General Dynamics Corporation — Earnings Quality Grade F
GD · Industrials
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 17 days, change -6 days YoY
AR growth -19.2% vs revenue growth 10.1%
Revenue 10.1%, CFFO 24.5%. Cash follows revenue
Expense Quality
Inventory -5.1% vs COGS 10.5%. Normal
CapEx growth 26.7% is >2x revenue growth 10.1%
SG&A/Gross Profit = 32.6%. Normal
Gross margin 15.1%, change -0.3pp. Stable
Cash Flow Quality
CFFO/NI = 1.22. Profits backed by cash
FCF $4.0B, FCF/NI = 0.94
Accruals ratio = -1.6%. Low accruals
Cash $2.3B covers only 24% of debt $9.8B
Balance Sheet Health
Goodwill+Intangibles $22.4B = 87% of equity. Over 50%
Debt/EBITDA = 1.5x. Healthy
Other assets 4.8% vs revenue 10.1%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change 1% YoY. Normal
Manipulation Score
M-Score = -2.65 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-09