General Dynamics stock is down. A director scooped up stock.


General Dynamics shares have fallen this year, recently hitting intraday lows in nearly 16 months. A board member of an aerospace and defense company has bought up stock.

General Dynamics stock (NYSE: GD) is down 16% in 2023. In early March, the company increased its quarterly dividend by about 5%. On April 26, General Dynamics reported strong first-quarter earnings and free cash flow. However, neither event resulted in a sustained uptick. On May 4, General Dynamics stock traded as high as $205.40. The stock has not traded at that level since January 2022.

On May 2, Mark Malcolm paid $1 million for 4,700 shares of General Dynamics stock, priced at an average price of $214.47. Mr. Malcolm purchased his shares through a trust that he managed, according to filings with the Securities and Exchange Commission. He also owns 8,907 shares of General Dynamics stock in his personal account.

Malcolm, former CEO of auto-parts maker Tower International, declined to comment on the stake. Malcolm, who has served on the General Dynamics board since August 2015, last made an open-market purchase of the company’s stock in October 2018, when he paid $510,000 for 3,000 shares at an average price of $169.87. paid.

Credit Suisse analyst Scott Duschle characterized General Dynamics’ first quarter report as “mixed.” He lowered his price target to $220 from $239 and maintained a Neutral rating.

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“[T]He previously provided guidance on full-year earnings before interest and taxes, but that may be difficult.”

Inside Scoop is a regular issue of the magazine that covers stock trading by corporate executives, board members, so-called insiders, as well as major shareholders, politicians and other celebrities. Their insider status requires these investors to disclose their stock transactions to the Securities and Exchange Commission or other regulatory bodies.

Follow us by emailing Ed Lin at edward.lin@barrons.com @baron_0220.





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