WallStSmart

General Dynamics Corporation (GD)vsZurn Elkay Water Solutions Corporation (ZWS)

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Smart Verdict

WallStSmart Research — data-driven comparison

General Dynamics Corporation generates 2971% more annual revenue ($54.86B vs $1.79B). ZWS leads profitability with a 15.4% profit margin vs 8.2%. ZWS appears more attractively valued with a PEG of 1.53. ZWS earns a higher WallStSmart Score of 70/100 (B-).

GD

Buy

58

out of 100

Grade: C

Growth: 6.7Profit: 6.5Value: 4.0Quality: 7.0
Piotroski: 6/9Altman Z: 2.95

ZWS

Strong Buy

70

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 4.7Quality: 7.5
Piotroski: 5/9Altman Z: 1.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDSignificantly Overvalued (-55.7%)

Margin of Safety

-55.7%

Fair Value

$230.41

Current Price

$354.35

$123.94 premium

UndervaluedFair: $230.41Overvalued
ZWSOvervalued (-5.9%)

Margin of Safety

-5.9%

Fair Value

$48.66

Current Price

$43.50

$5.16 premium

UndervaluedFair: $48.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GD2 strengths · Avg: 8.5/10
Market CapQuality
$92.38B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.65B8/10

Generating 1.6B in free cash flow

ZWS2 strengths · Avg: 10.0/10
Operating MarginProfitability
31.4%10/10

Strong operational efficiency at 31.4%

EPS GrowthGrowth
132.0%10/10

Earnings expanding 132.0% YoY

Areas to Watch

GD1 concerns · Avg: 4.0/10
PEG RatioValuation
2.124/10

Expensive relative to growth rate

ZWS3 concerns · Avg: 4.0/10
PEG RatioValuation
1.534/10

Expensive relative to growth rate

P/E RatioValuation
29.1x4/10

Moderate valuation

Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : GD

The strongest argument for GD centers on Market Cap, Free Cash Flow.

Bull Case : ZWS

The strongest argument for ZWS centers on Operating Margin, EPS Growth. Profitability is solid with margins at 15.4% and operating margin at 31.4%. Revenue growth of 10.5% demonstrates continued momentum.

Bear Case : GD

The primary concerns for GD are PEG Ratio.

Bear Case : ZWS

The primary concerns for ZWS are PEG Ratio, P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

GD profiles as a value stock while ZWS is a mature play — different risk/reward profiles.

ZWS carries more volatility with a beta of 0.83 — expect wider price swings.

ZWS is growing revenue faster at 10.5% — sustainability is the question.

GD generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

ZWS scores higher overall (70/100 vs 58/100), backed by strong 15.4% margins and 10.5% revenue growth. Both earn "Strong 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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Zurn Elkay Water Solutions Corporation

INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA

Zurn Water Solutions Corporation designs, acquires, manufactures, and markets water system solutions that provide and improve water quality, safety, flow control, and conservation in and around non-residential buildings. The company is headquartered in Milwaukee, Wisconsin.

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