Transdigm Group (NYSE:TDG) Stock Price Target Cut by The Goldman Sachs Group

Key Points

• Goldman Sachs lowered TransDigm’s price target from $1,972 to $1,745 while maintaining a “buy” rating, implying roughly 56% upside from the reported $1,118.41 share price.
• Analyst sentiment is more cautious overall: TransDigm has an average “hold” rating and a consensus price target of $1,454.25, with Morgan Stanley and other firms recently downgrading or lowering targets.
• The company exceeded quarterly earnings and revenue expectations, reporting $10.87 in EPS and $2.74 billion in revenue, while insiders sold approximately $33.9 million of stock over the past 90 days.

Transdigm Group (NYSE:TDG - Get Free Report) had its target price cut by stock analysts at The Goldman Sachs Group from $1,972.00 to $1,745.00 in a research note issued to investors on Monday, Benzinga reports. The firm currently has a "buy" rating on the aerospace company's stock. The Goldman Sachs Group's price target would suggest a potential upside of 56.02% from the company's current price.

Several other analysts also recently weighed in on TDG. Morgan Stanley downgraded shares of Transdigm Group from an "overweight" rating to an "equal weight" rating and cut their price objective for the company from $1,680.00 to $1,345.00 in a research report on Wednesday, July 15th. Weiss Ratings restated a "hold (c)" rating on shares of Transdigm Group in a research report on Friday, August 28th. Melius Research restated a "hold" rating and issued a $1,331.00 price target on shares of Transdigm Group in a research note on Monday, September 14th. Wall Street Zen cut Transdigm Group from a "buy" rating to a "hold" rating in a report on Monday, July 20th. Finally, Royal Bank Of Canada reaffirmed a "sector perform" rating and set a $1,350.00 price target on shares of Transdigm Group in a report on Wednesday, September 16th. Six research analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the company. According to MarketBeat.com, Transdigm Group has an average rating of "Hold" and an average price target of $1,454.25.

Transdigm Group Price Performance

NYSE:TDG traded up $10.42 during midday trading on Monday, reaching $1,118.41. 129,644 shares of the company traded hands, compared to its average volume of 392,900. Transdigm Group has a twelve month low of $1,071.25 and a twelve month high of $1,463.03. The firm has a market capitalization of $62.56 billion, a price-to-earnings ratio of 33.88, a price-to-earnings-growth ratio of 1.57 and a beta of 0.96. The company has a fifty day moving average price of $1,159.95 and a 200 day moving average price of $1,208.26.

Transdigm Group (NYSE:TDG - Get Free Report) last posted its earnings results on Tuesday, August 4th. The aerospace company reported $10.87 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $10.30 by $0.57. Transdigm Group had a negative return on equity of 23.65% and a net margin of 19.69%. The company had revenue of $2.74 billion for the quarter, compared to analysts' expectations of $2.68 billion. During the same period last year, the business posted $9.60 earnings per share. The firm's quarterly revenue was up 22.5% compared to the same quarter last year. Transdigm Group has set its FY 2026 guidance at 40.620-41.460 EPS. On average, equities research analysts forecast that Transdigm Group will post 38.87 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, COO Joel Reiss sold 3,900 shares of the firm's stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $1,094.58, for a total transaction of $4,268,862.00. Following the transaction, the chief operating officer owned 3,600 shares in the company, valued at $3,940,488. This trade represents a 52.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director W. Howley sold 10,132 shares of the business's stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $1,236.28, for a total value of $12,525,988.96. Following the sale, the director directly owned 21,548 shares in the company, valued at approximately $26,639,361.44. The trade was a 31.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 28,064 shares of company stock valued at $33,947,338. Company insiders own 3.20% of the company's stock.

Hedge Funds Weigh In On Transdigm Group

Hedge funds have recently made changes to their positions in the business. Burkett Financial Services LLC purchased a new position in Transdigm Group during the 2nd quarter valued at $25,000. Meeder Asset Management Inc. purchased a new stake in Transdigm Group in the second quarter worth approximately $31,000. Trust Co. of Vermont purchased a new stake in Transdigm Group in the second quarter worth approximately $33,000. MV Capital Management Inc. bought a new stake in Transdigm Group in the 4th quarter worth approximately $35,000. Finally, Western Wealth Management LLC purchased a new stake in Transdigm Group during the 1st quarter valued at $30,000. Institutional investors and hedge funds own 95.78% of the company's stock.

Transdigm Group Company Profile

TransDigm Group Incorporated is an aerospace manufacturing company that designs, produces and supplies highly engineered aircraft components, systems and related products. Its offerings include engine and airframe components, ignition systems, pumps, valves, cockpit and cabin equipment, data and control systems, and other specialized products used on commercial, business, general aviation and military aircraft.

The company serves both original equipment manufacturers and the aftermarket.

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