General Dynamics' Marine, Aerospace Strength Supports Growth Outlook, RBC Says

11:47 AM EST, 11/02/2026 (MT Newswires) -- General Dynamics (GD) delivered strong fiscal Q3 results as its marine and aerospace businesses continued to support a multiyear growth outlook, RBC Capital Markets said Friday in a report. The company reported Q3 earnings Friday of $4.49 per diluted share on revenue of $14.6 billion. Analysts polled by FactSet expected EPS of $4.14 on revenue of $13.7 billion. The quarter's outperformance was driven by marine systems, where revenue rose 21%, while Gulfstream aircraft deliveries and aerospace services also exceeded expectations, RBC said. The report highlighted Q3 free cash flow of $1.23 billion, and General Dynamics raised its 2026 revenue and earnings guidance following the results. Bookings in the marine and aerospace segments support an extended upcycle, though RBC said the outlook for the combat systems and technologies businesses is "less compelling." RBC raised its price target on General Dynamics stock to $400 from $360 and maintained its sector-perform rating. Price: 370.40, Change: -2.19, Percent Change: -0.59