Transdigm Group (NYSE:TDG) Issues FY 2026 Earnings Guidance

Transdigm Group (NYSE:TDG) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided EPS guidance of 40.620-41.460 for the period, compared to the consensus EPS estimate of 39.670. The company issued revenue guidance of $10.5 billion-$10.6 billion, compared to the consensus revenue estimate of $10.3 billion.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on TDG shares. Stifel Nicolaus reaffirmed a “hold” rating and set a $1,405.00 target price (down from $1,525.00) on shares of Transdigm Group in a research report on Wednesday. Royal Bank Of Canada cut their target price on Transdigm Group from $1,400.00 to $1,350.00 and set a “sector perform” rating on the stock in a research report on Wednesday, May 6th. BNP Paribas Exane reduced their price target on Transdigm Group from $1,800.00 to $1,750.00 and set an “outperform” rating for the company in a report on Thursday, May 14th. UBS Group cut their target price on shares of Transdigm Group from $1,745.00 to $1,645.00 and set a “buy” rating for the company in a research note on Wednesday, May 6th. Finally, Morgan Stanley lowered shares of Transdigm Group from an “overweight” rating to an “equal weight” rating and reduced their price target for the company from $1,680.00 to $1,345.00 in a research report on Wednesday, July 15th. Six investment analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $1,469.47.

Transdigm Group Trading Down 1.2%

NYSE:TDG traded down $15.21 during mid-day trading on Wednesday, hitting $1,259.84. 97,882 shares of the company’s stock were exchanged, compared to its average volume of 391,902. The firm has a market capitalization of $70.46 billion, a P/E ratio of 39.32, a PEG ratio of 2.26 and a beta of 0.91. Transdigm Group has a fifty-two week low of $1,123.61 and a fifty-two week high of $1,463.03. The company has a 50 day simple moving average of $1,271.83 and a 200-day simple moving average of $1,263.85.

Transdigm Group (NYSE:TDG) last announced its quarterly earnings results on Tuesday, August 4th. The aerospace company reported $10.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $10.30 by $0.57. Transdigm Group had a negative return on equity of 26.49% and a net margin of 20.24%.The business had revenue of $2.74 billion for the quarter, compared to analyst estimates of $2.68 billion. During the same quarter in the prior year, the company earned $9.60 earnings per share. The company’s quarterly revenue was up 22.5% on a year-over-year basis. Transdigm Group has set its FY 2026 guidance at 40.620-41.460 EPS. As a group, analysts expect that Transdigm Group will post 37.77 earnings per share for the current year.

Insider Transactions at Transdigm Group

In other news, COO Joel Reiss sold 3,900 shares of the firm’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $1,276.78, for a total transaction of $4,979,442.00. Following the transaction, the chief operating officer directly owned 3,600 shares of the company’s stock, valued at approximately $4,596,408. This trade represents a 52.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director W Nicholas Howley sold 10,132 shares of the company’s stock in a transaction that occurred on 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 transaction, the director owned 21,548 shares in the company, valued at $25,444,309.36. This trade represents a 31.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 38,196 shares of company stock worth $47,135,464. 3.20% of the stock is currently owned by insiders.

Trending Headlines about Transdigm Group

Here are the key news stories impacting Transdigm Group this week:

• Positive Sentiment: Results exceeded expectations: Fiscal Q3 adjusted earnings were $10.87 per share, above the roughly $10.29–$10.30 consensus and up from $9.60 a year earlier. Revenue rose 23% to $2.74 billion, topping estimates of $2.68 billion. TransDigm Group Reports Fiscal 2026 Third Quarter Results
• Positive Sentiment: Broad operating momentum: EBITDA As Defined increased 19% to $1.45 billion, with a 52.8% margin. Management cited continued commercial aftermarket growth, acquisitions and solid demand across the business. TransDigm Q3 Earnings Surpass Estimates
• Positive Sentiment: Fiscal 2026 outlook raised: TDG now expects adjusted EPS of $40.62–$41.46 and revenue of approximately $10.5–$10.6 billion, above consensus expectations of $39.67 EPS and $10.3 billion in revenue. TransDigm Forecasts Fiscal 2026 Revenue
• Neutral Sentiment: Stifel reaffirmed its Hold rating while maintaining a $1,405 price target, which remains above the stock’s recent trading level but signals limited conviction in near-term upside. Benzinga
• Negative Sentiment: Stifel cut its price target from $1,525 to $1,405. The reduction may be weighing on TDG because it offsets some of the positive impact from the earnings beat and guidance increase, particularly given the stock’s elevated valuation.

Hedge Funds Weigh In On Transdigm Group

A number of hedge funds have recently added to or reduced their stakes in TDG. Compound Planning Inc. increased its holdings in Transdigm Group by 25.1% during the fourth quarter. Compound Planning Inc. now owns 428 shares of the aerospace company’s stock valued at $569,000 after buying an additional 86 shares during the period. Invesco Ltd. grew its position in Transdigm Group by 1.4% during the fourth quarter. Invesco Ltd. now owns 427,968 shares of the aerospace company’s stock valued at $569,133,000 after buying an additional 6,087 shares during the period. Corient Private Wealth LLC lifted its position in shares of Transdigm Group by 12.1% during the 4th quarter. Corient Private Wealth LLC now owns 76,040 shares of the aerospace company’s stock valued at $101,122,000 after buying an additional 8,222 shares in the last quarter. Mercer Global Advisors Inc. ADV boosted its stake in shares of Transdigm Group by 4.3% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 2,519 shares of the aerospace company’s stock worth $3,350,000 after acquiring an additional 105 shares during the last quarter. Finally, Owlhouse Capital LP acquired a new position in shares of Transdigm Group during the 4th quarter worth approximately $8,085,000. 95.78% of the stock is currently owned by 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.