TransDigm Group Incorporated (TDG), Discounted Cash Flow Valuation

TransDigm Group Incorporated (TDG) Company Profile

US | Industrials | Aerospace & Defense | NYSE
1336.3 -24.62 (-1.81%)
Real-Time Price (USD)
Market Cap A valuation method that multiplies the price of a company's shares by the total number of outstanding shares.
74.95B
Revenue (ttm) The total amount of income generated by the sale of goods or services related to the company's primary operations.
8.15B
Net Income (ttm) The company's earnings for a period net of operating costs, taxes and interest.
1.82B
Shares Out Total number of common shares outstanding as of the latest date disclosed in a financial filing.
58.3M
EPS (ttm) Company's net earnings or losses from continuing operations on a per diluted share basis.
28.34
PE Ratio The price-to-earnings (PE) ratio is the ratio between a company's stock price and earnings per share. It measures the price of a stock relative to its profits.
48.13
Dividend Yield Measures the cash returned to shareholders by a firm as a percentage of the price they pay for each share of stock.
2.47%
Exchange Name of stock exchange where the trading item trades.
NYSE
Avg Volume The average number of shares traded each day over the past 30 days.
285.69K
Open The opening trade price over the trading day.
1353.67
Previous Close The last closing price.
1360.92
Beta A ratio that measures the risk or volatility of a company's share price in comparison to the market as a whole.
1.08
1 day delta The range between the high and low prices over the past day.
1.33K-1.37K
52 weeks The range between the high and low prices over the past 52 weeks.
1176.31-1451.32

Total Valuation

TransDigm Group Incorporated has a market cap or net worth of 74.95B. The enterprise value is 97.54B.
Market Cap (ttm) Market Capitalization
A valuation method that multiplies the price of a company's shares by the total number of outstanding shares.
74.95B
Enterprise Value (ttm) Enterprise Value
Enterprise value measures the total value of a company's outstanding shares, adjusted for debt and levels of cash and short-term investments.
Enterprise Value = Market Cap + Total Debt - Cash & Equivalents - Short-Term Investments
97.54B

Valuation Ratios

The trailing PE ratio is 42.69. TransDigm Group Incorporated's PEG ratio is 3.72.
PE Ratio (ttm) PE Ratio
The price-to-earnings (P/E) ratio is a valuation metric that shows how expensive a stock is relative to earnings.
PE Ratio = Stock Price / Earnings Per Share
42.69
PS Ratio (ttm) PS Ratio
The price-to-sales (P/S) ratio is a commonly used valuation metric. It shows how expensive a stock is compared to revenue.
PS Ratio = Market Capitalization / Revenue
9.19
PB Ratio (ttm) PB Ratio
The price-to-book (P/B) ratio measures a stock's price relative to book value. Book value is also called Shareholders' equity.
PB Ratio = Market Capitalization / Shareholders' Equity
-12.45
P/FCF Ratio (ttm) P/FCF Ratio
The price to free cash flow (P/FCF) ratio is similar to the P/E ratio, except it uses free cash flow instead of accounting earnings.
P/FCF Ratio = Market Capitalization / Free Cash Flow
37.66
PEG Ratio (ttm) PEG Ratio
The price/earnings to growth (PEG) ratio is calculated by dividing a company's PE ratio by its expected earnings growth.
PEG Ratio = PE Ratio / Expected Earnings Growth
3.72

Enterprise Valuation

The stock's EV/EBITDA ratio is 23.78, with a EV/FCF ratio of 49.01.
EV / Sales (ttm) EV / Sales Ratio
The enterprise value to sales (EV/Sales) ratio is similar to the price-to-sales ratio, but the price is adjusted for the company's debt and cash levels.
EV/Sales Ratio = Enterprise Value / Revenue
11.96
EV / EBITDA (ttm) EV / EBIT Ratio
The EV/EBITDA ratio measures a company's valuation relative to its EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization.
EV/EBITDA Ratio = Enterprise Value / EBITDA
23.78
EV / EBIT (ttm) EV/EBIT Ratio
The EV/EBIT is a valuation metric that measures a company's price relative to EBIT, or Earnings Before Interest and Taxes.
EV/EBIT Ratio = Enterprise Value / EBIT
45.13
EV / FCF (ttm) EV/FCF Ratio
The enterprise value to free cash flow (EV/FCF) ratio is similar to the price to free cash flow ratio, except the price is adjusted for the company's cash and debt.
EV/FCF Ratio = Enterprise Value / Free Cash Flow
49.01

Financial Efficiency

Return on equity (ROE) is -40.34% and return on invested capital (ROIC) is 14.60%.
Return on Equity (ROE) (ttm) Return on Equity (ROE)
Return on equity (ROE) is a profitability metric that shows how efficient a company is at using its equity (or "net" assets) to generate profits. It is calculated by dividing the company's net income by the average shareholders' equity over the past 12 months.
ROE = (Net Income / Average Shareholders' Equity) * 100%
-40.34%
Return on Assets (ROA) (ttm) Return on Assets (ROA)
Return on assets (ROA) is a metric that measures how much profit a company is able to generate using its assets. It is calculated by dividing net income by the average total assets for the past 12 months.
ROA = (Net Income / Average Total Assets) * 100%
8.48%
Return on Capital (ROIC) (ttm) Return on Capital (ROIC)
Return on invested capital (ROIC) measures how effective a company is at investing its capital in order to increase profits. It is calculated by dividing the EBIT (Earnings Before Interest & Taxes) by the average invested capital in the previous year.
ROIC = (EBIT / Average Invested Capital) * 100%
14.60%
Asset Turnover Asset Turnover
The asset turnover ratio measures the amount of sales relative to a company's assets. It indicates how efficiently the company uses its assets to generate revenue.
Asset Turnover Ratio = Revenue / Average Assets
0.31
Inventory Turnover (ttm) Inventory Turnover
The inventory turnover ratio measures how many times inventory has been sold and replaced during a time period.
Inventory Turnover Ratio = Cost of Revenue / Average Inventory
1.74

Margins

Trailing 12 months gross margin is 58.74%, with operating and profit margins of 45.97% and 22.38%.
Gross Margin (ttm) Gross Margin
Gross margin is the percentage of revenue left as gross profits, after subtracting cost of goods sold from the revenue.
Gross Margin = (Gross Profit / Revenue) * 100%
58.74%
Operating Margin (ttm) Operating Margin
Operating margin is the percentage of revenue left as operating income, after subtracting cost of revenue and all operating expenses from the revenue.
Operating Margin = (Operating Income / Revenue) * 100%
45.97%
Pretax Margin (ttm) Pretax Margin
Pretax margin is the percentage of revenue left as profits before subtracting taxes.
Pretax Margin = (Pretax Income / Revenue) * 100%
28.76%
Profit Margin (ttm) Profit Margin
Profit margin is the percentage of revenue left as net income, or profits, after subtracting all costs and expenses from the revenue.
Profit Margin = (Net Income / Revenue) * 100%
22.38%
EBITDA Margin (ttm) EBITDA Margin
EBITDA margin is the percentage of revenue left as EBITDA, after subtracting all expenses except interest, taxes, depreciation and amortization from revenue.
EBITDA Margin = (EBITDA / Revenue) * 100%
50.30%

Income Statement

In the last 12 months, TransDigm Group Incorporated had revenue of 8.15B and earned 1.82B in profits. Earnings per share (EPS) was 28.34.
Revenue (ttm) Revenue
Revenue is the amount of money a company receives from its main business activities, such as sales of products or services. Revenue is also called sales.
8.15B
Gross Profit (ttm) Gross Profit
Gross profit is a company’s profit after subtracting the costs directly linked to making and delivering its products and services.
Gross Profit = Revenue - Cost of Revenue
4.79B
Operating Income (ttm) Operating Income
Operating income is the amount of profit in a company after paying for all the expenses related to its core operations.
Operating Income = Revenue - Cost of Revenue - Operating Expenses
3.75B
Pretax Income (ttm) Pretax Income
Pretax income is a company's profits before accounting for income taxes.
Pretax Income = Net Income + Income Taxes
2.35B
Net Income (ttm) Net Income
Net income is a company's accounting profits after subtracting all costs and expenses from the revenue. It is also called earnings, profits or "the bottom line"
Net Income = Revenue - All Expenses
1.82B
EBITDA (ttm) EBITDA
EBITDA stands for "Earnings Before Interest, Taxes, Depreciation and Amortization." It is a commonly used measure of profitability.
EBITDA = Net Income + Interest + Taxes + Depreciation and Amortization
4.1B
EBIT (ttm) EBIT
EBIT stands for "Earnings Before Interest and Taxes" and is a commonly used measure of earnings or profits. It is similar to operating income.
EBIT = Net Income + Interest + Taxes
3.77B
Earnings Per Share (EPS) (ttm) EPS (Diluted)
Earnings per share is the portion of a company's profit that is allocated to each individual stock. Diluted EPS is calculated by dividing net income by "diluted" shares outstanding.
Diluted EPS = Net Income / Shares Outstanding (Diluted)
28.34

Financial Position

The company has a trailing 12 months (ttm) current ratio of 2.7, with a ttm Debt / Equity ratio of -4.
Current Ratio (ttm) Current Ratio
The current ratio is used to measure a company's short-term liquidity. A low number can indicate that a company will have trouble paying its upcoming liabilities.
Current Ratio = Current Assets / Current Liabilities
2.7
Quick Ratio (ttm) Quick Ratio
The quick ratio measure a company's short-term liquidity. A low number indicates that the company may have trouble paying its upcoming financial obligations.
Quick Ratio = (Cash + Short-Term Investments + Accounts Receivable) / Current Liabilities
1.85
Debt / Equity (ttm) Debt / Equity Ratio
The debt-to-equity ratio measures a company's debt levels relative to its shareholders' equity or book value. A high ratio implies that a company has a lot of debt.
Debt / Equity Ratio = Total Debt / Shareholders' Equity
-4
Debt / EBIT (ttm) Debt / EBIT Ratio
The debt-to-EBIT ratio is a company's debt levels relative to its trailing twelve-month EBIT. A high ratio implies that debt is high relative to the company's earnings.
Debt / EBIT Ratio = Total Debt / EBIT (ttm)
0.63

Dividends & Yields

This stock pays an annual dividend of 75, which amounts to a dividend yield of 5.61%.
Dividend Per Share (ttm) Dividend Per Share
Total amount paid to each outstanding share in dividends during the period.
75
Dividend Yield (ttm) Dividend Yield
The dividend yield is how much a stock pays in dividends each year, as a percentage of the stock price.
Dividend Yield = (Annual Dividends Per Share / Stock Price) * 100%
5.61%
Earnings Yield (ttm) Earnings Yield
The earnings yield is a valuation metric that measures a company's profits relative to stock price, expressed as a percentage yield. It is the inverse of the P/E ratio.
Earnings Yield = (Earnings Per Share / Stock Price) * 100%
2.34%
FCF Yield (ttm) FCF Yield
The free cash flow (FCF) yield measures a company's free cash flow relative to its price, shown as a percentage. It is the inverse of the P/FCF ratio.
FCF Yield = (Free Cash Flow / Market Cap) * 100%
2.66%
Dividend Growth (YoY) Dividend Growth
The change in dividend payments per share, compared to the previous period.
Dividend Growth = ((Current Dividend / Previous Dividend) - 1) * 100%
0.00%
Payout Ratio (ttm) Payout Ratio
The payout ratio is the percentage of a company's profits that are paid out as dividends. A high ratio implies that the dividend payments may not be sustainable.
Payout Ratio = (Dividends Per Share / Earnings Per Share) * 100%
240.88%

Balance Sheet

The company has 2.46B in cash and 25.05B in debt, giving a net cash position of -22.59B.
Cash & Cash Equivalents Cash & Cash Equivalents
Cash and cash equivalents is the sum of "Cash & Equivalents" and "Short-Term Investments." This is the amount of money that a company has quick access to, assuming that the cash equivalents and short-term investments can be sold at a short notice.
Cash & Cash Equivalents = Cash & Equivalents + Short-Term Investments
2.46B
Total Debt Total Debt
Total debt is the total amount of liabilities categorized as "debt" on the balance sheet. It includes both current and long-term (non-current) debt.
Total Debt = Current Debt + Long-Term Debt
25.05B
Net Cash Net Cash / Debt
Net Cash / Debt is an indicator of the financial position of a company. It is calculated by taking the total amount of cash and cash equivalents and subtracting the total debt.
Net Cash / Debt = Total Cash - Total Debt
-22.59B
Book Value Shareholders' Equity
Shareholders’ equity is also called book value or net worth. It can be seen as the amount of money held by investors inside the company. It is calculated by subtracting all liabilities from all assets.
Shareholders' Equity = Total Assets - Total Liabilities
-6.26B
Book Value Per Share (ttm) Book Value Per Share
Book value per share is the total amount of book value attributable to each individual stock. It is calculated by dividing book value (shareholders' equity) by the number of outstanding shares.
Book Value Per Share = Book Value / Shares Outstanding
-107.22
Working Capital (ttm) Working Capital
Working capital is the amount of money available to a business to conduct its day-to-day operations. It is calculated by subtracting total current liabilities from total current assets.
Working Capital = Current Assets - Current Liabilities
3.87B

Cash Flow

In the last 12 months, operating cash flow of the company was 2.16B and capital expenditures -171M, giving a free cash flow of 1.99B.
Operating Cash Flow (ttm) Operating Cash Flow
Operating cash flow, also called cash flow from operating activities, measures the amount of cash that a company generates from normal business activities. It is the amount of cash left after all cash income has been received, and all cash expenses have been paid.
2.16B
Capital Expenditures (ttm) Capital Expenditures
Capital expenditures are also called payments for property, plants and equipment. It measures cash spent on long-term assets that will be used to run the business, such as manufacturing equipment, real estate and others.
-171M
Free Cash Flow (ttm) Free Cash Flow
Free cash flow is the cash remaining after the company spends on everything required to maintain and grow the business. It is calculated by subtracting capital expenditures from operating cash flow.
Free Cash Flow = Operating Cash Flow - Capital Expenditures
1.99B
FCF Per Share (ttm) Free Cash Flow Per Share
Free cash flow per share is the amount of free cash flow attributed to each outstanding stock.
FCF Per Share = Free Cash Flow / Shares Outstanding
34.13

TransDigm Group Incorporated News

Apr 16, 2025 - accessnewswire.com
TDG Gold Corp. Announces DTCC Eligibility
WHITE ROCK, BC / ACCESS Newswire / April 16, 2025 / TDG Gold Corp. (TSXV:TDG)(OTCQX:TDGGF) (the "Company" or "TDG") is pleased to announce that the Company's common shares are eligible for delivery and depository services with the Depository Trust and Clearing Corporation (the "DTCC") to facilitate electronic settlement of transfers of its common shares in the United States. Securities that are eligible to be electronically cleared and settled through the DTCC are considered "DTCC eligible"....[read more]
Apr 10, 2025 - zacks.com
Here's Why You Must Add TransDigm Group Stock to Your Portfolio Now
TDG makes a strong case for investment in the aerospace-defense equipment industry, given its growth prospects, robust liquidity and an improvement in the defense budget....[read more]
Mar 14, 2025 - seekingalpha.com
TransDigm: Still A Buy Despite The Leverage And The Premium Valuation
TransDigm holds a dominant market position, leveraging its pricing power to maintain high FCF margins and return capital to shareholders despite potential 2025 headwinds. 90% of its revenue comes from selling proprietary parts, ensuring FAA-certified exclusivity and pricing power. During the Q1 2025 earnings, the company showed commitment to returning capital to its shareholders with special dividend payments and share repurchases....[read more]
Mar 6, 2025 - zacks.com
TransDigm (TDG) Up 6.5% Since Last Earnings Report: Can It Continue?
TransDigm (TDG) reported earnings 30 days ago. What's next for the stock?...[read more]
Mar 6, 2025 - zacks.com
Here's Why You Must Add TransDigm Group Stock to Your Portfolio Now
TDG makes a strong case for investment in the aerospace-defense equipment industry, given its growth prospects, strong liquidity, better solvency and an improvement in the defense budget....[read more]
Feb 28, 2025 - accessnewswire.com
Skeena Files Early Warning Report Regarding TDG Gold Corp.
VANCOUVER, BC / ACCESS Newswire / February 28, 2025 / Skeena Resources Limited (TSX:SKE)(NYSE:SKE) ("Skeena Gold & Silver", "Skeena" or the "Company") reports that it has filed an early warning report under National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues in connection to its shareholdings in TDG Gold Corp. (TSXV:TDG) ("TDG"). On February 14, 2025, Skeena, together with its wholly-owned subsidiary, QuestEx Gold & Copper Ltd....[read more]
Feb 14, 2025 - accessnewswire.com
TDG Gold Closes Final Tranche Of Non-brokered Private Placement For Aggregate Proceeds Of C$15.5 Million And Acquisition Of Sofia Property From Skeena
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES WHITE ROCK, BC / ACCESS Newswire / February 14, 2025 / TDG Gold Corp (TSXV:TDG) (the "Company" or "TDG") is pleased to announce that, further to its press release dated January 27, 2025 , the Company has closed the financing and the acquisition of the Sofia property. Financing TDG has closed the second and final tranche of its previously announced non-brokered private placement (the "Offering") thro...[read more]
Feb 13, 2025 - zacks.com
Here's Why TransDigm Group (TDG) is a Strong Momentum Stock
Whether you're a value, growth, or momentum investor, finding strong stocks becomes easier with the Zacks Style Scores, a top feature of the Zacks Premium research service....[read more]
Feb 13, 2025 - zacks.com
Why Investors Need to Take Advantage of These 2 Aerospace Stocks Now
Why investors should use the Zacks Earnings ESP tool to help find stocks that are poised to top quarterly earnings estimates....[read more]
Feb 12, 2025 - zacks.com
Here's Why TransDigm Group (TDG) is a Strong Growth Stock
The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage....[read more]

TransDigm Group Incorporated Details

Country US
City Cleveland
Address The Tower at Erieview
Ticker Symbol TDG
Exchange New York Stock Exchange
IPO Date Mar 15, 2006
CEO Dr. Kevin M. Stein Ph.D.
Sector Industrials
Industry Aerospace & Defense
Employees 16.6K

TransDigm Group Incorporated Company Description

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.

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