WallStSmart

General Dynamics Corporation (GD)vsUnited Parcel Service Inc (UPS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

United Parcel Service Inc generates 69% more annual revenue ($88.66B vs $52.55B). GD leads profitability with a 8.0% profit margin vs 6.3%. UPS appears more attractively valued with a PEG of 1.64. GD earns a higher WallStSmart Score of 54/100 (C-).

GD

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 6.5Value: 4.0Quality: 7.0
Piotroski: 6/9Altman Z: 2.95

UPS

Buy

51

out of 100

Grade: C-

Growth: 2.7Profit: 6.5Value: 7.3Quality: 5.0
Piotroski: 3/9Altman Z: 2.21
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDSignificantly Overvalued (-25.7%)

Margin of Safety

-25.7%

Fair Value

$285.51

Current Price

$338.73

$53.22 premium

UndervaluedFair: $285.51Overvalued
UPSUndervalued (+36.2%)

Margin of Safety

+36.2%

Fair Value

$187.97

Current Price

$106.61

$81.36 discount

UndervaluedFair: $187.97Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GD1 strengths · Avg: 9.0/10
Market CapQuality
$84.83B9/10

Large-cap with strong market position

UPS4 strengths · Avg: 8.8/10
Return on EquityProfitability
33.8%10/10

Every $100 of equity generates 34 in profit

Market CapQuality
$90.93B9/10

Large-cap with strong market position

P/E RatioValuation
16.3x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.59B8/10

Generating 2.6B in free cash flow

Areas to Watch

GD2 concerns · Avg: 4.0/10
PEG RatioValuation
2.274/10

Expensive relative to growth rate

EPS GrowthGrowth
0.4%4/10

0.4% earnings growth

UPS4 concerns · Avg: 3.5/10
PEG RatioValuation
1.644/10

Expensive relative to growth rate

EPS GrowthGrowth
4.6%4/10

4.6% earnings growth

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

Debt/EquityHealth
1.993/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : GD

The strongest argument for GD centers on Market Cap.

Bull Case : UPS

The strongest argument for UPS centers on Return on Equity, Market Cap, P/E Ratio.

Bear Case : GD

The primary concerns for GD are PEG Ratio, EPS Growth.

Bear Case : UPS

The primary concerns for UPS are PEG Ratio, EPS Growth, Profit Margin. Debt-to-equity of 1.99 is elevated, increasing financial risk.

Key Dynamics to Monitor

UPS carries more volatility with a beta of 1.10 — expect wider price swings.

GD is growing revenue faster at 7.8% — sustainability is the question.

UPS generates stronger free cash flow (2.6B), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GD scores higher overall (54/100 vs 51/100). UPS offers better value entry with a 36.2% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

General Dynamics Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

General Dynamics Corporation (GD) is an American aerospace and defense corporation. It is headquartered in Reston, Fairfax County, Virginia.

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United Parcel Service Inc

INDUSTRIALS · INTEGRATED FREIGHT & LOGISTICS · USA

United Parcel Service is an American multinational shipping & receiving and supply chain management company founded in 1907.

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