Top Bears Reasons To Sell — Vote below!

Add a New Bears Reason

Company: General Dynamics (GD)
Current price:
Headline: (100 character max)
Analysis:
Cancel
0%
agree
0 votes

  political pressure to reduce defense spending

With the pullout from Afghanistan looming and need to reduce the fed. deficit, there will be increasing pressure to reduce spending on advanced weaponry, esp. big ticket items like subs and other advanced ships.

(100 character max) Cancel
0%
agree
6 votes

  Litigation risk

If GD is unable to win an appeal in the A-12 court case, then GD and Boeing will be liable for $2.6 billion to the US Navy.

(100 character max) Cancel
33%
agree
18 votes

  Dependent on US Government contracts

About 68% of GD's sales come from the US Government, making GD dependent on the stability of the largely unpredictable fiscal responsibility of the government.

(100 character max) Cancel
23%
agree
13 votes

  Half of contracts are fixed-price

With 52% fixed price contracts and cost difficulties with GD's NASSCO shipyard, GD is more vulnerable to costly delays and possible contract terminations.

(100 character max) Cancel
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki