Leaked Trade Reveals Florida Congressman Just Spent Nearly ENTIRE Salary on One Defense Stock

It’s been a while since we’ve talked about a politician’s stock trades that didn’t involve Nancy Pelosi or “underwear Paul,” (it’s just a joke, calm down). But now, we’ve got Florida Representative Scott Franklin in the spotlight with a stock purchase that’s got everyone talking.

(Source: Yahoo)

Let’s put our internet detective glasses on and break it down. On August 20th, Scott Franklin reported a rather curious series of trades, but the one that caught my eye (and should catch yours) was his purchase of about $115,000 worth of General Dynamics (NYSE: GD) stock. Now, you might be thinking, “So what? Politicians trade stocks all the time.” And you’d be right. But General Dynamics isn’t some well-known “Mag 7” stock (duh I know)—it’s one of the largest defense contractors in the world. And lately, they’ve been racking up some serious government contracts.

(Source: General Dynamics Mission Systems)

For instance, on July 18, 2024, General Dynamics scored a massive $1.5 billion contract with the U.S. Army to deliver the latest version of the Abrams tanks. You know, the same tanks that have been a staple of the American military might for decades. Then, on August 1, 2024, they secured a $9.5 billion deal with the U.S. Navy to build new Columbia-class submarines, which are set to replace the aging Ohio-class fleet.

So, when Franklin, who sits on the Appropriations Subcommittee on Military Construction—yep, the very committee that decides where those big defense dollars land—manages to casually drop over $100K on General Dynamics, all on a $174K salary, it’s definitely eyebrow-raising. You don’t need to be a conspiracy theorist to wonder if this is more than just good timing on his part.

As far as the stock goes, General Dynamics is doing pretty well for itself. Despite a small dip of nearly 2% last week, the stock is still in the green for 2024, with a 12% gain year-to-date. 

To give you the full story, Franklin’s trading activity in August wasn’t just limited to General Dynamics. He reported over 70 trades, with some purchases reaching up to $100,000 and sales going as high as $200,000. And while he’s been mostly selling off stocks this year—$5.1 million in sales compared to just $1.11 million in purchases—this move on General Dynamics sticks out like a sore thumb.

Now, to wrap up this article… I’m not saying Franklin is doing anything illegal here. But let’s be real—when a politician who has direct influence over military spending buys a hefty chunk of a defense contractor’s stock, it’s enough to make you go, “Hmmm…” So, I guess all I’m saying is don’t be surprised if General Dynamics lands another big contract soon and the stock prices sees a big jump in the coming weeks.

Stock.News does not have positions in companies mentioned.