GD vs BA Stock Comparison: AI Score, Valuation, Performance and Upside
General Dynamics and Boeing both operate in aerospace and defense, but are very different investment propositions. GD is a stable defense and business aviation compounder with consistent earnings and dividend growth. Boeing is a commercial aviation giant in the middle of a multi-year manufacturing recovery from overlapping crises. GD offers stability; Boeing offers significant recovery upside if production execution improves.
GD vs BA is a stable defense compounder with Gulfstream commercial exposure (General Dynamics) versus a commercial aviation dominant duopolist in recovery mode after years of quality and production challenges (Boeing) — GD offers current earnings quality, Boeing offers recovery upside if manufacturing normalization succeeds.
GD holds the edge across 4 of 5 key metrics in this comparison. GD leads on both 1-year return (+8.77%) and forward P/E quality (20.45x vs 51.45x for BA), a relatively favorable combination of momentum and valuation. GD leads on both revenue growth (8.10%) and operating margin (10.38%), suggesting a stronger fundamental setup on both dimensions. Analyst consensus implies meaningfully more upside for BA (+30.60%) than for GD (+10.73%).
Human Wall Street analysts' price targets, typically implying a ~12-month view — a separate signal from this site's own AI Prediction Signal further down the page, which is a 5-/30-day machine-learning forecast based on price history alone.
- prefer a stable, dividend-growing defense compounder without Boeing's execution and quality recovery risk
- value Gulfstream business jet leadership as commercial aviation exposure without the airline demand and production complexity of commercial jets
- want a defense sector anchor with predictable government contract revenue regardless of commercial aviation market conditions
- are comfortable with Gulfstream delivery timing and submarine production ramp as the primary near-term execution items
- prefer a recovery investment in the largest US aerospace manufacturer as production rates and quality culture rebuild
- value Boeing's commercial duopoly with Airbus as a structural barrier ensuring long-term market relevance once execution improves
- want significant upside potential if the 737 MAX production rate hits 38/month and 787 deliveries normalize
- are comfortable with elevated debt, suspended dividend, and ongoing production quality risks during the multi-year recovery
| Metric | GD | BA |
|---|---|---|
| AI scorei | 52.2 | 42.0 |
| AI ranki | #403 | #975 |
| Latest closei | $353.05 | $198.20 |
| 1M returni | -10.01% | -10.80% |
| 6M returni | +0.98% | -1.48% |
| 1Y returni | +8.77% | -8.10% |
How much would $10,000 be worth today if invested at the start of each period, with all dividends reinvested?
| Period | GD | BA |
|---|---|---|
| 1Y ago | $10.88K (+8.8%) started 2025-09-18 | $9.19K (-8.1%) started 2025-09-18 |
| 5Y ago | $21.58K (+115.8%) started 2021-09-20 | $9.46K (-5.4%) started 2021-09-20 |
| 10Y ago | $34.83K (+248.3%) started 2016-09-19 | $18.44K (+84.4%) started 2016-09-19 |
Hypothetical — past performance does not guarantee future results.
| Metric | GD | BA |
|---|---|---|
| Market capi | $102.63B | $166.33B |
| Trailing P/Ei | 23.14 | 75.70 |
| Forward P/Ei | 20.45 | 51.45 |
| Price/Salesi | N/A | 2.29 |
| EV/Revenuei | 1.96 | 2.08 |
| Analyst targeti | $420.02 | $274.85 |
| Target upsidei | +10.73% | +30.60% |
| Metric | GD | BA |
|---|---|---|
| Revenue growthi | 8.10% | 8.00% |
| Earnings growthi | 13.40% | N/A |
| EPS growthi | +13.40% | N/A |
| FCF margini | +8.02% | +5.98% |
| Operating margini | 10.38% | 0.00% |
| Profit margini | 8.18% | 2.59% |
| ROIC proxyi | 17.80% | 173.54% |
| Return on equityi | 17.80% | 173.54% |
| Dividend yieldi | 1.68% | N/A |
| Payout ratioi | 37.68% | 0.00% |
| Dividend growth streaki | No increase yet | No increase yet |
| Betai | 0.33 | 1.21 |
| Debt/equityi | 35.34 | 790.88 |
| Current ratioi | 1.44 | 1.14 |
| Quick ratioi | 0.85 | 0.30 |
Over the past year, GD and BA have moved weakly in the same direction (correlation of 0.28), based on daily returns.
Lower drawdown and smaller single-period drops generally indicate a smoother ride, though they do not guarantee lower future risk.
| Period | Metric | GD | BA |
|---|---|---|---|
| 1Y | Growthi | +8.77% | -8.10% |
| CAGRi | +8.78% | -8.10% | |
| Volatilityi | 22.31% | 33.70% | |
| Sharpe ratioi | 0.29 | -0.22 | |
| Sortino ratioi | 0.44 | -0.33 | |
| Max drawdowni | 15.23% | 24.96% | |
| Current drawdowni | 10.84% | 21.40% | |
| Avg drawdowni | 4.13% | 10.24% | |
| Ulcer Indexi | 5.19% | 11.87% | |
| Max daily dropi | 4.18% | 6.32% | |
| Max wkly dropi | 6.86% | 11.32% | |
| 5Y | Growthi | +98.18% | -5.39% |
| CAGRi | +14.68% | -1.10% | |
| Volatilityi | 20.70% | 36.69% | |
| Sharpe ratioi | 0.55 | 0.03 | |
| Sortino ratioi | 0.80 | 0.04 | |
| Max drawdowni | 22.55% | 50.29% | |
| Current drawdowni | 10.84% | 25.00% | |
| Avg drawdowni | 5.99% | 22.01% | |
| Ulcer Indexi | 8.08% | 25.14% | |
| Max daily dropi | 7.27% | 10.47% | |
| Max wkly dropi | 10.82% | 21.19% | |
| 10Y | Growthi | +181.71% | +68.98% |
| CAGRi | +10.92% | +5.39% | |
| Volatilityi | 22.84% | 41.83% | |
| Sharpe ratioi | 0.37 | 0.23 | |
| Sortino ratioi | 0.53 | 0.33 | |
| Max drawdowni | 51.63% | 77.92% | |
| Current drawdowni | 10.84% | 53.94% | |
| Avg drawdowni | 10.78% | 38.43% | |
| Ulcer Indexi | 14.91% | 45.02% | |
| Max daily dropi | 10.93% | 23.85% | |
| Max wkly dropi | 19.06% | 46.26% |
| Category | GD | BA |
|---|---|---|
| Company | General Dynamics Corporation | The Boeing Company |
| Sector | Industrials | Industrials |
| Industry | Aerospace & Defense | Aerospace & Defense |
| Core business | General Dynamics combines defense (submarines, combat vehicles, IT services) with Gulfstream business jets for private and corporate aviation. Its government contracting base provides stable, predictable revenue regardless of commercial aerospace cycles, while Gulfstream's commercial exposure adds cyclical upside during periods of high-net-worth spending on private aircraft. | Boeing is one of the world's two dominant commercial airplane manufacturers (alongside Airbus), producing narrow-body 737 MAX and wide-body 787/777 aircraft. Boeing also has a large defense segment (F-15, F/A-18, tankers, space systems) and a growing services business. Boeing went through a prolonged crisis from 737 MAX groundings (2019–2020), COVID-driven demand collapse (2020–2021), 787 quality issues, and persistent production rate challenges. The company is executing a manufacturing recovery plan under new leadership. |
| Investor focus | Investors focus on Gulfstream backlog and delivery rate, submarine production milestones, and the predictable earnings from government contracts supporting consistent dividend growth. | Investors track 737 MAX monthly production rate (target: 38/month), 787 delivery pace, net cash and debt reduction trajectory, free cash flow restoration, and Spirit AeroSystems reacquisition integration as Boeing brings key fuselage manufacturing in-house. |
- Multi-decade sole-source submarine program providing exceptional US government contract revenue visibility
- Gulfstream business jet market leadership in the large-cabin and ultra-long-range aircraft categories
- Consistent dividend growth supported by stable government contracting revenue through all defense budget cycles
- Near-duopoly commercial aviation market with Airbus — airlines have few alternatives for new narrow-body jets
- Order backlog of 5,600+ aircraft representing 7+ years of production provides long-term revenue visibility once production normalizes
- Defense segment provides partial earnings offset during commercial aviation challenges
- Gulfstream delivery delays from supply chain and labor challenges affecting revenue recognition
- Submarine workforce expansion required for Virginia-class ramp faces shipbuilding labor scarcity
- Technologies segment IT services competition from large cloud providers and defense IT specialists
- Manufacturing quality and production rate recovery is the primary execution risk — labor relations, Spirit AeroSystems integration, and quality culture rebuild all required simultaneously
- Net debt remains elevated from years of cash burn during MAX grounding and COVID — free cash flow restoration is critical to balance sheet repair
- Airbus has gained significant market share during Boeing's multi-year production challenges
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