TDG

Industrials

TransDigm Group Incorporated · Aerospace & Defense · $66B

UQS Score — Balanced Preset
64.0
Good

TransDigm Group Incorporated scores 64.0/100 using the Balanced preset.

64.6
Quality
35%
56.0
Moat
30%
89.4
Growth
20%
46.6
Risk
15%

TDG — Key Takeaways

✅ Strengths

TransDigm Group Incorporated shows solid revenue and earnings growth trajectory

TDG — Score History

55606570Apr 2Apr 3Apr 4Apr 5Apr 6Apr 7Apr 8
DateUQSQualityMoatGrowthRiskValueChange
Apr 8, 202664.064.656.089.446.659.60.0
Apr 7, 202664.064.656.089.446.659.50.0
Apr 6, 202664.064.656.089.446.659.50.0
Apr 5, 202664.064.656.089.446.659.5+0.1
Apr 4, 202663.964.656.089.446.659.40.0
Apr 3, 202663.964.656.089.446.659.40.0
Apr 2, 202663.964.656.089.446.659.4

TDG — Pillar Breakdown

Quality

64.6/100 (25%)

TransDigm Group Incorporated shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Strong

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

89.4/100 (20%)

TransDigm Group Incorporated is growing rapidly with strong revenue and earnings expansion.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

46.6/100 (15%)

TransDigm Group Incorporated has some risk factors including moderate leverage or solvency concerns.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

59.6/100 (15%)

TransDigm Group Incorporated trades at a reasonable valuation with decent earnings yield and FCF multiples.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowModerate

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

Moat

56/100 (30%)

TransDigm Group Incorporated has meaningful competitive advantages that should protect its market position. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for TDG.

Score Composition

Quality
64.6×25%16.1
Growth
89.4×20%17.9
Risk
46.6×15%7.0
Valuation
59.6×15%8.9
Moat
56.0×30%16.8
Total
64.0Good

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How is the TDG UQS Score Calculated?

The UQS (Unified Quality Score) for TransDigm Group Incorporated is calculated using a proprietary 5-pillar framework with 25 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses TransDigm Group Incorporated's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether TransDigm Group Incorporated is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.