Transdigm Group (NYSE:TDG) Hits New 1-Year High – Should You Buy?

Shares of Transdigm Group Incorporated (NYSE:TDG) hit a new 52-week high during trading on Monday . The company traded as high as $1,611.89 and last traded at $1,584.32, with a volume of 164667 shares. The stock had previously closed at $1,597.30.

Analysts Set New Price Targets

Several brokerages have recently issued reports on TDG. KeyCorp upped their price objective on Transdigm Group from $1,500.00 to $1,700.00 and gave the stock an “overweight” rating in a report on Wednesday, July 2nd. Citigroup increased their price target on Transdigm Group from $1,635.00 to $1,795.00 and gave the company a “buy” rating in a research note on Monday, July 14th. Morgan Stanley raised their target price on Transdigm Group from $1,575.00 to $1,750.00 and gave the stock an “overweight” rating in a report on Thursday, July 17th. Northcoast Research upgraded Transdigm Group from a “neutral” rating to a “buy” rating and set a $1,500.00 target price on the stock in a research report on Wednesday, April 9th. Finally, Truist Financial raised their target price on Transdigm Group from $1,553.00 to $1,730.00 and gave the stock a “buy” rating in a research note on Friday, July 11th. Four analysts have rated the stock with a hold rating and twelve have given a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $1,606.47.

Transdigm Group Price Performance

The business has a fifty day moving average of $1,471.71 and a 200 day moving average of $1,385.60. The stock has a market cap of $88.99 billion, a PE ratio of 47.53, a P/E/G ratio of 3.23 and a beta of 1.04.

Transdigm Group (NYSE:TDG) last announced its quarterly earnings data on Tuesday, May 6th. The aerospace company reported $9.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $8.83 by $0.28. The business had revenue of $2.15 billion during the quarter, compared to analyst estimates of $2.17 billion. Transdigm Group had a negative return on equity of 38.71% and a net margin of 21.09%. Transdigm Group’s quarterly revenue was up 12.0% compared to the same quarter last year. During the same period last year, the company earned $7.99 earnings per share. On average, equities research analysts expect that Transdigm Group Incorporated will post 35.13 EPS for the current year.

Insider Activity

In related news, CFO Sarah Wynne sold 1,800 shares of the business’s stock in a transaction on Friday, June 13th. The shares were sold at an average price of $1,450.00, for a total value of $2,610,000.00. Following the transaction, the chief financial officer owned 3,400 shares in the company, valued at $4,930,000. The trade was a 34.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Sean P. Hennessy sold 4,700 shares of the company’s stock in a transaction dated Tuesday, May 20th. The shares were sold at an average price of $1,436.52, for a total transaction of $6,751,644.00. Following the transaction, the director owned 33,713 shares in the company, valued at $48,429,398.76. This represents a 12.24% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 116,113 shares of company stock valued at $168,625,811. Company insiders own 4.09% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. raised its holdings in shares of Transdigm Group by 1.4% during the first quarter. Vanguard Group Inc. now owns 6,359,924 shares of the aerospace company’s stock valued at $8,797,619,000 after purchasing an additional 89,121 shares during the last quarter. Capital World Investors raised its holdings in shares of Transdigm Group by 4.3% during the fourth quarter. Capital World Investors now owns 3,791,927 shares of the aerospace company’s stock valued at $4,805,434,000 after purchasing an additional 155,541 shares during the last quarter. JPMorgan Chase & Co. grew its position in Transdigm Group by 10.4% during the fourth quarter. JPMorgan Chase & Co. now owns 2,204,649 shares of the aerospace company’s stock valued at $2,793,908,000 after buying an additional 206,822 shares during the period. FMR LLC grew its position in Transdigm Group by 0.3% during the fourth quarter. FMR LLC now owns 1,925,595 shares of the aerospace company’s stock valued at $2,440,268,000 after buying an additional 5,414 shares during the period. Finally, Capital Research Global Investors grew its position in Transdigm Group by 4.8% during the fourth quarter. Capital Research Global Investors now owns 1,911,128 shares of the aerospace company’s stock valued at $2,421,979,000 after buying an additional 87,309 shares during the period. 95.78% of the stock is owned by institutional investors.

Transdigm Group Company Profile

TransDigm Group Incorporated designs, produces, and supplies aircraft components in the United States and internationally. The 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.