Is GENERAL DYNAMICS CORP (GD) Halal?

NYSE Industrials United States $93.8B
✓ HALAL
Confidence: 95/100
GENERAL DYNAMICS CORP (GD) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 10.0% against the AAOIFI threshold of 30%, GENERAL DYNAMICS CORP comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Aerospace & Defense), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 10.0%
/ 30%
2.4%
/ 30%
11.0%
/ 30%
0.17%
/ 5%
✓ HALAL
DJIM 10.0%
/ 33%
2.4%
/ 33%
11.0%
/ 33%
0.17%
/ 5%
✓ HALAL
MSCI 17.1%
/ 33%
4.1%
/ 33%
18.8%
/ 33%
0.17%
/ 5%
✓ HALAL
S&P 10.0%
/ 33%
2.4%
/ 33%
11.0%
/ 33%
0.17%
/ 5%
✓ HALAL
FTSE 17.1%
/ 33%
4.1%
/ 33%
18.8%
/ 50%
0.17%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
22.4
Forward: 19.2
EPS
$15.47
Dividend Yield
176.0%
Payout: 38.8%
P/B Ratio
3.7
EV/EBITDA
15.9
EV: $101.1B
Revenue
$52.5B
Growth: 7.8%
Beta
0.4
Low volatility
Current Ratio
1.4

Profitability

Gross Margin 15.1%
Operating Margin 10.1%
Net Margin 8.0%
Return on Equity (ROE) 17.7%
Return on Assets (ROA) 6.0%

Cash Flow & Balance Sheet

Operating Cash Flow$5.1B
Free Cash Flow$4.0B
Total Debt$9.8B
Debt-to-Equity38.2
Current Ratio1.4
Total Assets$57.2B

Price & Trading

Last Close$355.28
50-Day MA$355.04
200-Day MA$333.15
Avg Volume1.3M
Beta0.4
52-Week Range
$239.20
$369.70

About GENERAL DYNAMICS CORP (GD)

CEO
Ms. Phebe N. Novakovic
Employees
117,000
Website
Sector
Industrials
Industry
Aerospace & Defense
Country
United States
Exchange
NYSE
Market Cap
$93.8B
Currency
USD

General Dynamics Corporation operates as an aerospace and defense company worldwide. It operates through four segments: Aerospace, Marine Systems, Combat Systems, and Technologies. The Aerospace segment produces and sells business jets; and offers aircraft maintenance and repair, management, aircraft-on-ground support, customer support and custom completion services, modifications, upgrades, and lifecycle sustainment support services. The Marine Systems segment designs and builds nuclear-powered submarines, surface combatants, and auxiliary ships for the United States Navy and Jones Act ships for commercial customers, as well as provides maintenance, modernization, and lifecycle support services for navy ships; offers and program management, planning, engineering, and design support services for submarine construction programs. The Combat Systems segment manufactures land combat solutions, such as wheeled and tracked combat vehicles, Stryker wheeled combat vehicles, piranha vehicles, weapons systems, energetics and munitions, mobile bridge systems with payloads, tactical vehicles, main battle tanks, and armored vehicles; and offers modernization programs, support and sustainment services, and development programs. The Technologies segment provides information technology solutions and mission support services; mobile communication, computers, and command-and-control mission systems; intelligence, surveillance, and reconnaissance solutions to military, intelligence, and federal civilian customers; cloud services, cybersecurity, network modernization, artificial intelligence; machine learning; application development, high-performance computing, and 5G and advanced communications services; and unmanned undersea vehicle manufacturing and assembly services. The company was founded in 1899 and is headquartered in Reston, Virginia.

Purification Calculator

As a halal stock with 0.17% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is GENERAL DYNAMICS CORP (GD) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), GENERAL DYNAMICS CORP is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is GENERAL DYNAMICS CORP's debt ratio?

GENERAL DYNAMICS CORP's debt ratio is 10.0% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 17.1%.

Does GENERAL DYNAMICS CORP require dividend purification?

Yes, GENERAL DYNAMICS CORP has an impermissible income ratio of 0.17%, which means 0.17% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are GENERAL DYNAMICS CORP's key financial metrics?

GENERAL DYNAMICS CORP has a market capitalization of $93.8B, trailing P/E ratio of 22.4, and revenue of $52.5B. The company maintains a gross margin of 15.1% and a net margin of 8.0%. Return on equity stands at 17.7%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.