Cinctive Capital Management LP Decreases Stock Holdings in Transdigm Group Incorporated $TDG

Key Points

• Cinctive Capital Management LP reduced its stake in Transdigm Group by 82.7%, leaving it with only 1,268 shares valued at approximately $1.75 million.
• Transdigm Group recently announced a special dividend increase from $75.00 to $90.00 per share, set to be paid to stockholders on September 12th.
• Despite a miss in quarterly earnings and revenue reports, analysts remain optimistic, with many issuing buy ratings and raising price targets for the stock.

Cinctive Capital Management LP cut its holdings in Transdigm Group Incorporated (NYSE:TDG - Free Report) by 82.7% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,268 shares of the aerospace company's stock after selling 6,061 shares during the quarter. Cinctive Capital Management LP's holdings in Transdigm Group were worth $1,754,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Winch Advisory Services LLC lifted its stake in Transdigm Group by 53.8% in the first quarter. Winch Advisory Services LLC now owns 20 shares of the aerospace company's stock worth $28,000 after acquiring an additional 7 shares during the period. Rothschild Investment LLC raised its holdings in Transdigm Group by 13.1% in the first quarter. Rothschild Investment LLC now owns 69 shares of the aerospace company's stock worth $95,000 after purchasing an additional 8 shares in the last quarter. Balefire LLC raised its holdings in Transdigm Group by 4.9% in the first quarter. Balefire LLC now owns 171 shares of the aerospace company's stock worth $237,000 after purchasing an additional 8 shares in the last quarter. New Republic Capital LLC raised its holdings in Transdigm Group by 4.6% in the first quarter. New Republic Capital LLC now owns 183 shares of the aerospace company's stock worth $253,000 after purchasing an additional 8 shares in the last quarter. Finally, Pinnacle Wealth Management Advisory Group LLC raised its holdings in Transdigm Group by 3.7% in the first quarter. Pinnacle Wealth Management Advisory Group LLC now owns 225 shares of the aerospace company's stock worth $311,000 after purchasing an additional 8 shares in the last quarter. 95.78% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of equities analysts have commented on TDG shares. Wall Street Zen upgraded shares of Transdigm Group from a "hold" rating to a "buy" rating in a report on Saturday, May 17th. Truist Financial upped their price objective on shares of Transdigm Group from $1,553.00 to $1,730.00 and gave the company a "buy" rating in a report on Friday, July 11th. Royal Bank Of Canada downgraded shares of Transdigm Group from an "outperform" rating to a "sector perform" rating and cut their price objective for the company from $1,550.00 to $1,385.00 in a report on Monday. Susquehanna upped their price objective on shares of Transdigm Group from $1,300.00 to $1,600.00 and gave the company a "neutral" rating in a report on Monday, July 14th. Finally, UBS Group upped their price objective on shares of Transdigm Group from $1,815.00 to $1,839.00 and gave the company a "buy" rating in a report on Thursday, August 7th. Nine research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $1,607.57.

Transdigm Group Stock Performance

NYSE TDG traded up $21.95 during trading hours on Monday, reaching $1,292.99. The stock had a trading volume of 630,409 shares, compared to its average volume of 338,716. The stock has a fifty day moving average of $1,475.10 and a 200 day moving average of $1,418.15. The stock has a market cap of $72.86 billion, a P/E ratio of 42.91, a price-to-earnings-growth ratio of 2.69 and a beta of 1.03. Transdigm Group Incorporated has a 52-week low of $1,183.60 and a 52-week high of $1,623.82.

Transdigm Group (NYSE:TDG - Get Free Report) last issued its earnings results on Tuesday, August 5th. The aerospace company reported $9.60 EPS for the quarter, missing analysts' consensus estimates of $9.75 by ($0.15). Transdigm Group had a net margin of 20.98% and a negative return on equity of 35.27%. The firm had revenue of $2.24 billion during the quarter, compared to analysts' expectations of $2.29 billion. During the same quarter in the prior year, the company earned $9.00 EPS. Transdigm Group's quarterly revenue was up 9.3% on a year-over-year basis. Transdigm Group has set its FY 2025 guidance at 36.330-37.150 EPS. On average, equities research analysts forecast that Transdigm Group Incorporated will post 35.13 EPS for the current year.

Transdigm Group Increases Dividend

The company also recently declared a special dividend, which will be paid on Friday, September 12th. Investors of record on Tuesday, September 2nd will be given a dividend of $90.00 per share. This is a boost from Transdigm Group's previous special dividend of $75.00. The ex-dividend date is Tuesday, September 2nd.

Insider Activity at Transdigm Group

In related news, Director Robert J. Small sold 45,700 shares of the firm's stock in a transaction on Tuesday, June 10th. The shares were sold at an average price of $1,425.01, for a total transaction of $65,122,957.00. Following the sale, the director owned 88,419 shares in the company, valued at approximately $125,997,959.19. This trade represents a 34.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO Joel Reiss sold 3,000 shares of the firm's stock in a transaction on Wednesday, August 20th. The shares were sold at an average price of $1,406.07, for a total transaction of $4,218,210.00. Following the sale, the chief operating officer owned 3,600 shares in the company, valued at approximately $5,061,852. This represents a 45.45% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 66,932 shares of company stock valued at $96,378,273 in the last quarter. 4.09% of the stock is currently owned by insiders.

Transdigm Group Profile

TransDigm Group Incorporated designs, produces, and supplies aircraft components in the United States and internationally. The 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.