WallStSmart

General Dynamics Corporation (GD)vsGates Industrial Corporation plc (GTES)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

General Dynamics Corporation generates 1426% more annual revenue ($52.55B vs $3.44B). GD leads profitability with a 8.0% profit margin vs 7.3%. GD trades at a lower P/E of 21.6x. GTES earns a higher WallStSmart Score of 58/100 (C).

GD

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 6.5Value: 4.0Quality: 7.0
Piotroski: 6/9Altman Z: 2.95

GTES

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 4.3Quality: 7.5
Piotroski: 6/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDSignificantly Overvalued (-25.5%)

Margin of Safety

-25.5%

Fair Value

$285.95

Current Price

$344.30

$58.35 premium

UndervaluedFair: $285.95Overvalued
GTESSignificantly Overvalued (-20.8%)

Margin of Safety

-20.8%

Fair Value

$21.95

Current Price

$24.84

$2.89 premium

UndervaluedFair: $21.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GD1 strengths · Avg: 9.0/10
Market CapQuality
$93.11B9/10

Large-cap with strong market position

GTES2 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

EPS GrowthGrowth
36.4%8/10

Earnings expanding 36.4% YoY

Areas to Watch

GD2 concerns · Avg: 4.0/10
PEG RatioValuation
2.464/10

Expensive relative to growth rate

EPS GrowthGrowth
0.4%4/10

0.4% earnings growth

GTES4 concerns · Avg: 3.8/10
P/E RatioValuation
25.9x4/10

Moderate valuation

Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Return on EquityProfitability
7.9%3/10

ROE of 7.9% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : GD

The strongest argument for GD centers on Market Cap.

Bull Case : GTES

The strongest argument for GTES centers on Price/Book, EPS Growth.

Bear Case : GD

The primary concerns for GD are PEG Ratio, EPS Growth.

Bear Case : GTES

The primary concerns for GTES are P/E Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

GTES carries more volatility with a beta of 1.29 — expect wider price swings.

GD is growing revenue faster at 7.8% — sustainability is the question.

GD generates stronger free cash flow (952M), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GTES scores higher overall (58/100 vs 54/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

General Dynamics Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

General Dynamics Corporation (GD) is an American aerospace and defense corporation. It is headquartered in Reston, Fairfax County, Virginia.

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Gates Industrial Corporation plc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.

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