Tuesday, January 14, 2020

Recent Buy - General Dynamics Corporation (GD)

Friday January 10, I bought 10 shares of General Dynamics Corporation at $ 179.96 per share plus commission.

General Dynamics Corporation is an aerospace and defense company, which engages in the provision of tanks, rockets, missiles, submarines, warships, fighters and electronics to all of the military services. It is organized into four business segments: Aerospace, Combat Systems, Information Technology, Mission Systems and Marine Systems. The Aerospace segment delivers a family of Gulfstream aircraft and provides a range of services for Gulfstream aircraft and aircraft produced by other original equipment manufacturers. The Combat Systems segment offers combat vehicles, weapons systems and munitions for the U.S. government and its allies around the world. The Information Technology segment provides technologies, products and services in support of thousands of programs for a wide range of military, federal civilian, state and local customers. The Mission Systems segment provides mission-critical C4ISR products and systems. The Marine Systems segment designs, builds and supports submarines and surface ships. The company was founded on February 21, 1952 and is headquartered in Falls Church, VA.

GD is a Dividend Champion with a 28 year streak of dividend increases. Dividend growth rates for 1, 3, 5 and 10 years are 9.9, 10.3, 10.5 and 10.4. (Dividend Champions.xls) General Dynamics Corporation now pays dividends of $ 1.02 per share normally in February, May, August and November.

If you are interested, you can read article about General Dynamics Corporation by David Van Knapp at Daily Trade Alert here and by Nathan Parsh at GuruFocus here.

Details of my purchase:

Some ratings for GD:

    Yahoo: Mean Recommendation 2.4, 1y Target Est $ 206.11
    Reuters: Mean Rating 2.37
    Morningstar: (***)

At today's exchange rate, that purchase 10 shares of GD will increase € 27.28 ($ 30.40) of my expected annual net dividend income and will increase my portfolio's projected annual net dividend income to € 16,600.00. With purchase price $ 179.96 plus commission ($ 5.56) my starting yield on cost is 2.26%. After this acquisition, GDs weight of my portfolio is about 0.30% and its share of future annual dividend income is approximately 0.16%. My purpose is to add more GD to my portfolio if and when the share price falls.

Click here to see my portfolio.

Full Disclosure: Long GD

Thanks for stopping by!

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