RBC cuts target for General Dynamics stock to USD 360 from USD 410

Published on 10/16/2026 at 09:40 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

RBC cites supply-chain and budget risks on October 15, 2026. General Dynamics stock is EUR 299.90 at Lang & Schwarz on October 16, 2026.

Company milestones and valuation

RBC lowered its General Dynamics target to USD 360 from USD 410 on October 15, 2026.
Second-quarter 2026 revenue reached USD 14.09 billion and diluted earnings per share were USD 4.24.
General Dynamics stock traded at EUR 299.90 at 9:34 a.m. CEST at Lang & Schwarz on October 16, 2026.
Third-quarter results are scheduled for October 30, 2026, before the market opens.

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General Dynamics stock was quoted at EUR 299.90 at Lang & Schwarz on October 16, 2026, while RBC Capital lowered its price target to USD 360 from USD 410 on October 15, 2026. Markets Insider reported that analyst Ken Herbert retained a Sector Perform rating and cited supply-chain and budget risks.

RBC flags execution risks

The target cut followed RBC's review of General Dynamics after the company's 2026 AUSA showcase. The note pointed to the need for steadier Gulfstream execution and greater confidence in margin expansion, while also citing possible crowding-out of Army programs as a risk.

The latest reported quarter gives that assessment a measurable operating backdrop. For the second quarter of 2026, General Dynamics generated USD 14.09 billion in revenue, USD 1.46 billion in operating profit, USD 1.16 billion in net income and diluted earnings per share of USD 4.24, according to MarketBeat. Revenue was 8.1 percent higher than in the second quarter of 2025, according to the same report.

Three dated developments

On July 29, 2026, General Dynamics reported second-quarter revenue of USD 14.09 billion and diluted earnings per share of USD 4.24, as reported by MarketBeat. On October 7, 2026, the board elected Danny Deep as chief executive officer effective January 1, 2027, with Phebe Novakovic moving to executive chair, according to General Dynamics. On October 15, 2026, RBC cut its target to USD 360 from USD 410 while keeping Sector Perform, according to Markets Insider.

What dates matter next?

General Dynamics is scheduled to report third-quarter 2026 results on October 30, 2026, before the market opens, with a conference call scheduled for 9:00 a.m. ET, according to MarketBeat. The leadership transition is set for January 1, 2027, under the company's October 7 announcement.

Stock price and investor context

The immediate market question is whether the lower target reflects execution caution rather than a change to General Dynamics' long-term defense exposure. The company operates across Aerospace, Marine Systems, Combat Systems and Technologies, and its second-quarter operating profit reached USD 1.46 billion.

General Dynamics was trading at EUR 299.90 at Lang & Schwarz on October 16, 2026 at 9:34 a.m. CEST. The further course of trading is shown by the continuously updated real-time quote of General Dynamics stock.