex defense programs.