Stock Analysis on Net

General Dynamics Corp. (NYSE:GD)

This company has been moved to the archive! The financial data has not been updated since October 28, 2020.

Analysis of Solvency Ratios

Microsoft Excel

Solvency Ratios (Summary)

General Dynamics Corp., solvency ratios

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Debt Ratios
Debt to equity 0.88 1.06 0.35 0.35 0.32
Debt to equity (including operating lease liability) 0.99 1.06 0.35 0.35 0.32
Debt to capital 0.47 0.51 0.26 0.26 0.24
Debt to capital (including operating lease liability) 0.50 0.51 0.26 0.26 0.24
Debt to assets 0.24 0.27 0.11 0.12 0.11
Debt to assets (including operating lease liability) 0.28 0.27 0.11 0.12 0.11
Financial leverage 3.60 3.87 3.06 2.99 2.98
Coverage Ratios
Interest coverage 9.90 11.92 35.85 43.74 42.86
Fixed charge coverage 6.23 6.42 10.57 11.42 11.77

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. General Dynamics Corp. debt to equity ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. General Dynamics Corp. debt to equity ratio (including operating lease liability) deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. General Dynamics Corp. debt to capital ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. General Dynamics Corp. debt to capital ratio (including operating lease liability) deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. General Dynamics Corp. debt to assets ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. General Dynamics Corp. debt to assets ratio (including operating lease liability) deteriorated from 2017 to 2018 and from 2018 to 2019.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. General Dynamics Corp. financial leverage ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. General Dynamics Corp. interest coverage ratio deteriorated from 2017 to 2018 and from 2018 to 2019.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. General Dynamics Corp. fixed charge coverage ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Debt to Equity

General Dynamics Corp., debt to equity calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
 
Shareholders’ equity 13,577 11,732 11,435 10,976 10,738
Solvency Ratio
Debt to equity1 0.88 1.06 0.35 0.35 0.32
Benchmarks
Debt to Equity, Competitors2
Boeing Co.
Caterpillar Inc. 2.58
Eaton Corp. plc 0.52
GE Aerospace 3.21
Honeywell International Inc. 0.87
Lockheed Martin Corp. 4.05
RTX Corp. 1.04
Debt to Equity, Sector
Capital Goods 2.08
Debt to Equity, Industry
Industrials 1.86

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 11,930 ÷ 13,577 = 0.88

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. General Dynamics Corp. debt to equity ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Debt to Equity (including Operating Lease Liability)

General Dynamics Corp., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
Current operating lease liabilities 252
Noncurrent operating lease liabilities 1,251
Total debt (including operating lease liability) 13,433 12,417 3,982 3,888 3,399
 
Shareholders’ equity 13,577 11,732 11,435 10,976 10,738
Solvency Ratio
Debt to equity (including operating lease liability)1 0.99 1.06 0.35 0.35 0.32
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Boeing Co.
Caterpillar Inc. 2.62
Eaton Corp. plc 0.55
GE Aerospace 3.32
Honeywell International Inc. 0.90
Lockheed Martin Corp. 4.40
RTX Corp. 1.11
Debt to Equity (including Operating Lease Liability), Sector
Capital Goods 2.17
Debt to Equity (including Operating Lease Liability), Industry
Industrials 1.96

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Shareholders’ equity
= 13,433 ÷ 13,577 = 0.99

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. General Dynamics Corp. debt to equity ratio (including operating lease liability) deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Debt to Capital

General Dynamics Corp., debt to capital calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
Shareholders’ equity 13,577 11,732 11,435 10,976 10,738
Total capital 25,507 24,149 15,417 14,864 14,137
Solvency Ratio
Debt to capital1 0.47 0.51 0.26 0.26 0.24
Benchmarks
Debt to Capital, Competitors2
Boeing Co. 1.46
Caterpillar Inc. 0.72
Eaton Corp. plc 0.34
GE Aerospace 0.76
Honeywell International Inc. 0.46
Lockheed Martin Corp. 0.80
RTX Corp. 0.51
Debt to Capital, Sector
Capital Goods 0.68
Debt to Capital, Industry
Industrials 0.65

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to capital = Total debt ÷ Total capital
= 11,930 ÷ 25,507 = 0.47

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. General Dynamics Corp. debt to capital ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Debt to Capital (including Operating Lease Liability)

General Dynamics Corp., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
Current operating lease liabilities 252
Noncurrent operating lease liabilities 1,251
Total debt (including operating lease liability) 13,433 12,417 3,982 3,888 3,399
Shareholders’ equity 13,577 11,732 11,435 10,976 10,738
Total capital (including operating lease liability) 27,010 24,149 15,417 14,864 14,137
Solvency Ratio
Debt to capital (including operating lease liability)1 0.50 0.51 0.26 0.26 0.24
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Boeing Co. 1.43
Caterpillar Inc. 0.72
Eaton Corp. plc 0.35
GE Aerospace 0.77
Honeywell International Inc. 0.47
Lockheed Martin Corp. 0.81
RTX Corp. 0.53
Debt to Capital (including Operating Lease Liability), Sector
Capital Goods 0.68
Debt to Capital (including Operating Lease Liability), Industry
Industrials 0.66

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 13,433 ÷ 27,010 = 0.50

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. General Dynamics Corp. debt to capital ratio (including operating lease liability) deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Debt to Assets

General Dynamics Corp., debt to assets calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
 
Total assets 48,841 45,408 35,046 32,872 31,997
Solvency Ratio
Debt to assets1 0.24 0.27 0.11 0.12 0.11
Benchmarks
Debt to Assets, Competitors2
Boeing Co. 0.20
Caterpillar Inc. 0.48
Eaton Corp. plc 0.25
GE Aerospace 0.34
Honeywell International Inc. 0.27
Lockheed Martin Corp. 0.27
RTX Corp. 0.31
Debt to Assets, Sector
Capital Goods 0.31
Debt to Assets, Industry
Industrials 0.32

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to assets = Total debt ÷ Total assets
= 11,930 ÷ 48,841 = 0.24

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. General Dynamics Corp. debt to assets ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Debt to Assets (including Operating Lease Liability)

General Dynamics Corp., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Short-term debt and current portion of long-term debt 2,920 973 2 900 501
Long-term debt, excluding current portion 9,010 11,444 3,980 2,988 2,898
Total debt 11,930 12,417 3,982 3,888 3,399
Current operating lease liabilities 252
Noncurrent operating lease liabilities 1,251
Total debt (including operating lease liability) 13,433 12,417 3,982 3,888 3,399
 
Total assets 48,841 45,408 35,046 32,872 31,997
Solvency Ratio
Debt to assets (including operating lease liability)1 0.28 0.27 0.11 0.12 0.11
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Boeing Co. 0.21
Caterpillar Inc. 0.49
Eaton Corp. plc 0.27
GE Aerospace 0.35
Honeywell International Inc. 0.28
Lockheed Martin Corp. 0.29
RTX Corp. 0.33
Debt to Assets (including Operating Lease Liability), Sector
Capital Goods 0.33
Debt to Assets (including Operating Lease Liability), Industry
Industrials 0.34

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 13,433 ÷ 48,841 = 0.28

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. General Dynamics Corp. debt to assets ratio (including operating lease liability) deteriorated from 2017 to 2018 and from 2018 to 2019.

Financial Leverage

General Dynamics Corp., financial leverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Total assets 48,841 45,408 35,046 32,872 31,997
Shareholders’ equity 13,577 11,732 11,435 10,976 10,738
Solvency Ratio
Financial leverage1 3.60 3.87 3.06 2.99 2.98
Benchmarks
Financial Leverage, Competitors2
Boeing Co.
Caterpillar Inc. 5.38
Eaton Corp. plc 2.04
GE Aerospace 9.40
Honeywell International Inc. 3.17
Lockheed Martin Corp. 15.20
RTX Corp. 3.34
Financial Leverage, Sector
Capital Goods 6.65
Financial Leverage, Industry
Industrials 5.76

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 48,841 ÷ 13,577 = 3.60

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. General Dynamics Corp. financial leverage ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.

Interest Coverage

General Dynamics Corp., interest coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings 3,484 3,345 2,912 2,955 2,965
Less: Discontinued operations, net of tax (13) (107)
Add: Income tax expense 718 727 1,165 1,169 1,137
Add: Interest expense 472 374 117 99 98
Earnings before interest and tax (EBIT) 4,674 4,459 4,194 4,330 4,200
Solvency Ratio
Interest coverage1 9.90 11.92 35.85 43.74 42.86
Benchmarks
Interest Coverage, Competitors2
Boeing Co. -2.19
Caterpillar Inc. 19.62
Eaton Corp. plc 11.98
GE Aerospace 1.27
Honeywell International Inc. 22.17
Lockheed Martin Corp. 12.09
RTX Corp. 5.65
Interest Coverage, Sector
Capital Goods 4.85
Interest Coverage, Industry
Industrials 4.37

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Interest coverage = EBIT ÷ Interest expense
= 4,674 ÷ 472 = 9.90

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. General Dynamics Corp. interest coverage ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Fixed Charge Coverage

General Dynamics Corp., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings 3,484 3,345 2,912 2,955 2,965
Less: Discontinued operations, net of tax (13) (107)
Add: Income tax expense 718 727 1,165 1,169 1,137
Add: Interest expense 472 374 117 99 98
Earnings before interest and tax (EBIT) 4,674 4,459 4,194 4,330 4,200
Add: Operating lease cost 332 380 309 307 283
Earnings before fixed charges and tax 5,006 4,839 4,503 4,637 4,483
 
Interest expense 472 374 117 99 98
Operating lease cost 332 380 309 307 283
Fixed charges 804 754 426 406 381
Solvency Ratio
Fixed charge coverage1 6.23 6.42 10.57 11.42 11.77
Benchmarks
Fixed Charge Coverage, Competitors2
Boeing Co. -1.19
Caterpillar Inc. 13.01
Eaton Corp. plc 7.45
GE Aerospace 1.09
Honeywell International Inc. 14.06
Lockheed Martin Corp. 9.12
RTX Corp. 4.31
Fixed Charge Coverage, Sector
Capital Goods 3.63
Fixed Charge Coverage, Industry
Industrials 2.96

Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).

1 2019 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 5,006 ÷ 804 = 6.23

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. General Dynamics Corp. fixed charge coverage ratio deteriorated from 2017 to 2018 and from 2018 to 2019.