General Dynamics Downgraded to "Neutral" at Goldman Sachs (GD)

Defense contractor General Dynamics Corporation ( GD ) saw its rating cut on Monday by analysts at Goldman Sachs.

The firm lowered its rating on GD to "Neutral" from "Buy." The move was a valuation call, as Goldman noted a more balanced risk/reward given current conditions.

Goldman left its $87 price target on the stock unchanged, however.

General Dynamics shares, which had closed at $70.50 on Friday, rose $1.90, or +2.7%, in premarket trading Monday.

The Bottom Line

We recently removed shares of GD from our recommended list, when the stock was trading at $74.96. The stock has technical support in the $65 price area. If the shares can firm up, we see overhead resistance around the $75-$77 price levels. We would remain on the sidelines for now.

General Dynamics Corporation ( GD ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.