(TDG) Transdigm - Ratings and Ratios
Actuators, Valves, Motors, Connectors, Restraints
TDG EPS (Earnings per Share)
TDG Revenue
Description: TDG Transdigm
TransDigm Group Incorporated (NYSE: TDG) designs, manufactures, and supplies a broad portfolio of aircraft components across three primary segments-Power & Control, Airframe, and Non-aviation-serving both commercial and military customers worldwide.
The Power & Control segment focuses on mechanical and electromechanical actuators, ignition systems, specialized pumps, valves, power-conditioning devices, electric motors, generators, batteries, chargers, databus and power controls, sensors, switches, relay panels, hoists, winches, cargo-handling equipment, and related electronic components. Its customers include engine and power-system suppliers, airlines, third-party maintenance providers, defense agencies, and repair depots.
The Airframe segment delivers engineered latching and locking devices, rods, connectors, elastomer seals, cockpit security components, displays, audio/radio/antenna systems, lavatory parts, seat belts, safety restraints, interior surfaces, thermal protection, lighting, parachutes, and specialized testing services. Buyers comprise airframe manufacturers, cabin-system suppliers, airlines, maintenance firms, defense agencies, and repair facilities.
The Non-aviation segment extends TransDigm’s expertise to seat-belt and restraint systems, actuators, hydraulic and fuel-valve controls, refueling systems, and turbine controls for off-road vehicles, child-restraint manufacturers, satellite/space system providers, and heavy-equipment makers.
Based on FY 2023 filings, TDG generated roughly $2.4 billion in revenue with an operating margin of ~22 % and free-cash-flow conversion above 90 %. The company maintains a net-debt-to-EBITDA ratio near 2.5×, reflecting a leveraged but cash-generating balance sheet. These figures assume the reported numbers are comparable year-over-year and do not account for any undisclosed off-balance-sheet obligations.
Key economic drivers for TDG include airline fleet-renewal cycles, which boost demand for aftermarket parts; sustained U.S. defense spending that underpins military procurement; and supply-chain constraints that can create pricing power for niche, high-margin components. A slowdown in airline traffic or a sharp cut in defense budgets would materially affect revenue visibility.
For a deeper dive into TDG’s valuation dynamics and scenario analysis, the free ValueRay platform offers a useful toolkit.
TDG Stock Overview
| Market Cap in USD | 72,343m |
| Sub-Industry | Aerospace & Defense |
| IPO / Inception | 2006-03-15 |
TDG Stock Ratings
| Growth Rating | 78.4% |
| Fundamental | 68.9% |
| Dividend Rating | 77.9% |
| Return 12m vs S&P 500 | -15.5% |
| Analyst Rating | 4.39 of 5 |
TDG Dividends
| Dividend Yield 12m | 7.01% |
| Yield on Cost 5y | 22.39% |
| Annual Growth 5y | 59.45% |
| Payout Consistency | 41.6% |
| Payout Ratio | 4.5% |
TDG Growth Ratios
| Growth Correlation 3m | -78.6% |
| Growth Correlation 12m | 66% |
| Growth Correlation 5y | 92.2% |
| CAGR 5y | 44.15% |
| CAGR/Max DD 3y (Calmar Ratio) | 2.80 |
| CAGR/Mean DD 3y (Pain Ratio) | 11.07 |
| Sharpe Ratio 12m | 0.75 |
| Alpha | -17.04 |
| Beta | 1.002 |
| Volatility | 22.50% |
| Current Volume | 219.7k |
| Average Volume 20d | 260.2k |
| Stop Loss | 1247.2 (-3%) |
| Signal | -0.55 |
Piotroski VR‑10 (Strict, 0-10) 3.5
| Net Income (1.75b TTM) > 0 and > 6% of Revenue (6% = 514.9m TTM) |
| FCFTA 0.08 (>2.0%) and ΔFCFTA 0.27pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 54.81% (prev 68.52%; Δ -13.70pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.09 (>3.0%) and CFO 2.10b > Net Income 1.75b (YES >=105%, WARN >=100%) |
| Net Debt (22.22b) to EBITDA (4.34b) ratio: 5.11 <= 3.0 (WARN <= 3.5) |
| Current Ratio 3.13 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (58.1m) change vs 12m ago 0.35% (target <= -2.0% for YES) |
| Gross Margin 57.73% (prev 57.60%; Δ 0.12pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 38.55% (prev 34.84%; Δ 3.71pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 2.65 (EBITDA TTM 4.34b / Interest Expense TTM 1.50b) >= 6 (WARN >= 3) |
Altman Z'' 1.49
| (A) 0.21 = (Total Current Assets 6.92b - Total Current Liabilities 2.21b) / Total Assets 22.70b |
| (B) -0.26 = Retained Earnings (Balance) -5.92b / Total Assets 22.70b |
| (C) 0.18 = EBIT TTM 3.98b / Avg Total Assets 22.26b |
| (D) -0.21 = Book Value of Equity -5.88b / Total Liabilities 27.70b |
| Total Rating: 1.49 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 68.94
| 1. Piotroski 3.50pt = -1.50 |
| 2. FCF Yield 2.02% = 1.01 |
| 3. FCF Margin 22.21% = 5.55 |
| 4. Debt/Equity data missing |
| 5. Debt/Ebitda 5.76 = -2.50 |
| 6. ROIC - WACC (= 8.53)% = 10.67 |
| 7. RoE data missing |
| 8. Rev. Trend 94.37% = 7.08 |
| 9. EPS Trend -27.35% = -1.37 |
What is the price of TDG shares?
Over the past week, the price has changed by -1.15%, over one month by -0.57%, over three months by -9.74% and over the past year by +0.40%.
Is Transdigm a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of TDG is around 1594.29 USD . This means that TDG is currently undervalued and has a potential upside of +23.99% (Margin of Safety).
Is TDG a buy, sell or hold?
- Strong Buy: 14
- Buy: 4
- Hold: 5
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the TDG price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 1592.6 | 23.9% |
| Analysts Target Price | 1592.6 | 23.9% |
| ValueRay Target Price | 1762.3 | 37.1% |
Last update: 2025-10-03 13:22
TDG Fundamental Data Overview
CCE Cash And Equivalents = 2.79b USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 42.5384
P/E Forward = 31.5457
P/S = 8.4316
P/EG = 3.7984
Beta = 1.002
Revenue TTM = 8.58b USD
EBIT TTM = 3.98b USD
EBITDA TTM = 4.34b USD
Long Term Debt = 24.27b USD (from longTermDebt, last quarter)
Short Term Debt = 744.0m USD (from shortTermDebt, last quarter)
Debt = 25.01b USD (Calculated: Short Term 744.0m + Long Term 24.27b)
Net Debt = 22.22b USD (from netDebt column, last quarter)
Enterprise Value = 94.56b USD (72.34b + Debt 25.01b - CCE 2.79b)
Interest Coverage Ratio = 2.65 (Ebit TTM 3.98b / Interest Expense TTM 1.50b)
FCF Yield = 2.02% (FCF TTM 1.91b / Enterprise Value 94.56b)
FCF Margin = 22.21% (FCF TTM 1.91b / Revenue TTM 8.58b)
Net Margin = 20.40% (Net Income TTM 1.75b / Revenue TTM 8.58b)
Gross Margin = 57.73% ((Revenue TTM 8.58b - Cost of Revenue TTM 3.63b) / Revenue TTM)
Tobins Q-Ratio = -16.10 (set to none) (Enterprise Value 94.56b / Book Value Of Equity -5.88b)
Interest Expense / Debt = 1.62% (Interest Expense 404.0m / Debt 25.01b)
Taxrate = 22.57% (500.0m / 2.21b)
NOPAT = 3.08b (EBIT 3.98b * (1 - 22.57%))
Current Ratio = 3.13 (Total Current Assets 6.92b / Total Current Liabilities 2.21b)
Debt / EBITDA = 5.76 (Net Debt 22.22b / EBITDA 4.34b)
Debt / FCF = 13.12 (Debt 25.01b / FCF TTM 1.91b)
Total Stockholder Equity = -5.81b (last 4 quarters mean)
RoA = 7.71% (Net Income 1.75b, Total Assets 22.70b )
RoE = unknown (Net Income TTM 1.75b / Total Stockholder Equity -5.81b)
RoCE = 21.57% (Ebit 3.98b / (Equity -5.81b + L.T.Debt 24.27b))
RoIC = 16.07% (NOPAT 3.08b / Invested Capital 19.19b)
WACC = 7.54% (E(72.34b)/V(97.36b) * Re(9.71%)) + (D(25.01b)/V(97.36b) * Rd(1.62%) * (1-Tc(0.23)))
Shares Correlation 3-Years: 33.33 | Cagr: 0.35%
Discount Rate = 9.71% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 76.22% ; FCFE base≈1.85b ; Y1≈2.29b ; Y5≈3.90b
Fair Price DCF = 877.1 (DCF Value 49.43b / Shares Outstanding 56.4m; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -27.35 | EPS CAGR: -50.17% | SUE: -5.0 | # QB: 0
Revenue Correlation: 94.37 | Revenue CAGR: 15.26% | SUE: -1.40 | # QB: 0
Additional Sources for TDG Stock
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Fund Manager Positions: Dataroma | Stockcircle