WallStSmart

General Dynamics Corporation (GD)vsMcGrath RentCorp (MGRC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

General Dynamics Corporation generates 5465% more annual revenue ($52.55B vs $944.24M). MGRC leads profitability with a 16.6% profit margin vs 8.0%. MGRC appears more attractively valued with a PEG of 1.18. MGRC earns a higher WallStSmart Score of 69/100 (B-).

GD

Buy

54

out of 100

Grade: C-

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

MGRC

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDSignificantly Overvalued (-25.3%)

Margin of Safety

-25.3%

Fair Value

$286.37

Current Price

$345.84

$59.47 premium

UndervaluedFair: $286.37Overvalued
MGRCSignificantly Overvalued (-26.3%)

Margin of Safety

-26.3%

Fair Value

$91.58

Current Price

$109.38

$17.80 premium

UndervaluedFair: $91.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GD2 strengths · Avg: 8.5/10
Market CapQuality
$93.11B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.95B8/10

Generating 2.0B in free cash flow

MGRC3 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.9%8/10

Strong operational efficiency at 28.9%

EPS GrowthGrowth
28.1%8/10

Earnings expanding 28.1% 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

MGRC0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : GD

The strongest argument for GD centers on Market Cap, Free Cash Flow.

Bull Case : MGRC

The strongest argument for MGRC centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 16.6% and operating margin at 28.9%. PEG of 1.18 suggests the stock is reasonably priced for its growth.

Bear Case : GD

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

Bear Case : MGRC

No major red flags identified for MGRC, but monitor valuation.

Key Dynamics to Monitor

GD profiles as a value stock while MGRC is a mature play — different risk/reward profiles.

MGRC carries more volatility with a beta of 0.48 — expect wider price swings.

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

GD generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

MGRC scores higher overall (69/100 vs 54/100), backed by strong 16.6% margins. Both earn "Strong 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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McGrath RentCorp

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

McGrath RentCorp is a business-to-business rental company in the United States and internationally. The company is headquartered in Livermore, California.

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