Valued at a market cap of $74.1 billion, General Dynamics Corporation (GD) operates as an aerospace and defense company worldwide. Based in Reston, Virginia, the company operates through four segments: Aerospace, Marine Systems, Combat Systems, and Technologies.

Companies valued at $10 billion or more are generally labeled as “large-cap” stocks, and General Dynamics fits this criterion perfectly. The company offers a broad portfolio of products and services in business aviation, ship construction and repair, land combat vehicles, weapons systems and munitions, and technology products and services.

However, General Dynamics stock has declined 12.9% from its 52-week high of $316.90. Over the last three months, GD stock has surged 8.7%, underperforming the iShares U.S. Aerospace & Defense ETF’s (ITA) 11.2% return.

Longer term, shares of GD have gained 4.8% on a YTD basis, whereas ITA has returned 23.4%. In addition, General Dynamics stock has slipped 7.5% over the past 52 weeks, lagging behind ITA’s 31.3% rise over the same time frame. 

The stock has been trading below its 200-day moving average since mid-November last year. However, it has been trading above its 50-day moving average since March

General Dynamics’ stock fell 3.3% after the release of its mixed Q1 2025 earnings on Apr. 23. Quarterly revenue for the company stood at $12.2 billion, up 13.9% year-over-year, and surpassed the Street estimates of $12 billion. While all segments contributed to growth, revenue from the Aerospace segment surged 45.2%, significantly driving the overall increase in total revenue. The bottom line rose 27.1 % from the year-ago quarter to $3.66, exceeding the analysts' estimate of $3.47. 

Additionally, in comparison, rival The Boeing Company (BA) has surpassed GD. BA stock is up 20.6% on a YTD basis and 15.6% over the past 52 weeks.

Despite GD’s underperformance relative to its industry peers, analysts are moderately optimistic about its prospects. GD has a consensus rating of “Moderate Buy” from the 22 analysts covering the stock. As of writing, the stock is trading below the mean price target of $292.