WallStSmart

General Dynamics Corporation (GD)vsNL Industries Inc (NL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

General Dynamics Corporation generates 33100% more annual revenue ($52.55B vs $158.28M). GD leads profitability with a 8.0% profit margin vs -23.9%. GD earns a higher WallStSmart Score of 54/100 (C-).

GD

Buy

54

out of 100

Grade: C-

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

NL

Hold

36

out of 100

Grade: F

Growth: 2.0Profit: 4.5Value: 6.0Quality: 5.0
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
NLUndervalued (+19.1%)

Margin of Safety

+19.1%

Fair Value

$7.94

Current Price

$6.00

$1.94 discount

UndervaluedFair: $7.94Overvalued

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

NL2 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Operating MarginProfitability
40.4%10/10

Strong operational efficiency at 40.4%

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

NL4 concerns · Avg: 2.3/10
Market CapQuality
$285.85M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-8.9%2/10

ROE of -8.9% — below average capital efficiency

Revenue GrowthGrowth
-1.9%2/10

Revenue declined 1.9%

EPS GrowthGrowth
-95.5%2/10

Earnings declined 95.5%

Comparative Analysis Report

WallStSmart Research

Bull Case : GD

The strongest argument for GD centers on Market Cap.

Bull Case : NL

The strongest argument for NL centers on Price/Book, Operating Margin.

Bear Case : GD

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

Bear Case : NL

The primary concerns for NL are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

GD profiles as a value stock while NL is a turnaround play — different risk/reward profiles.

GD carries more volatility with a beta of 0.39 — 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.

Bottom Line

GD scores higher overall (54/100 vs 36/100). NL offers better value entry with a 19.1% margin of safety. Both earn "Buy" and "Hold" 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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NL Industries Inc

INDUSTRIALS · SECURITY & PROTECTION SERVICES · USA

NL Industries, Inc., through its subsidiary, CompX International Inc., operates in the component products industry in the United States and internationally. The company is headquartered in Dallas, Texas.

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