Here's Why General Dynamics (GD) is a Strong Value Stock

Core Insights - Zacks Premium offers tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum [2] Zacks Style Scores Overview - The Style Scores rate stocks from A to F, with A indicating the highest potential for outperformance [3] - The scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - The Value Score identifies undervalued stocks using metrics like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Score focuses on a company's future earnings, sales, and cash flow to identify sustainable growth opportunities [4] Momentum Score - The Momentum Score assesses price trends and earnings estimate changes to identify favorable buying opportunities [5] VGM Score - The VGM Score combines all three Style Scores to highlight stocks with the best value, growth, and momentum characteristics [6] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to simplify portfolio building, with 1 (Strong Buy) stocks achieving an average annual return of +23.81% since 1988 [7] - A large number of stocks can hold high Zacks Ranks, making the Style Scores essential for selection [8] Investment Strategy - For optimal returns, investors should focus on stocks with Zacks Rank 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks but high Style Scores may still face downward price pressure due to negative earnings outlooks [10] Company Spotlight: General Dynamics - General Dynamics Corporation is rated 3 (Hold) with a VGM Score of B and a Value Style Score of B, indicating attractive valuation metrics [11][12] - The company has a forward P/E ratio of 21.73 and a Zacks Consensus Estimate for fiscal 2025 of $15.24 per share, reflecting positive earnings revisions [12]