General Dynamics Co. (NYSE:GD) Plans Quarterly Dividend of $1.50

General Dynamics Co. (NYSE:GD - Get Free Report) announced a quarterly dividend on Wednesday, March 5th, RTT News reports. Stockholders of record on Friday, April 11th will be given a dividend of 1.50 per share by the aerospace company on Friday, May 9th. This represents a $6.00 dividend on an annualized basis and a dividend yield of 2.21%. The ex-dividend date is Friday, April 11th. This is a 5.6% increase from General Dynamics's previous quarterly dividend of $1.42.

General Dynamics has increased its dividend payment by an average of 6.1% per year over the last three years and has increased its dividend annually for the last 33 consecutive years. General Dynamics has a dividend payout ratio of 35.8% meaning its dividend is sufficiently covered by earnings. Research analysts expect General Dynamics to earn $17.14 per share next year, which means the company should continue to be able to cover its $6.00 annual dividend with an expected future payout ratio of 35.0%.

General Dynamics Stock Performance

NYSE:GD traded up $7.27 during mid-day trading on Friday, reaching $271.82. 1,978,836 shares of the stock were exchanged, compared to its average volume of 1,795,760. The stock has a market capitalization of $73.49 billion, a P/E ratio of 19.93, a P/E/G ratio of 1.69 and a beta of 0.59. General Dynamics has a 1 year low of $239.87 and a 1 year high of $316.90. The company has a 50 day simple moving average of $257.80 and a 200-day simple moving average of $279.88. The company has a quick ratio of 0.82, a current ratio of 1.37 and a debt-to-equity ratio of 0.33.

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General Dynamics (NYSE:GD - Get Free Report) last announced its earnings results on Wednesday, January 29th. The aerospace company reported $4.15 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.29 by ($0.14). General Dynamics had a return on equity of 17.10% and a net margin of 7.93%. Analysts anticipate that General Dynamics will post 14.83 earnings per share for the current fiscal year.

Analyst Ratings Changes

GD has been the subject of several analyst reports. JPMorgan Chase & Co. reduced their price objective on General Dynamics from $307.00 to $284.00 and set an "overweight" rating for the company in a research note on Thursday, January 30th. Baird R W cut General Dynamics from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, January 14th. Susquehanna dropped their price objective on shares of General Dynamics from $315.00 to $300.00 and set a "positive" rating on the stock in a research note on Thursday, January 30th. Wells Fargo & Company raised their target price on shares of General Dynamics from $244.00 to $261.00 and gave the stock an "equal weight" rating in a research note on Friday. Finally, UBS Group lowered their target price on shares of General Dynamics from $337.00 to $281.00 and set a "neutral" rating on the stock in a report on Tuesday, January 28th. One equities research analyst has rated the stock with a sell rating, thirteen have issued a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $297.71.

General Dynamics announced that its Board of Directors has authorized a stock repurchase program on Wednesday, December 4th that allows the company to buyback 10,000,000 shares. This buyback authorization allows the aerospace company to buy shares of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board believes its shares are undervalued.

Insider Buying and Selling at General Dynamics

In related news, Director Laura J. Schumacher sold 1,796 shares of the stock in a transaction dated Friday, January 31st. The stock was sold at an average price of $255.68, for a total transaction of $459,201.28. Following the transaction, the director now directly owns 11,175 shares in the company, valued at approximately $2,857,224. This represents a 13.85 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. 1.60% of the stock is owned by insiders.

Institutional Investors Weigh In On General Dynamics

An institutional investor recently raised its position in General Dynamics stock. Brighton Jones LLC increased its position in General Dynamics Co. (NYSE:GD - Free Report) by 16.9% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 2,885 shares of the aerospace company's stock after buying an additional 417 shares during the quarter. Brighton Jones LLC's holdings in General Dynamics were worth $760,000 as of its most recent filing with the Securities and Exchange Commission. Hedge funds and other institutional investors own 86.14% of the company's stock.

About General Dynamics

General Dynamics Corporation operates as an aerospace and defense company worldwide. It operates through four segments: Aerospace, Marine Systems, Combat Systems, and Technologies. The Aerospace segment produces and sells business jets; and offers aircraft maintenance and repair, management, aircraft-on-ground support and completion, charter, staffing, and fixed-base operator services.