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Stocks/Industrials/Aerospace & Defense

TransDigm GroupTDG

Aerospace & Defense · Cleveland, Ohio · In the S&P 500
High qualityPricier than peers
$1,146.81−2.47%After hours: $1,146.81 (0.00%)At the close, 30 Oct · Prices from CNBC, may be delayed
▼ 12.9% over 1 year
TransDigm Group over 1 yearDaily close, $, to 30 Oct 2026
$1,200$1,400Nov2026MarMayJulSep$1,147$1,200$1,400NovMarJul$1,147
Source: Nasdaq daily closes
Market value$63.39B
Price to earnings34.8x
Forward P/E24.6x
Dividend yield–
Year to date−13.8%
One year−12.9%
Next earningsWed 11 Nov
SectorIndustrials
52-week range (closes)
$1,076.01$1,450.00

Quality and valuation

How TransDigm Group compares with other industrials stocks. A description, not a recommendation.

TransDigm Group and 7 aerospace & defense peers. Across: valuation (P/E) against the sector. Up: business quality against the sector. Hover or tap a logo for its numbers.

Business quality: stronger than mostValuation: pricier than most

A stronger business than most industrials companies, priced above most of them.

TransDigm Group trades at 24.6 times the next 12 months of expected earnings, against a median of 21.4x for the 89 industrials stocks we cover. The quality score blends where it ranks on revenue growth, gross margin, operating margin and free-cash-flow margin (net margin for banks and insurers) over the last 12 months, from SEC filings.

  • Revenue grew faster than the sector median: +16.6% vs +8.2%
  • Keeps more of each sale (gross margin): 59.6% vs 38.1%
  • More profitable (operating margin): 46.0% vs 17.5%
  • Turns more of its sales into cash: 19.3% vs 13.1%
TDG trades at 24.6x forward earnings, above the sector medianForward p/e, Aerospace & Defense peers
NOC19.3xLMT20.6xGD21.3xTDG24.6xRTX26.8xHWM33.6xGE35.7xSector median 21.4xNOC19.3xLMT20.6xGD21.3xTDG24.6xRTX26.8xHWM33.6xGE35.7xSector median 21.4x
Source: CNBC quotes; Mostly Markets
At 34.8x earnings, TDG is cheaper than its average since Aug 2024Price over the last 12 months of reported (GAAP) diluted EPS
P/EUsual range (±1 s.d.)
40x50xAverage 44.2x2025202634.8x40x50xAverage 44.2x2025202634.8x
Source: Nasdaq prices; SEC filings

Financials

From TransDigm Group's SEC filings, through the quarter ending 27 Jun 2026. Hover or tap a bar for its value.

Revenue grew 22.5% from a year earlierQuarterly revenue, $bn, latest Q3 ’26
$0bn$1bn$2bnQ4 ’24Q2 ’25Q4 ’25$2.7bnQ3 ’26$0bn$1bn$2bnQ4 ’24Q2 ’25Q4 ’25$2.7bnQ3 ’26
Source: SEC filings
Growth sped up to +22.5% last quarterRevenue growth, year on year, %
0%10%20%Q4 ’24Q2 ’25Q4 ’2522.5%Q3 ’260%10%20%Q4 ’24Q2 ’25Q4 ’2522.5%Q3 ’26
Source: SEC filings
Operating margin was 44.8% last quarterOperating income as a share of revenue, %
0%20%40%Q4 ’24Q2 ’25Q4 ’2544.8%Q3 ’260%20%40%Q4 ’24Q2 ’25Q4 ’2544.8%Q3 ’26
Source: SEC filings
Free cash flow was $1.9 billion over 12 monthsQuarterly free cash flow (operating cash flow minus capex), $m
$0m$200m$400m$600mQ4 ’24Q2 ’25Q4 ’25$650mQ3 ’26$0m$500mQ4 ’24Q2 ’25Q4 ’25$650mQ3 ’26
Source: SEC filings
Last 12 monthsTDGSector median
Revenue growth+16.6%+8.2%
Gross margin59.6%38.1%
Operating margin46.0%17.5%
Free cash flow margin19.3%13.1%
Price to earnings34.8x25.8x

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Similar companies

Aerospace & Defense, by market value.

CompanyPriceTodayYTDValue
GEGE Aerospace$301.80−3.59%−2.0%$312B
RTXRTX$199.80+0.20%+8.9%$270B
LMTLockheed Martin$636.95−1.03%+31.7%$147B
BABoeing$171.55−0.64%−21.0%$136B
GDGeneral Dynamics$372.59+0.48%+10.7%$101B
HWMHowmet Aerospace$199.22−3.26%−2.8%$79.45B
NOCNorthrop Grumman$557.54−0.86%−2.2%$79.21B
LHXL3Harris$277.61−0.29%−5.4%$51.70B