At the moment, General Dynamics (GD) is trading at major support dating back to last May. It’s also over-extended on RSI, MACD, and Williams’ %R. The last time GD became this oversold, it would run from about $211.55 to $231.71. We’re hoping the same thing happens again this time.
In April, the company posted strong first-quarter revenue and free cash flow. It also raised its dividend by about 5% earlier this year to $1.32 per share. This one was payable May 12 to shareholders of record, as of April 14. We anticipate hearing about more dividends shortly. Better, just last week, Director Mark Malcom paid $1 million for 4,700 shares of the beaten down, oversold stock. Also, while several firms lowered their price forecasts on the GD stock, it appears to be overkill at this point.