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TransDigm Group

TDG on NYSE. TD Group sells aircraft parts to commercial and military aircraft makers and operators. Market value $60.4bn.

Watch this stockFree. We tell you when something changes.

Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to September 2025.

Should I look at this?

Good business, but not cheap right now

Why it could be worth it

What to watch out for

See cheaper Industrials stocks on the list

This is not advice. Check the numbers below.

Compare with another stock

Cash yield
past 12 months to June 2026
3.2%fair

For every $100 of what the whole company costs, it produced $3.19 of spare cash in the past 12 months. A savings account pays about $4.

Price to profit
past 12 months to June 2026
19.6×full

You pay 19.6 years of operating profit for the business. The average large US company costs around 18.

Return on capital
five annual reports to September 2025
16.6%five-year median

Each dollar kept in the business earns 17 cents a year. Above 10 is good.

Quality score: 80 of 100. Price score: 56 of 100. Our list needs 70 on quality and 60 on price.

$1,092.66 a share, at its 1-year low

Over the past year the price has ranged from $1,071.25 to $1,463.03.

Dividend: 0.3% a year

Paid every year for at least 5 years

Payouts have jumped around in recent years, so this may not repeat.

Prices from Monday’s close (5 October).

Five years of cash, in billions

0.8
0.8
1.2
1.9
1.8
1.9
2021202220232024202512 monthsto Jun '26
Revenue
$4.8bn$5.4bn$6.6bn$7.9bn$8.8bn
Operating margin
35.2%40.8%44.4%44.5%47.2%
Debt to equity
n/an/an/an/an/a
Shares outstanding
0.05bn0.06bn0.06bn0.06bn0.06bn

Health checks

  • Free cash flow positive5 of 5 years
  • Accounting looks honest (Beneish)Nothing unusual
  • Financial strength (Piotroski)6 of 8 checks we could run
  • Profit backed by cash (accruals)Yes
  • DebtUnknown
  • Revenue growth, five yearsStrong, 11.6% a year
  • Buying back its own sharesRoughly flat

The quarter to June 2026

How the business did, compared with the same quarter a year earlier.

  • Sales: $2.7 billion last quarter, up 23% on a year ago.
  • Profit: $539 million, up 10% on a year ago.
  • It keeps 46 cents of each $1 of sales as operating profit, about the same as a year earlier.
  • Spare cash over the past 12 months: $1.9 billion, about the same as a year earlier.
  • 1% fewer shares than a year ago. Each share owns a bit more of the company.
  • Debt is $30 billion more than cash, up from $21.6 billion a year ago.
  • Sales grew on a year ago in each of the last 4 quarters.
Sales by quarter
Sales by quarter
Quarter toAmount
September 2024$2.2bn
December 2024$2.0bn
March 2025$2.1bn
June 2025$2.2bn
September 2025$2.4bn
December 2025$2.3bn
March 2026$2.5bn
June 2026$2.7bn
Profit by quarter
Profit by quarter
Quarter toAmount
September 2024$468m
December 2024$493m
March 2025$479m
June 2025$492m
September 2025$610m
December 2025$445m
March 2026$535m
June 2026$539m

From the company's quarterly reports to the SEC.

Dates

Next results (estimated)
5 November 2026
Last annual report (10-K)
12 November 2025
Next quarterly (estimated, 10-Q)
3 November 2026

Who owns it

10 long-term investors we follow own it, unchanged from 10 last quarter. 1,141 funds in all.

Jun '25
Dec '25
Jun '26
Largest holders overall

From 13F filings for the quarter ended 30 June 2026.

Big holders and activists

4 investors own more than 5%.

From Schedule 13D and 13G filings: anyone owning more than 5% must file one.

What insiders did

In the last 12 months, 2 insiders bought $4m of shares on the open market. 5 sold $457m, $324m of it under preset trading plans.

  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    under a preset trading plan
    Date
    15 September 2026
    Shares
    3,900
    Price
    $1094.58
    Value
    $4m
  • Howley W Nicholas
    Director
    Sold
    under a preset trading plan
    Date
    18 August 2026
    Shares
    10,132
    Price
    $1236.28
    Value
    $13m
  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    under a preset trading plan
    Date
    17 August 2026
    Shares
    3,900
    Price
    $1238.76
    Value
    $5m
  • Howley W Nicholas
    Director
    Sold
    under a preset trading plan
    Date
    20 July 2026
    Shares
    10,132
    Price
    $1216.08
    Value
    $12m
  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    under a preset trading plan
    Date
    15 July 2026
    Shares
    414
    Price
    $1231.11
    Value
    $509,678
  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    under a preset trading plan
    Date
    15 July 2026
    Shares
    3,486
    Price
    $1216.21
    Value
    $4m
  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    Date
    15 June 2026
    Shares
    3,900
    Price
    $1276.78
    Value
    $5m
  • Howley W Nicholas
    Director
    Sold
    under a preset trading plan
    Date
    18 May 2026
    Shares
    10,132
    Price
    $1180.82
    Value
    $12m
  • Reiss Joel
    Co-Chief Operating Officer
    Sold
    under a preset trading plan
    Date
    15 May 2026
    Shares
    3,900
    Price
    $1154.09
    Value
    $5m
  • Howley W Nicholas
    Director
    Sold
    under a preset trading plan
    Date
    20 April 2026
    Shares
    10,132
    Price
    $1265.06
    Value
    $13m

From Form 4 filings: insiders must report trades in their own company's shares within two days.

Warning signs in its filings

Problems the company itself reported to the SEC, in its own words.

None of the warning signs we check for were found.

We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.

We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 12 Nov 2025, plus the 10-Q filed 4 Aug 2026 and 22 later 8-Ks.

A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.

What could go wrong

  • It owes more than it owns on paper (negative equity). Often that's from borrowing to buy back shares.

Whether the price already reflects the risks is what the deep dive is for.

The deep dive

Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.

  • What the business is worth, as a range, and the margin of safety at today’s price
  • Prices to start buying, buy, and buy hard
  • The three things that would make this a mistake
  • Every number footnoted to the filing it came from
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What a finished deep dive looks like

Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.