The crash of the new G650 model business jet crash while undergoing tests, killing four employees on board, sent the share price of the company General Dynamics Corp. (NYSE:GD) plummeting by the most in 11 months.
Crash of the business jet took place on April 2 during takeoff-performance tests at the Roswell International Air Center airport in Roswell, New Mexico.
Robert Spingarn, an analyst at Credit-Suisse (NYSE:CS) wrote in a note, “We expect a meaningful negative reaction to shares, at least in the short term.” Spingarn maintains an "Outperform" on the stock, acknowledging the share price will be tied to results from an investigation by the National Transportation Safety Board.
The jet has close to 200 orders at this time. Tests are being performed in order to be certified by the Federal Aviation Administration.
General Dynamics was trading at $73.67, falling $3.75, or 4.85 percent, as of 1:45 PM EDT.
Monday, April 4, 2011
General Dynamics (GD) Plunges on Crash of G650 Model
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General Dynamics
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