General Dynamics Corporation · GD · FY2025 Q3 · Calendar Q4 2025

General Dynamics Raises EPS Outlook on Strong Backlog and Aerospace Growth

General Dynamics’ Q3 analysis supports a constructive operating picture: strong aerospace and defense demand, record backlog, and raised EPS guidance point to resilient near-term execution. The thesis is tempered by government-shutdown uncertainty, unfunded-backlog conversion, supply-chain constraints, and the pace of shipbuilding margin improvement.

Reported Before market openNYSEIndustrials $89.31B market cap
90quality score

Earnings scorecard

Reported versus consensus
Reported EPS $3.88 Consensus $3.70
EPS surprise +4.9% Reported versus consensus
Reported revenue $12.91B Consensus $12.50B
Revenue surprise +3.3% Reported versus consensus

Market reaction

prior-close to event-session close
Stock move +2.7% Event window
SPY move +0.8% Same window
Abnormal move +1.9% Stock minus SPY
Volume 2.1× Versus trailing sessions
Subsequent drift -3.0% Up to 20 sessions
GDSPY benchmark

Ask FN2 about GD FY2025 Q3

Transcript, numbers and history already loaded

Free account. Your question opens in FN2 with this report's transcript and numbers attached.

Transcript intelligence

What changed

The company reported double-digit revenue and earnings growth, highlighted a record $109.9 billion defense backlog, and raised full-year EPS guidance to $15.30-$15.35. It also disclosed plans to increase capex above 2% of sales, with Q4 free cash flow expected to halve as investment rises.

Guidance delta

Management raised full-year EPS guidance to $15.30-$15.35 while planning capex above 2% of sales for shipyard productivity, tooling, and new aircraft deliveries.

Key takeaways

  • Q3 revenue and EPS were $12.9 billion and $3.88, with growth led by Aerospace.
  • Record defense backlog of $109.9 billion and a 1.5:1 book-to-bill ratio support the order pipeline.
  • Management cited strong aerospace demand, submarine programs, combat vehicles, munitions, and technology investments as growth drivers.
  • Free cash flow was robust in the quarter but is expected to halve in Q4 as capex increases.

Management priorities

  • Ramp G800 deliveries and maintain G700 sales and aerospace order flow.
  • Advance Columbia-class and Virginia-class submarine production.
  • Invest more than 2% of sales in capex, with emphasis on shipyard productivity and tooling.
  • Expand cyber, AI, and zero-trust technology offerings.

Follow GD with an agent that reads every filing, transcript, and price print. Free to start.

Try FN2 free

Earnings History

Estimate Beat Miss Match
GD REVENUE earnings history estimate and actual scatter chart 9 reported fiscal quarters and 4 future estimate-only quarters. Q1 '24 estimate $10B Q1 '24 actual $11B, beat Q2 '24 estimate $11B Q2 '24 actual $12B, beat Q3 '24 estimate $12B Q3 '24 actual $12B, match Q2 '25 estimate $12B Q2 '25 actual $13B, beat Q3 '25 estimate $12B Q3 '25 actual $13B, beat Q4 '25 estimate $14B Q4 '25 actual $14B, beat Q1 '26 estimate $13B Q1 '26 actual $13B, beat Q2 '26 estimate $14B Q2 '26 actual $14B, beat Q3 '26 estimate $14B Q4 '26 estimate $15B Q1 '27 estimate $14B Q2 '27 estimate $15B
Show 1 more >

Analyst Consensus ?

ConsensusBuy35 ratings
Bullish2057.1%
Neutral1440.0%
Bearish12.9%

Analyst 52W Price Targets

$330.09Current
$176Low
$358.71Average
$465High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Oct 5, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
Bernstein Market Perform Market PerformMaintainSep 23, 2026
UBS Neutral NeutralMaintainSep 8, 2026
Wells Fargo Overweight OverweightMaintainAug 4, 2026
TD Cowen Buy BuyMaintainJul 30, 2026
Susquehanna Positive PositiveMaintainJul 30, 2026
Show 30 more rating actions

Named analyst price targets

Upside is calculated against the persisted current price $330.09. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
BernsteinAnalyst unavailable$407$343.39 +23.3%Sep 23, 2026
UBSGavin Parsons$408$359.39 +23.6%Sep 8, 2026
BernsteinDouglas Harned$421$397.12 +27.5%Aug 10, 2026
UBSAnalyst unavailable$395$384.52 +19.7%Aug 3, 2026
Morgan StanleyKristine Liwag$465$380.54 +40.9%Jul 30, 2026
See 60 more

Track every rating change on GD the moment it posts. Free to start.

Start free

Company context

Snapshot as of publication

General Dynamics Corporation is a global leader in the aerospace and defense industry, with its operations structured across four key divisions: Aerospace, Marine Systems, Combat Systems, and Technologies. The Aerospace segment focuses on the design, production, and sale of business jets, alongside offering a full suite of aviation services including aircraft maintenance, repair, management, charter services, and ground support. Marine Systems specializes in shipbuilding for the U.S. Navy, constructing nuclear-powered submarines, surface warships, and auxiliary vessels. This division also builds various commercial ships, such as tankers and cargo carriers. Furthermore, it provides extensive maintenance, modernization, and lifecycle support, along with engineering and design services for both naval and commercial fleets.…

Historical context

All GD earnings

Industrials peers this season

Latest reports in the same sector

Latest beats and misses

Who reports next

Get the GD recap when the next report posts

One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.

Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars · 2026-10-05T02:10:46.191885+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-05T02:10:46.188942+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-05. For educational purposes only; not investment advice.