Is TDG a good stock to buy right now?

Based on our 6-factor quantitative model, TransDigm Group INC (TDG) receives a "Reduce" rating with a composite score of 42.9/100. It is ranked #1,990 out of 4,446 stocks. Key factor scores: Quality 50/100, Value 42/100, Momentum 35/100. The timing signal is "Neutral". This is quantitative analysis only — not investment advice.

What is the stock rating for TDG?

TransDigm Group INC (TDG) has a "Reduce" rating and 2-star score. The composite score of 42.9 ranks it #1,990 among 4,446 U.S. stocks. Ratings are updated weekly using academically-proven factor models.

What sector is TDG in?

TransDigm Group INC operates in the Industrials sector (Aircraft industry) with a market cap of $66.26 billion. It is classified as a large-cap stock.

Does TDG pay a dividend?

Yes, TDG pays a dividend with a current yield of 7.34%. For every $1,000 invested, you would receive approximately $73.40 in annual dividend income.

What is TDG's P/E ratio?

TDG has a trailing P/E ratio of 34.58x. The Industrials sector average is 28.3x. This above-average P/E reflects growth expectations or premium valuation.

How profitable is TDG?

TDG's quality factor score is 50/100. Gross margin: 59.9%. ROE: -74.1% vs sector average 8.9%. High margins suggest pricing power and competitive moats.

How is TDG valued compared to peers?

TDG's value factor score is 42/100 (higher = cheaper). Key multiples: P/E 34.6x, EV/EBITDA 23.6x. Valuation is roughly in line with peers.

What is TDG's debt level?

TDG's debt-to-equity ratio is -501%. Sector average: 70%. Low leverage suggests conservative financial management.

TDG has a beta of 0.74, meaning it is less volatile than the market. Stability score: 78/100.

Does TDG have high short interest?

TDG's short interest factor score is 23/100 (higher = less short selling). Elevated short interest may indicate bearish sentiment or short squeeze potential.

TDG Stock Analysis: Reduce (Score 42.9/100) | Blank Capital Research

Data Series	1D	5D	1M	YTD	1Y	3Y	5Y	10Y
TDG	-1.50%	+3.44%	-4.82%	-9.22%	-7.01%	-	-	-
Industry Proxy XLI	-0.39%	+4.73%	+0.88%	+10.57%	+38.89%	-	-	-
U.S. Market SPY	-0.07%	+3.60%	+0.34%	-0.36%	+29.52%	-	-	-
Alpha vs Market	-1.43%	-0.16%	-5.16%	-8.86%	-36.54%	-	-	-
Alpha vs Sector	-1.11%	-1.29%	-5.70%	-19.80%	-45.91%	-	-	-

Metric	TDG	Benchmark
P/E Ratio	34.6x	+22%
EV/EBITDA	23.6x	+314%
Price / Book	-25.6x

Stock Entity	Score▼	Quality	Value	Momentum	P/E Ratio	ROE	Gross Margin	Net Margin	Rev Growth	D/E Ratio	Market Cap	Compare
STNG Scorpio Tankers Inc.	64	43	96	73	-	93.3%	63.1%	53.8%	-	30.0x	$3.8B	VS
TNK TEEKAY TANKERS LTD.	62	50	97	71	6.4x	91.9%	67.0%	32.8%	-	0.0x	$2.5B	VS
TEN TSAKOS ENERGY NAVIGATION LTD	61	50	86	75	7.6x	42.1%	97.8%	22.6%	-	103.0x	$1.2B	VS
HAFN Hafnia Ltd	60	42	79	77	-	439.1%	48.5%	27.0%	-	0.0x	$3.8B	VS
TPH Tri Pointe Homes, Inc.	57	50	67	66	13.6x	8.8%	47.5%	7.9%	-26.0%	50.0x	$4.0B	VS
GLDD Great Lakes Dredge & Dock CORP	57	50	69	70	16.3x	13.5%	22.2%	8.1%	14.8%	73.0x	$1.1B	VS
SOBO South Bow Corp	57	39	79	66	22.0x	48.4%	82.3%	14.9%	-	219.0x	$6.8B	VS
IMPP Imperial Petroleum Inc./Marshall Islands	54	44	98	58	2.8x	47.7%	100.0%	34.0%	-19.7%	0.0x	$156M	VS
CCO Clear Channel Outdoor Holdings, Inc.	52	48	58	69	59.3x	-	53.4%	-0.3%	7.7%	-	$1.2B	VS
IMXI International Money Express, Inc.	52	50	73	52	11.6x	25.5%	0.0%	6.4%	-9.7%	221.0x	$476M	VS
TDG TransDigm Group INC	43	50	42	35	34.6x	-74.1%	59.9%	22.1%	11.7%	-501.0x	$66.3B

Key Ratio	TTM	2026	2025	2024	2023	2022	2021	2020	2019	2018	2017
Gross Margin %	0.6%	0.6%	0.6%	0.6%	0.6%	0.6%	0.5%	0.5%	0.5%	0.6%	0.6%
Operating Margin %	0.5%	0.5%	0.5%	0.4%	0.4%	0.4%	0.4%	0.3%	0.4%	0.4%	0.4%
EBITDA Margin %	0.5%	0.5%	0.5%	0.4%	0.4%	0.4%	0.4%	0.4%	0.4%	0.5%	0.5%
Net Margin %	0.2%	0.2%	0.2%	0.2%	0.2%	0.2%	0.1%	0.1%	0.2%	0.3%	0.2%
FCF Margin %	-	-	-	-	-	-	-	21.7%	17.5%	24.9%	20.5%
ROE %	-20.6%	-4.8%	-21.4%	-27.3%	-65.7%	-23.0%	-23.4%	-17.6%	-30.8%	-52.9%	-20.2%
ROA %	0.1%	0.0%	0.1%	0.1%	0.1%	0.0%	0.0%	0.0%	0.1%	0.1%	0.1%
ROIC %	0.2%	4.1%	16.8%	15.4%	13.3%	11.2%	8.0%	12.2%	12.1%	14.5%	14.3%

Key Ratio

TTM

2026

2025

2024

2023

2022

2021

2020

2019

2018

2017

Gross Margin %

0.6%

0.5%

0.6%

Operating Margin %

0.5%

0.4%

0.3%

0.4%

EBITDA Margin %

0.5%

0.4%

0.5%

Net Margin %

0.2%

0.1%

0.2%

0.3%

0.2%

FCF Margin %

21.7%

17.5%

24.9%

20.5%

ROE %

-20.6%

-4.8%

-21.4%

-27.3%

-65.7%

-23.0%

-23.4%

-17.6%

-30.8%

-52.9%

-20.2%

ROA %

0.1%

0.0%

0.1%

0.0%

0.1%

ROIC %

0.2%

4.1%

16.8%

15.4%

13.3%

11.2%

8.0%

12.2%

12.1%

14.5%

14.3%

Line Item	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
	$8.7B	$8.8B	$7.9B	$6.6B	$5.4B	$4.8B	$5.1B	$5.2B	$3.8B	$3.5B	$3.2B	$2.7B
	—	$3.5B	$3.3B	$2.7B	$2.3B	$2.3B	—	—	—	—	—	—
	$5.2B	$5.3B	$4.7B	$3.8B	$3.1B	$2.5B	$2.6B	$2.8B	$2.2B	$2.0B	$1.7B	$1.4B
Gross Margin	59.9%	60.1%	58.8%	58.3%	57.1%	52.4%	51.9%	53.8%	57.1%	56.6%	54.5%	53.6%
	—	$945M	$980M	$780M	$748M	$685M	—	—	—	—	—	—
Research & Development	—	$118M	$107M	$105M	$95M	$106M	—	—	—	—	—	—
Depreciation	—	—	—	—	—	—	$352M	$293M	$152M	$162M	$122M	$94M
Total Operating Expenses	—	$1.1B	$1.1B	$919M	$884M	$822M	—	—	—	—	—	—
	$4.0B	$4.2B	$3.5B	$2.9B	$2.2B	$1.7B	$1.8B	$1.9B	$1.7B	$1.5B	$1.3B	$1.1B
EBIT	$4.0B	$4.2B	$3.5B	$2.9B	$2.2B	$1.7B	$1.8B	$1.9B	$1.7B	$1.5B	$1.3B	$1.1B
EBITDA	$4.0B	$4.2B	$3.5B	$2.9B	$2.2B	$1.7B	$2.1B	$2.2B	$1.8B	$1.7B	$1.4B	$1.2B
Operating Margin	46.7%	47.2%	44.5%	44.4%	40.8%	35.2%	34.3%	36.9%	43.4%	42.3%	40.0%	39.7%
EBITDA Margin	46.6%	47.2%	44.5%	44.4%	40.8%	35.2%	41.4%	42.5%	47.6%	47.4%	44.3%	43.1%
	—	—	—	—	—	—	$1.1B	$862M	$669M	$642M	$500M	$437M
	—	$2.6B	$2.2B	$1.7B	$1.1B	$715M	—	—	—	—	—	—
Income Tax Expense	—	$555M	$500M	$417M	$261M	$34M	$87M	$222M	$24M	$209M	$182M	$190M
	$1.9B	$2.1B	$1.7B	$1.3B	$867M	$681M	$700M	$892M	$957M	$597M	$586M	$447M
Net Margin	22.1%	23.5%	21.6%	19.7%	16.0%	14.2%	13.7%	17.1%	25.1%	17.0%	18.5%	16.5%
	$6.62	$32.08	$25.62	$22.03	$13.40	-	$8.96	$13.84	$16.20	$7.88	$10.39	$7.84
Diluted EPS	$6.62	$32.08	$25.62	$22.03	$13.40	-	$8.96	$13.84	$16.20	$7.88	$10.39	$7.84
Weighted Avg Basic	—	58M	58M	57M	58M	55M	—	—	—	—	—	—
Weighted Avg Diluted	—	58M	58M	57M	58M	—	—	—	—	—	—	—

Line Item

TTM

2025

2024

2023

2022

2021

2020

2019

2018

2017

2016

2015

$8.7B

$8.8B

$7.9B

$6.6B

$5.4B

$4.8B

$5.1B

$5.2B

$3.8B

$3.5B

$3.2B

$2.7B

—

$3.5B

$3.3B

$2.7B

$2.3B

—

$5.2B

$5.3B

$4.7B

$3.8B

$3.1B

$2.5B

$2.6B

$2.8B

$2.2B

$2.0B

$1.7B

$1.4B

Gross Margin

59.9%

60.1%

58.8%

58.3%

57.1%

52.4%

51.9%

53.8%

57.1%

56.6%

54.5%

53.6%

—

$945M

$980M

$780M

$748M

$685M

—

Research & Development

—

$118M

$107M

$105M

$95M

$106M

—

Depreciation

—

$352M

$293M

$152M

$162M

$122M

$94M

Total Operating Expenses

—

$1.1B

$919M

$884M

$822M

—

$4.0B

$4.2B

$3.5B

$2.9B

$2.2B

$1.7B

$1.8B

$1.9B

$1.7B

$1.5B

$1.3B

$1.1B

EBIT

$4.0B

$4.2B

$3.5B

$2.9B

$2.2B

$1.7B

$1.8B

$1.9B

$1.7B

$1.5B

$1.3B

$1.1B

EBITDA

$4.0B

$4.2B

$3.5B

$2.9B

$2.2B

$1.7B

$2.1B

$2.2B

$1.8B

$1.7B

$1.4B

$1.2B

Operating Margin

46.7%

47.2%

44.5%

44.4%

40.8%

35.2%

34.3%

36.9%

43.4%

42.3%

40.0%

39.7%

EBITDA Margin

46.6%

47.2%

44.5%

44.4%

40.8%

35.2%

41.4%

42.5%

47.6%

47.4%

44.3%

43.1%

—

$1.1B

$862M

$669M

$642M

$500M

$437M

—

$2.6B

$2.2B

$1.7B

$1.1B

$715M

—

Income Tax Expense

—

$555M

$500M

$417M

$261M

$34M

$87M

$222M

$24M

$209M

$182M

$190M

$1.9B

$2.1B

$1.7B

$1.3B

$867M

$681M

$700M

$892M

$957M

$597M

$586M

$447M

Net Margin

22.1%

23.5%

21.6%

19.7%

16.0%

14.2%

13.7%

17.1%

25.1%

17.0%

18.5%

16.5%

$6.62

$32.08

$25.62

$22.03

$13.40

$8.96

$13.84

$16.20

$7.88

$10.39

$7.84

Diluted EPS

$6.62

$32.08

$25.62

$22.03

$13.40

$8.96

$13.84

$16.20

$7.88

$10.39

$7.84

Weighted Avg Basic

—

58M

57M

58M

55M

—

Weighted Avg Diluted

—

58M

57M

58M

—

TransDigm Group INC (TDG) Stock Analysis — April 2026 Rating, Price, and Forecast

Last updated: April 2026

Company Overview — What Does TransDigm Group INC Do?

TransDigm Group Incorporated designs, produces, and supplies aircraft components in the United States and internationally. Its Power & Control segment offers mechanical/electro-mechanical actuators and controls, ignition systems and engine technology, specialized pumps and valves, power conditioning devices, specialized AC/DC electric motors and generators, batteries and chargers, databus and power controls, sensor products, switches and relay panels, hoists, winches and lifting devices, and cargo loading and handling systems. This segment serves engine and power system and subsystem suppliers, airlines, third party maintenance suppliers, military buying agencies, and repair depots. The company's Airframe segment provides engineered latching and locking devices, engineered rods, engineered connectors and elastomer sealing solutions, cockpit security components and systems, cockpit displays, engineered audio, radio and antenna systems, lavatory components, seat belts and safety restraints, engineered and customized interior surfaces and related components, thermal protection and insulation products, lighting and control technology, and parachutes. This segment serves airframe manufacturers, cabin system and subsystem suppliers, airlines, third party maintenance suppliers, military buying agencies, and repair depots. Its Non-aviation segment offers seat belts and safety restraints for ground transportation applications; electro-mechanical actuators for space applications; hydraulic/electromechanical actuators and fuel valves for land-based gas turbines; refueling systems for heavy equipment used in mining, construction, and other industries; and turbine controls for the energy and oil and gas markets. This segment serves off-road vehicle and subsystem suppliers, child restraint system suppliers, and satellite and space system suppliers; and manufacturers of heavy equipment. TransDigm Group Incorporated was founded in 1993 and is based in Cleveland, Ohio. TransDigm Group INC (TDG) is classified as a large-cap stock in the Industrials sector, specifically within the Aircraft industry. The company is led by CEO Kevin M. Stein and employs approximately 14,400 people, headquartered in CLEVELAND, Ohio. With a market capitalization of $66.3B, TDG is one of the prominent companies in the Industrials sector.

TransDigm Group INC (TDG) Stock Rating — Reduce (April 2026)

As of April 2026, TransDigm Group INC receives a Reduce rating with a composite score of 42.9/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.TDG ranks #1,990 out of 4,446 stocks in our coverage universe. Within the Industrials sector, TransDigm Group INC ranks #309 of 752 stocks, placing it in the upper half of its Industrials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

TDG Stock Price and 52-Week Range

TransDigm Group INC (TDG) currently trades at $1210.95. The stock lost $14.57 (1.2%) in the most recent trading session. The 52-week high for TDG is $1623.83, which means the stock is currently trading -25.4% from its annual peak. The 52-week low is $1183.60, putting the stock 2.3% above its annual trough. Recent trading volume was 29K shares, suggesting relatively thin trading activity.

Is TDG Overvalued or Undervalued? — Valuation Analysis

TransDigm Group INC (TDG) carries a value factor score of 42/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 34.58x, compared to the Industrials sector average of 28.33x — a premium of 22%. The price-to-sales ratio is 7.61x, compared to 0.50x for the average Industrials stock. On an enterprise value basis, TDG trades at 23.57x EV/EBITDA, versus 5.70x for the sector.

Overall, TDG's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

TransDigm Group INC Profitability — ROE, Margins, and Quality Score

TransDigm Group INC (TDG) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is -74.1%, compared to the Industrials sector average of 8.9%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 8.0% versus the sector average of 3.3%.

On a margin basis, TransDigm Group INC reports gross margins of 59.9%, compared to 35.8% for the sector. The operating margin is 46.7% (sector: 6.2%). Net profit margin stands at 22.1%, versus 3.9% for the average Industrials stock. Revenue growth is running at 11.7% on a trailing basis, compared to 6.4% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.

TDG Debt, Balance Sheet, and Financial Health

TransDigm Group INC has a debt-to-equity ratio of -501.0%, compared to the Industrials sector average of 70.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 2.75x, indicating strong short-term liquidity. Total debt on the balance sheet is $29.32B.

TDG has a beta of 0.74, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for TransDigm Group INC is 78/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.

TransDigm Group INC Revenue and Earnings History — Quarterly Trend

In TTM 2026, TransDigm Group INC reported revenue of $8.68B and earnings per share (EPS) of $6.62. Net income for the quarter was $1.91B. Gross margin was 59.9%. Operating income came in at $4.05B.

In Q1 2026, TransDigm Group INC reported revenue of $2.29B and earnings per share (EPS) of $6.62. Net income for the quarter was $445M. Gross margin was 59.2%. Revenue grew 13.9% year-over-year compared to Q1 2025. Operating income came in at $1.04B.

In FY 2025, TransDigm Group INC reported revenue of $8.83B and earnings per share (EPS) of $32.08. Net income for the quarter was $2.07B. Gross margin was 60.1%. Revenue grew 11.2% year-over-year compared to FY 2024. Operating income came in at $4.17B.

In Q3 2025, TransDigm Group INC reported revenue of $2.24B and earnings per share (EPS) of $8.47. Net income for the quarter was $493M. Gross margin was 59.5%. Revenue grew 9.3% year-over-year compared to Q3 2024. Operating income came in at $1.04B.

Over the past 8 quarters, TransDigm Group INC has demonstrated a growth trajectory, with revenue expanding from $2.05B to $8.68B. Investors analyzing TDG stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

TDG Dividend Yield and Income Analysis

TransDigm Group INC (TDG) currently pays a dividend yield of 7.3%. At this yield, a $10,000 investment in TDG stock would generate approximately $$734.00 in annual dividend income. With a net margin of 22.1%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.

TDG Momentum and Technical Analysis Profile

TransDigm Group INC (TDG) has a momentum factor score of 35/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 28/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 23/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

TDG vs Competitors — Industrials Sector Ranking and Peer Comparison

Within the Industrials sector, TransDigm Group INC (TDG) ranks #309 out of 752 stocks based on the Blank Capital composite score. This places TDG in the upper half of all Industrials stocks in our coverage universe. Key competitors and sector peers include South Bow Corp (SOBO) with a score of 56.5/100, TSAKOS ENERGY NAVIGATION LTD (TEN) with a score of 61.4/100, Great Lakes Dredge & Dock CORP (GLDD) with a score of 56.7/100, Tri Pointe Homes, Inc. (TPH) with a score of 57.3/100, and Clear Channel Outdoor Holdings, Inc. (CCO) with a score of 52.2/100.

Comparing TDG against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full TDG vs S&P 500 (SPY) comparison to assess how TransDigm Group INC stacks up against the broader market across all factor dimensions.

TDG Next Earnings Date

No upcoming earnings date has been announced for TransDigm Group INC (TDG) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy TDG? — Investment Thesis Summary

The quantitative profile for TransDigm Group INC suggests caution. Momentum is weak at 35/100, a headwind for near-term performance. Low volatility (stability score 78/100) reduces downside risk.

In summary, TransDigm Group INC (TDG) earns a Reduce rating with a composite score of 42.9/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on TDG stock.

Related Resources for TDG Investors

Explore more research and tools: TDG vs S&P 500 comparison, top Industrials stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare TDG head-to-head with peers: TDG vs SOBO, TDG vs TEN, TDG vs GLDD.

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TransDigm Group INC (TDG) Stock Analysis — April 2026 Rating, Price, and Forecast

Company Overview — What Does TransDigm Group INC Do?

TransDigm Group INC (TDG) Stock Rating — Reduce (April 2026)

TDG Stock Price and 52-Week Range

Is TDG Overvalued or Undervalued? — Valuation Analysis

TransDigm Group INC Profitability — ROE, Margins, and Quality Score

TDG Debt, Balance Sheet, and Financial Health

TransDigm Group INC Revenue and Earnings History — Quarterly Trend

TDG Dividend Yield and Income Analysis

TDG Momentum and Technical Analysis Profile

TDG vs Competitors — Industrials Sector Ranking and Peer Comparison

TDG Next Earnings Date

Should You Buy TDG? — Investment Thesis Summary

Related Resources for TDG Investors

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Intelligence Feed

Shares of aerospace and defense companies are trading higher as investors respond to the US-Iran ceasefire deal and President Trump's 15‑point cooperation plan, easing geopolitical tensions and boosting risk appetite.

TransDigm Completes Acquisition of Jet Parts Engineering and Victor Sierra Aviation Holdings

Cruise Line Heir Tops Peter Thiel as Quarter’s Biggest Insider Seller

TransDigm Group Inc. stock outperforms competitors on strong trading day

Here's Why TransDigm Group (TDG) is a Strong Growth Stock