Bluegrass Capital Partners LP Increases Position in Transdigm Group Incorporated $TDG

Key Points

• Bluegrass Capital Partners LP increased its Transdigm Group stake by 16.1% in the fourth quarter, making TDG its largest position at 14.3% of holdings. The fund ended the quarter with 18,000 shares valued at about $23.9 million.
• Transdigm reported better-than-expected quarterly results, with EPS of $9.85 versus estimates of $9.46 and revenue of $2.54 billion, up 18.3% year over year. The company also issued FY2026 EPS guidance of 38.83 to 40.21.
• Analyst sentiment remains mixed: several firms trimmed price targets or downgraded the stock, but the consensus view is still “Moderate Buy” with an average price target of $1,524.18. Meanwhile, insiders sold shares recently, including Director W. Nicholas Howley and COO Joel Reiss.

Bluegrass Capital Partners LP lifted its holdings in shares of Transdigm Group Incorporated (NYSE:TDG - Free Report) by 16.1% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 18,000 shares of the aerospace company's stock after acquiring an additional 2,500 shares during the quarter. Transdigm Group accounts for about 14.3% of Bluegrass Capital Partners LP's holdings, making the stock its largest position. Bluegrass Capital Partners LP's holdings in Transdigm Group were worth $23,937,000 at the end of the most recent quarter.

Other large investors also recently added to or reduced their stakes in the company. Principal Financial Group Inc. raised its position in Transdigm Group by 18.3% during the third quarter. Principal Financial Group Inc. now owns 2,379,816 shares of the aerospace company's stock valued at $3,136,719,000 after purchasing an additional 367,756 shares in the last quarter. Vulcan Value Partners LLC lifted its holdings in shares of Transdigm Group by 7.8% during the 3rd quarter. Vulcan Value Partners LLC now owns 249,643 shares of the aerospace company's stock valued at $328,977,000 after buying an additional 18,048 shares during the period. Envestnet Asset Management Inc. raised its holdings in Transdigm Group by 2.4% in the 3rd quarter. Envestnet Asset Management Inc. now owns 73,818 shares of the aerospace company's stock worth $97,293,000 after purchasing an additional 1,706 shares during the period. Thornburg Investment Management Inc. purchased a new position in shares of Transdigm Group during the third quarter valued at about $62,785,000. Finally, Aster Capital Management DIFC Ltd purchased a new position in shares of Transdigm Group during the third quarter valued at about $1,795,000. Institutional investors own 95.78% of the company's stock.

Transdigm Group Price Performance

NYSE TDG opened at $1,212.37 on Friday. Transdigm Group Incorporated has a 1 year low of $1,123.61 and a 1 year high of $1,623.82. The company has a fifty day moving average of $1,194.87 and a two-hundred day moving average of $1,285.63. The company has a market capitalization of $67.81 billion, a PE ratio of 37.84, a P/E/G ratio of 2.12 and a beta of 0.90.

Transdigm Group (NYSE:TDG - Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The aerospace company reported $9.85 EPS for the quarter, topping analysts' consensus estimates of $9.46 by $0.39. Transdigm Group had a net margin of 20.24% and a negative return on equity of 26.49%. The firm had revenue of $2.54 billion for the quarter, compared to the consensus estimate of $2.47 billion. During the same quarter in the previous year, the firm earned $9.11 earnings per share. The firm's revenue was up 18.3% on a year-over-year basis. Transdigm Group has set its FY 2026 guidance at 38.830-40.210 EPS. On average, research analysts expect that Transdigm Group Incorporated will post 37.82 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several research firms recently commented on TDG. Weiss Ratings lowered Transdigm Group from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Monday, April 13th. Susquehanna cut their price target on shares of Transdigm Group from $1,400.00 to $1,350.00 and set a "neutral" rating on the stock in a report on Wednesday, May 6th. Stifel Nicolaus cut their price target on shares of Transdigm Group from $1,650.00 to $1,525.00 and set a "buy" rating on the stock in a report on Wednesday, May 6th. Royal Bank Of Canada decreased their target price on shares of Transdigm Group from $1,400.00 to $1,350.00 and set a "sector perform" rating for the company in a research report on Wednesday, May 6th. Finally, KeyCorp downgraded shares of Transdigm Group from an "overweight" rating to a "sector weight" rating in a research report on Thursday, February 5th. Ten investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $1,524.18.

Insider Activity

In other Transdigm Group news, Director W Nicholas Howley sold 10,132 shares of the company's stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $1,180.82, for a total value of $11,964,068.24. Following the sale, the director owned 21,548 shares of the company's stock, valued at $25,444,309.36. This represents a 31.98% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Joel Reiss sold 3,900 shares of the company's stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $1,154.09, for a total transaction of $4,500,951.00. Following the completion of the sale, the chief operating officer directly owned 3,600 shares in the company, valued at $4,154,724. This trade represents a 52.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 42,096 shares of company stock worth $51,417,454 in the last ninety days. Insiders own 3.20% of the company's stock.

Transdigm Group Company Profile

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.

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