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GD vs. GE: A Head-to-Head Stock Comparison

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Here’s a clear look at GD and GE, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolGDGE
Company NameGeneral Dynamics CorporationGE Aerospace
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryAerospace & DefenseIndustrial Conglomerates
Market Capitalization91.66 billion USD319.06 billion USD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962January 2, 1962
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of GD and GE by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

GD vs. GE: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolGDGE
5-Day Price Return5.03%0.17%
13-Week Price Return15.75%16.87%
26-Week Price Return26.44%45.06%
52-Week Price Return12.76%62.27%
Month-to-Date Return-0.07%9.31%
Year-to-Date Return29.32%80.36%
10-Day Avg. Volume1.43M4.76M
3-Month Avg. Volume1.12M5.78M
3-Month Volatility16.81%22.47%
Beta0.411.59

Profitability

Return on Equity (TTM)

GD

17.99%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

GD’s Return on Equity of 17.99% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

GE

40.51%

Industrial Conglomerates Industry

Max
21.93%
Q3
13.64%
Median
9.41%
Q1
5.80%
Min
-3.73%

GE’s Return on Equity of 40.51% is exceptionally high, placing it well beyond the typical range for the Industrial Conglomerates industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

GD vs. GE: A comparison of their Return on Equity (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Net Profit Margin (TTM)

GD

8.13%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

GD’s Net Profit Margin of 8.13% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

GE

18.64%

Industrial Conglomerates Industry

Max
26.43%
Q3
13.08%
Median
9.39%
Q1
3.21%
Min
-2.43%

A Net Profit Margin of 18.64% places GE in the upper quartile for the Industrial Conglomerates industry, signifying strong profitability and more effective cost management than most of its peers.

GD vs. GE: A comparison of their Net Profit Margin (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Operating Profit Margin (TTM)

GD

10.30%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

GD’s Operating Profit Margin of 10.30% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

GE

15.53%

Industrial Conglomerates Industry

Max
27.02%
Q3
17.23%
Median
12.90%
Q1
8.32%
Min
-3.91%

GE’s Operating Profit Margin of 15.53% is around the midpoint for the Industrial Conglomerates industry, indicating that its efficiency in managing core business operations is typical for the sector.

GD vs. GE: A comparison of their Operating Profit Margin (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Profitability at a Glance

SymbolGDGE
Return on Equity (TTM)17.99%40.51%
Return on Assets (TTM)7.21%6.22%
Net Profit Margin (TTM)8.13%18.64%
Operating Profit Margin (TTM)10.30%15.53%
Gross Profit Margin (TTM)15.40%35.97%

Financial Strength

Current Ratio (MRQ)

GD

1.36

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

GD’s Current Ratio of 1.36 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

GE

1.04

Industrial Conglomerates Industry

Max
2.40
Q3
1.69
Median
1.35
Q1
1.14
Min
0.56

GE’s Current Ratio of 1.04 falls into the lower quartile for the Industrial Conglomerates industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

GD vs. GE: A comparison of their Current Ratio (MRQ) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Debt-to-Equity Ratio (MRQ)

GD

0.37

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

Falling into the lower quartile for the Aerospace & Defense industry, GD’s Debt-to-Equity Ratio of 0.37 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

GE

0.99

Industrial Conglomerates Industry

Max
2.27
Q3
1.49
Median
0.91
Q1
0.63
Min
0.24

GE’s Debt-to-Equity Ratio of 0.99 is typical for the Industrial Conglomerates industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

GD vs. GE: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Interest Coverage Ratio (TTM)

GD

15.01

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

GD’s Interest Coverage Ratio of 15.01 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

GE

5.01

Industrial Conglomerates Industry

Max
19.80
Q3
10.68
Median
4.59
Q1
2.73
Min
-2.15

GE’s Interest Coverage Ratio of 5.01 is positioned comfortably within the norm for the Industrial Conglomerates industry, indicating a standard and healthy capacity to cover its interest payments.

GD vs. GE: A comparison of their Interest Coverage Ratio (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Financial Strength at a Glance

SymbolGDGE
Current Ratio (MRQ)1.361.04
Quick Ratio (MRQ)0.830.73
Debt-to-Equity Ratio (MRQ)0.370.99
Interest Coverage Ratio (TTM)15.015.01

Growth

Revenue Growth

GD vs. GE: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

GD vs. GE: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

GD

1.72%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

With a Dividend Yield of 1.72%, GD offers a more attractive income stream than most of its peers in the Aerospace & Defense industry, signaling a strong commitment to shareholder returns.

GE

0.41%

Industrial Conglomerates Industry

Max
9.82%
Q3
5.04%
Median
3.09%
Q1
1.67%
Min
0.00%

GE’s Dividend Yield of 0.41% is in the lower quartile for the Industrial Conglomerates industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

GD vs. GE: A comparison of their Dividend Yield (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Dividend Payout Ratio (TTM)

GD

38.28%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

GD’s Dividend Payout Ratio of 38.28% is within the typical range for the Aerospace & Defense industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

GE

16.78%

Industrial Conglomerates Industry

Max
182.48%
Q3
97.89%
Median
55.48%
Q1
31.63%
Min
1.76%

GE’s Dividend Payout Ratio of 16.78% is in the lower quartile for the Industrial Conglomerates industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

GD vs. GE: A comparison of their Dividend Payout Ratio (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Dividend at a Glance

SymbolGDGE
Dividend Yield (TTM)1.72%0.41%
Dividend Payout Ratio (TTM)38.28%16.78%

Valuation

Price-to-Earnings Ratio (TTM)

GD

22.29

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

In the lower quartile for the Aerospace & Defense industry, GD’s P/E Ratio of 22.29 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

GE

40.83

Industrial Conglomerates Industry

Max
45.17
Q3
25.68
Median
15.16
Q1
8.58
Min
0.79

A P/E Ratio of 40.83 places GE in the upper quartile for the Industrial Conglomerates industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

GD vs. GE: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Price-to-Sales Ratio (TTM)

GD

1.81

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

GD’s P/S Ratio of 1.81 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

GE

7.61

Industrial Conglomerates Industry

Max
4.18
Q3
2.15
Median
0.69
Q1
0.41
Min
0.09

With a P/S Ratio of 7.61, GE trades at a valuation that eclipses even the highest in the Industrial Conglomerates industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

GD vs. GE: A comparison of their Price-to-Sales Ratio (TTM) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Price-to-Book Ratio (MRQ)

GD

3.32

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

GD’s P/B Ratio of 3.32 is within the conventional range for the Aerospace & Defense industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

GE

14.26

Industrial Conglomerates Industry

Max
5.44
Q3
2.68
Median
0.97
Q1
0.52
Min
0.04

At 14.26, GE’s P/B Ratio is at an extreme premium to the Industrial Conglomerates industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GD vs. GE: A comparison of their Price-to-Book Ratio (MRQ) against their respective Aerospace & Defense and Industrial Conglomerates industry benchmarks.

Valuation at a Glance

SymbolGDGE
Price-to-Earnings Ratio (TTM)22.2940.83
Price-to-Sales Ratio (TTM)1.817.61
Price-to-Book Ratio (MRQ)3.3214.26
Price-to-Free Cash Flow Ratio (TTM)20.6457.66