Transdigm Group (NYSE:TDG) Rating Lowered to Hold at Wall Street Zen

Transdigm Group (NYSE:TDG) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a note issued to investors on Monday.

Other equities research analysts also recently issued research reports about the company. UBS Group lowered their price target on Transdigm Group from $1,745.00 to $1,645.00 and set a “buy” rating on the stock in a research report on Wednesday, May 6th. Deutsche Bank Aktiengesellschaft upped their price objective on Transdigm Group from $1,306.00 to $1,350.00 and gave the stock a “hold” rating in a report on Wednesday, May 6th. Morgan Stanley cut Transdigm Group from an “overweight” rating to an “equal weight” rating and decreased their price objective for the company from $1,680.00 to $1,345.00 in a report on Wednesday, July 15th. Susquehanna dropped their target price on Transdigm Group from $1,400.00 to $1,350.00 and set a “neutral” rating for the company in a research report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. upped their target price on Transdigm Group from $1,440.00 to $1,450.00 and gave the stock a “neutral” rating in a research note on Monday, June 15th. Seven analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company. According to MarketBeat, Transdigm Group currently has a consensus rating of “Hold” and a consensus price target of $1,477.47.

Transdigm Group Price Performance

Shares of Transdigm Group stock opened at $1,214.45 on Monday. Transdigm Group has a 1 year low of $1,123.61 and a 1 year high of $1,623.82. The firm has a market cap of $67.92 billion, a PE ratio of 37.90, a PEG ratio of 2.13 and a beta of 0.90. The company has a 50 day simple moving average of $1,258.81 and a two-hundred day simple moving average of $1,273.96.

Transdigm Group (NYSE:TDG) last issued its quarterly earnings results on Tuesday, May 5th. The aerospace company reported $9.85 EPS for the quarter, topping analysts’ consensus estimates of $9.46 by $0.39. Transdigm Group had a net margin of 20.24% and a negative return on equity of 26.49%. The firm had revenue of $2.54 billion for the quarter, compared to analyst estimates of $2.47 billion. During the same quarter in the prior year, the firm earned $9.11 EPS. The business’s revenue for the quarter was up 18.3% compared to the same quarter last year. Transdigm Group has set its FY 2026 guidance at 38.830-40.210 EPS. As a group, research analysts anticipate that Transdigm Group will post 37.96 earnings per share for the current year.

Insider Transactions at Transdigm Group

In other news, Director W Nicholas Howley sold 10,132 shares of the business’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $1,180.82, for a total value of $11,964,068.24. Following the completion of the sale, the director owned 21,548 shares of the company’s stock, valued at approximately $25,444,309.36. The trade was a 31.98% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, COO Joel Reiss sold 3,900 shares of the stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $1,276.78, for a total value of $4,979,442.00. Following the sale, the chief operating officer owned 3,600 shares of the company’s stock, valued at $4,596,408. This represents a 52.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 28,064 shares of company stock worth $34,814,142 over the last ninety days. Insiders own 3.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in TDG. Central Pacific Bank Trust Division boosted its stake in shares of Transdigm Group by 44.4% during the 4th quarter. Central Pacific Bank Trust Division now owns 26 shares of the aerospace company’s stock valued at $35,000 after purchasing an additional 8 shares in the last quarter. Family Legacy Inc. raised its stake in Transdigm Group by 0.3% in the fourth quarter. Family Legacy Inc. now owns 2,394 shares of the aerospace company’s stock worth $3,184,000 after buying an additional 8 shares in the last quarter. Annis Gardner Whiting Capital Advisors LLC lifted its holdings in Transdigm Group by 17.0% in the fourth quarter. Annis Gardner Whiting Capital Advisors LLC now owns 55 shares of the aerospace company’s stock worth $73,000 after buying an additional 8 shares during the period. Patton Fund Management Inc. boosted its position in Transdigm Group by 5.7% during the 4th quarter. Patton Fund Management Inc. now owns 167 shares of the aerospace company’s stock valued at $222,000 after acquiring an additional 9 shares in the last quarter. Finally, Fisher Asset Management LLC boosted its position in Transdigm Group by 3.1% during the 4th quarter. Fisher Asset Management LLC now owns 299 shares of the aerospace company’s stock valued at $398,000 after acquiring an additional 9 shares in the last quarter. 95.78% of the stock is owned by hedge funds and other institutional investors.

About Transdigm Group

TransDigm Group Incorporated is a designer, producer and supplier of engineered aircraft components and systems for commercial and military aerospace applications. The company’s product portfolio covers a broad range of mission-critical parts and subsystems, including mechanical and electromechanical components, ignition and fuel system parts, sensors and actuators, cockpit and cabin systems, and other safety-critical hardware. TransDigm supplies original equipment manufacturers (OEMs) as well as the aftermarket, providing spare parts, repair and overhaul services and component support throughout an asset’s life cycle.

TransDigm’s operating model places emphasis on proprietary, niche components that are difficult to replace, and the company operates through a collection of independently run subsidiaries and brands that sell specialized products.