Stock Price & Analysis

Based on the technical indicators and recent analyst ratings, TransDigm (TDG) appears to be a hold at current levels. The stock is showing mixed signals with an RSI of 62.50 indicating slightly overbought conditions, while trading above its 20-day moving average of $1,280.96 [Relevant Data].

Recent analyst actions have been mixed, with Truist Securities maintaining a Strong Buy rating with a $1,534 price target (17.93% upside), while both Barclays and Deutsche Bank downgraded to Hold in early January 2025 [Relevant Data]. The stock has been selected as one of Jefferies' Franchise Picks for 2025, suggesting potential long-term value.

Based on the provided data and recent market trends, here's the price prediction for TDG stock in 2025:

TransDigm Group (TDG) is expected to reach $1,450 by mid-2025, driven by strong aerospace demand and continued margin expansion. The stock's technical indicators show an RSI of 62.50 and positive MACD of 8.31, suggesting momentum remains favorable. The stock has maintained a steady upward trend, trading above both its 20-day ($1,280.96) and 60-day ($1,291.94) moving averages.

The current price of $1,340 represents a solid base for further upside, supported by Jefferies' recent addition of TDG to their "Franchise Picks" list for 2025. The company's strong positioning in the aerospace sector and increasing air travel demand should continue driving growth through 2025.

The S1 support level for TDG Stock is $1269.16 ,The R1 resistant level for TDG Stock is $1365.82.

As of the end of day on 2025-01-24, the price of TDG Stock was $1341.82.

The target price for TDG Stock according to analyst rating is 1,512, with the highest price target at 1,660 and the lowest at 1,348. Analysts have a Moderate Buy rating on TDG Stock overall.

The market cap of TDG is $75.5B.

Based on the provided data and recent analyst ratings, TDG appears to be moderately overvalued at current levels. The stock's PE ratio of 52.75x is significantly higher than the aerospace industry average, indicating a premium valuation. Recent analyst actions show a concerning trend with Deutsche Bank and Barclays both downgrading TDG to Hold in early January 2025, suggesting limited upside potential. The company's EV/EBITDA multiple of 23.86x also suggests rich valuation compared to historical levels. While TransDigm maintains strong market position in aerospace aftermarket, current price levels have largely priced in the positive fundamentals.

TransDigm Group Incorporated is a designer, producer and supplier of engineered aircraft components for use on all commercial and military aircraft in service. The Company's segments include Power & Control, Airframe and Non-aviation. The Power & Control segment develops, produces and markets systems and components that predominately provide power to or control power of the aircraft utilizing electronic, fluid, power and mechanical motion control technologies. Its product offerings include mechanical/electro-mechanical actuators and controls. The Airframe segment develops, produces and markets systems and components that are used in non-power airframe applications utilizing airframe and cabin structure technologies. Its product offerings include engineered latching and locking devices, and engineered rods. The Non-aviation segment develops, produces and markets products for non-aviation markets. Its products include belts and safety restraints for ground transportation applications.

Based on TransDigm's strong market position in aerospace and defense industry, TDG stock is projected to reach $2,100 by 2030, driven by continued air travel growth and increasing defense spending. The company's robust financial performance, with PE ratio of 36.92 and EV/EBITDA of 18.98, indicates strong profitability and operational efficiency that supports long-term growth. Recent analyst coverage remains bullish with Jefferies adding TDG to their "Franchise Picks" list for 2025, suggesting significant upside potential supported by favorable industry tailwinds.

TDG has a total of 15500 employees.