TransDigm Group stock analysis 2026 | Price, valuation & outlook

TransDigm Group

NYSE:TDG

$ 1.140,03

$-11,91 (-1,03%)

1.140,03 $

$-11,91 (-1,03%)

End-of-day quote: 03/27/2026

TransDigm Group Stock Value

Analysts currently rate NYSE:TDG as Outperform.

Outperform

TransDigm Group Company Info

EPS Growth 5Y

20,87%

Market Cap

$64,38 B

Long-Term Debt

$28,89 B

Short Interest

2,86%

Quarterly earnings

05/06/2026 (E)

Dividend

$89,04

Dividend Yield

7,81%

Founded

1993

Industry

Industrials

Country

United States

ISIN Number

US8936411003

Website

https://www.transdigm.com

Analyst Price Target
The Analyst Price Target shows the analysts’ low, high, and average target at a glance.

$1.622,50

42.32%

Last Update: 03/28/2026

Analysts: 20

Highest Price Target $1.900,00

Average Price Target $1.622,50

Lowest Price Target $1.317,00

In the last five quarters, TransDigm Group’s Price Target has risen from $1.281,66 to $1.412,26 - a 10,19% increase. Eighteen analysts predict that TransDigm Group’s share price will increase in the coming year, reaching $1.622,50. This would represent an increase of 42,32%.

Top growth stocks in the industrials sector (5Y.)

What does TransDigm Group do?

TransDigm Group Incorporated, through its wholly-owned subsidiary, TransDigm Inc., is a global designer, producer and supplier of highly engineered aircraft components that are critical to the safe and effective operation of nearly all commercial and military aircraft worldwide. The company’s products are represented in nearly every commercial and military aircraft in service. The company’s business is well diversified due to the broad range of products the company offers to its customers. Mos...

The company’s products are represented in nearly every commercial and military aircraft in service. The company’s business is well diversified due to the broad range of products the company offers to its customers.

Most of the company’s products generate significant aftermarket revenue. Once the company’s parts are designed into and sold on a new aircraft, the company generates net sales from aftermarket consumption over the life of that aircraft, which is generally estimated to be approximately 25 to 30 years. A typical platform can be produced for 20 to 30 years, giving the company an estimated product life cycle in excess of 50 years. The company estimates that approximately 55% of the company’s net sales in fiscal year 2024 were generated from the aftermarket, the vast majority of which come from the commercial and military aftermarkets.

Products

The company primarily designs, produces and supplies highly engineered proprietary aerospace components with significant aftermarket content. The company seeks to develop highly customized products to solve specific needs for aircraft operators and manufacturers. The company attempts to differentiate itselves based on engineering, service and manufacturing capabilities. The company’s business is well diversified due to the broad range of products that the company offers to its customers. Each of the company’s product offerings is composed of many individual products that are typically customized to meet the needs of a particular aircraft platform or customer. The company’s portfolio of products encompasses a vast array of essential components that play pivotal roles on commercial aerospace and defense platforms, as well as other products. For example, TransDigm’s operating units make aircraft seatbelts and cockpit security systems that keep passengers and pilots safe; parachutes that protect soldiers, sailors and airmen; and space telescope equipment that helps the National Aeronautics and Space Administration (‘NASA’) better understand the universe.

Segments

The company’s businesses are organized and managed in three reporting segments: Power & Control, Airframe and Non-aviation.

The Power & Control segment includes operations that primarily develop, produce and market systems and components that predominately provide power to or control power of the aircraft utilizing electronic, fluid, power and mechanical motion control technologies. Major product offerings include mechanical/electromechanical 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, advanced sensor products, switches and relay panels, high performance hoists, winches and lifting devices, cargo loading, handling, delivery systems and electronic components used in the generation, amplification, transmission and reception of microwave signals. Primary customers of this segment are engine and power system and subsystem suppliers, airlines, third party maintenance suppliers, military buying agencies and repair depots. Products are sold in the original equipment and aftermarket market channels.

The Airframe segment includes operations that primarily develop, produce and market systems and components that are used in non-power airframe applications utilizing airframe and cabin structure technologies. Major product offerings include engineered latching and locking devices, engineered rods, engineered connectors and elastomer sealing solutions, cockpit security components and systems, specialized and advanced cockpit displays, engineered audio, radio and antenna systems, specialized lavatory components, seat belts and safety restraints, engineered and customized interior surfaces and related components, thermal protection and insulation, lighting and control technology, parachutes, specialized flight, wind tunnel and jet engine testing services and equipment and complex testing and instrumentation solutions. Primary customers of this segment are airframe manufacturers and cabin system suppliers and subsystem suppliers, airlines, third party maintenance suppliers, military buying agencies and repair depots. Products are sold in the original equipment and aftermarket market channels.

The Non-aviation segment includes operations that primarily develop, produce and market products for non-aviation markets. Major product offerings include seat belts and safety restraints for ground transportation applications, mechanical/electromechanical actuators and controls for space applications, hydraulic/electromechanical actuators and fuel valves for land-based gas turbines, and refueling systems for heavy equipment used in mining, construction and other industries and turbine controls for the energy and oil and gas markets. Primary customers of this segment are off-road vehicle suppliers and subsystem suppliers, child restraint system suppliers, satellite and space system suppliers, manufacturers of heavy equipment used in mining, construction and other industries and turbine original equipment manufacturers, gas pipeline builders and electric utilities.

Sales and Marketing

Consistent with the company’s overall strategy, the company’s sales and marketing organization is structured to continually develop technical solutions that meet customer needs. In particular, the company attempts to focus on products and programs that will lead to high-margin, repeatable sales in the aftermarket.

The company has structured its sales efforts along its major product offerings, assigning a business unit manager that leads a business unit team. The teams are generally defined based on a grouping of related products with similar functionality, engineering designs and/or applications. The team consists of physically co-located, cross functional personnel who in turn focus their efforts entirely on the products and customers they serve.

The company also uses a number of distributors to provide logistical support, as well as serve as a primary customer contact with certain smaller accounts. Boeing Distribution Services, Inc. and Satair A/S (a subsidiary of Airbus S.A.S.) among others, are the company’s major distributors.

Customers

The company predominantly serves customers in the commercial, regional, business jet and general aviation aftermarket, which accounted for approximately 31% of the company’s net sales for fiscal year 2024; the commercial aerospace OEM market, comprising large commercial transport manufacturers and regional and business jet manufacturers, which accounted for approximately 27% of the company’s net sales for fiscal year 2024; and the defense market (which includes defense OEMs and aftermarket sales to the U.S. and friendly foreign governments), which accounted for approximately 40% of the company’s net sales for fiscal year 2024. Non-aerospace net sales comprised approximately 2% of the company’s net sales for fiscal year 2024.

The company’s customers include: (1) distributors of aerospace components; (2) worldwide commercial airlines, including national and regional airlines; (3) large commercial transport and regional and business aircraft OEMs; (4) various armed forces of the United States and friendly foreign governments; (5) defense OEMs; (6) system suppliers; and (7) various other industrial customers. The company’s top ten customers for fiscal year 2024 accounted for approximately 42% of the company’s net sales. Products supplied to many of the company’s customers are used on multiple platforms.

The markets in which the company sells its products are, to varying degrees, cyclical and have experienced upswings and downturns. The demand for the company’s commercial aftermarket parts and services depends on, among other things, the breadth of the company’s installed OEM base, revenue passenger kilometers (‘RPKs’), the size and age of the worldwide aircraft fleet, the percentage of the worldwide fleet that is in warranty, and airline profitability. The demand for defense products is specifically dependent on government budget trends, military campaigns and political pressures.

Governmental Regulation

The commercial aircraft component industry is highly regulated by the Federal Aviation Administration (‘FAA’) in the United States and by the European Union Aviation Safety Agency in Europe and other agencies throughout the world, while the military aircraft component industry is governed by military quality specifications. The company, and the components it manufactures, is required to be certified by one or more of these entities or agencies, and, in many cases, by individual OEMs, in order to engineer and service parts and components used in specific aircraft models.

The company must also satisfy the requirements of the company’s customers, including OEMs and airlines that are subject to FAA regulations, and provide these customers with products and services that comply with the government regulations applicable to commercial flight operations. In addition, the FAA and other aviation authorities require that various maintenance routines be performed on aircraft components. The company satisfies or exceeds these maintenance standards in the company’s repair and overhaul services. The company also maintains several FAA-approved repair stations.

Market Channels

Commercial OEM Market

The company’s commercial transport OEM shipments and revenues generally run ahead of aircraft delivery schedules. Consistent with prior years, the company’s fiscal 2025 shipments will be a function of, among other things, the estimated 2025 and 2026 commercial aircraft production rates for Boeing and Airbus. In fiscal 2024, the company experienced improved sales in the commercial OEM sector primarily due to increased aircraft production by Boeing and Airbus. Airline demand for new aircraft remains high, and the OEMs are working to increase aircraft production. However, aircraft production rates remain well below pre-pandemic levels as the struggles in the OEM supply chain persist. Due to these factors, it is difficult to accurately predict the OEM build rates for 2025.

The company’s businesses continually seek to provide innovative solutions for the company’s customers and others in the commercial aerospace and defense industries. These include new touchless products and environmentally friendly products, such as the brushless starter generator and sustainable decorative laminates.

Defense

The company’s military business fluctuates from year-to-year, and is dependent, to a degree, on government budget constraints, the timing of orders, macro and micro dynamics with respect to the U.S. Department of Defense (‘DOD’) procurement policy and the extent of global conflicts, such as the ongoing conflicts between Russia and Ukraine and Israel and Hamas.

Other Considerations

The company services a diversified customer base in the commercial and military aerospace industry, and the company provides components to a diverse installed base of aircraft, which mitigates the company’s exposure to any individual airframe platform.

Research and Development

The company's research and development costs were approximately $107 million for the year ended September 30, 2024.

Seasonality

The company’s net sales have generally been lower in the first quarter (year ended September 2024) of the company’s fiscal year compared to the subsequent quarters due to fewer working days resulting from the observance of various holidays.

History

TransDigm Group Incorporated was founded in 1993. The company was incorporated in 2003.

TransDigm Group Questions and Answers

Which sectors generate sales and which are the top 3 markets?

**Aerospace Industry:** approx. 75% **Defense Industry:** approx. 15% **Industrial Applications:** approx. 10% **TOP 3 Markets:** 1. **North America:** approx. 55% 2. **Europe:** approx. 25% 3. **Asia-Pacific:** approx. 15% TransDigm Group Incorporated generates the majority of its r...

At which locations are the company’s products manufactured?

**Production Sites:** USA, Europe, Asia TransDigm Group Incorporated mainly produces its products in the USA, but also has production facilities in Europe and Asia. The company is a leading provider of advanced components for the aviation industry and operates several specialized manufacturing plan...

What strategy does TransDigm Group pursue for future growth?

**Revenue Growth:** Estimated 8-10% annually (2025-2027) **EBITDA Margin:** Above 45% (2025) TransDigm Group Incorporated pursues a growth strategy based on strategic acquisitions, optimizing operational efficiency, and focusing on high-margin products. The company is known for targeting smaller...

Which raw materials are imported and from which countries?

**Main raw materials:** Aluminum, titanium, nickel alloys **Countries of origin:** - **Aluminum:** Canada, China - **Titanium:** Russia, Japan - **Nickel alloys:** Australia, Russia TransDigm Group Incorporated, as a leading provider of advanced components for the aerospace industry, sources a var...

How strong is the company’s competitive advantage?

**EBITDA margin:** 45% (2024) **Market share in the aviation industry:** 15% (2024) **R&D expenses:** 5% of revenue (2024) TransDigm Group Incorporated has a significant competitive advantage in the aviation industry, which is manifested through several factors. The high EBITDA margin of 45...

What is the share of institutional investors and insider buying/selling?

**Institutional Investor Share:** approx. 90% (2025, estimate based on historical data) **Insider Purchases/Sales:** No significant insider transactions in the last year (2025, estimate) The institutional investor share in TransDigm Group Incorporated is traditionally high, indicating the trust of...

What percentage market share does TransDigm Group have?

**Market share of TransDigm Group Incorporated:** Estimate 20% (2025) **Main competitors and their market shares:** 1. **Honeywell International Inc.:** Estimate 25% 2. **United Technologies Corporation (Raytheon Technologies):** Estimate 22% 3. **Safran S.A.:** Estimate 18% 4. **General Electric A...

Is TransDigm Group stock currently a good investment?

**Revenue Growth:** 8.5% (2024) **EBITDA Margin:** 45% (2024) **Free Cash Flow:** 1.2 billion USD (2024) TransDigm Group Incorporated recorded a revenue growth of 8.5% in 2024, attributed to the ongoing strength in the aviation sector and strategic acquisitions. The EBITDA margin of 45% demonstrate...

Does TransDigm Group pay a dividend – and how reliable is the payout?

**Dividend payment:** No dividend (as of 2025) TransDigm Group Incorporated is known for not paying regular dividends to its shareholders. Instead, the company focuses on returning capital to shareholders through share buybacks and strategic investments in its own business. This strategy allows Tr...

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TransDigm Group Stock Value

TransDigm Group Company Info

Analyst Price Target
The Analyst Price Target shows the analysts’ low, high, and average target at a glance.

Top growth stocks in the industrials sector (5Y.)

What does TransDigm Group do?

TransDigm Group Questions and Answers

Offer & Services

Service & Collaboration

Company & Legal

New support ticket

Explore

TransDigm Group Stock Value

TransDigm Group Company Info

Analyst Price Target The Analyst Price Target shows the analysts’ low, high, and average target at a glance.

Top growth stocks in the industrials sector (5Y.)

What does TransDigm Group do?

TransDigm Group Questions and Answers

Offer & Services

Service & Collaboration

Company & Legal

Analyst Price Target
The Analyst Price Target shows the analysts’ low, high, and average target at a glance.