Transdigm Group (NYSE:TDG) Stock Rating Lowered by KeyCorp

Transdigm Group (NYSE:TDG) was downgraded by investment analysts at KeyCorp from an “overweight” rating to a “sector weight” rating in a note issued to investors on Thursday.

Other analysts have also recently issued reports about the stock. UBS Group decreased their price objective on shares of Transdigm Group from $1,804.00 to $1,800.00 and set a “buy” rating for the company in a research note on Wednesday. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Transdigm Group in a report on Monday, December 29th. Truist Financial decreased their price objective on Transdigm Group from $1,730.00 to $1,647.00 and set a “buy” rating for the company in a report on Wednesday, October 15th. Susquehanna dropped their target price on Transdigm Group from $1,500.00 to $1,450.00 and set a “neutral” rating on the stock in a report on Thursday, October 9th. Finally, Zacks Research raised Transdigm Group from a “strong sell” rating to a “hold” rating in a report on Monday, December 8th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat.com, Transdigm Group currently has a consensus rating of “Moderate Buy” and a consensus target price of $1,584.44.

Transdigm Group Trading Down 2.9%

Shares of Transdigm Group stock opened at $1,264.41 on Thursday. Transdigm Group has a 12-month low of $1,183.60 and a 12-month high of $1,623.82. The firm’s 50 day simple moving average is $1,357.77 and its two-hundred day simple moving average is $1,358.81. The firm has a market capitalization of $71.38 billion, a price-to-earnings ratio of 40.68, a PEG ratio of 2.85 and a beta of 0.92.

Transdigm Group (NYSE:TDG) last issued its quarterly earnings results on Tuesday, February 3rd. The aerospace company reported $8.23 EPS for the quarter, topping analysts’ consensus estimates of $7.99 by $0.24. The company had revenue of $2.29 billion during the quarter, compared to analysts’ expectations of $2.26 billion. Transdigm Group had a negative return on equity of 29.06% and a net margin of 20.50%.The firm’s revenue was up 13.9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $7.83 EPS. Transdigm Group has set its FY 2026 guidance at 37.420-39.340 EPS. On average, sell-side analysts predict that Transdigm Group will post 35.13 EPS for the current fiscal year.

Insider Transactions at Transdigm Group

In other news, Director Kevin M. Stein sold 11,075 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $1,434.49, for a total value of $15,886,976.75. Following the transaction, the director owned 8,158 shares in the company, valued at $11,702,569.42. This trade represents a 57.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, COO Joel Reiss sold 3,900 shares of the business’s stock in a transaction that occurred on Thursday, January 15th. The stock was sold at an average price of $1,429.92, for a total value of $5,576,688.00. Following the sale, the chief operating officer owned 3,600 shares of the company’s stock, valued at $5,147,712. The trade was a 52.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 242,485 shares of company stock valued at $331,932,850 in the last 90 days. Corporate insiders own 4.09% of the company’s stock.

Institutional Investors Weigh In On Transdigm Group

Hedge funds have recently modified their holdings of the company. Ares Financial Consulting LLC acquired a new position in Transdigm Group in the fourth quarter valued at about $25,000. Salomon & Ludwin LLC purchased a new position in shares of Transdigm Group in the 3rd quarter valued at $26,000. Bank of Jackson Hole Trust grew its stake in Transdigm Group by 84.6% during the 2nd quarter. Bank of Jackson Hole Trust now owns 24 shares of the aerospace company’s stock worth $36,000 after buying an additional 11 shares during the last quarter. Elevation Wealth Partners LLC boosted its stake in shares of Transdigm Group by 1,100.0% during the fourth quarter. Elevation Wealth Partners LLC now owns 24 shares of the aerospace company’s stock worth $32,000 after buying an additional 22 shares during the period. Finally, Central Pacific Bank Trust Division raised its stake in shares of Transdigm Group by 44.4% during the fourth quarter. Central Pacific Bank Trust Division now owns 26 shares of the aerospace company’s stock worth $35,000 after purchasing an additional 8 shares during the last quarter. Hedge funds and other institutional investors own 95.78% of the company’s stock.

Key Headlines Impacting Transdigm Group

Here are the key news stories impacting Transdigm Group this week:

• Positive Sentiment: Q1 results beat estimates — revenue grew ~14% to $2.285B, adjusted EPS topped consensus and EBITDA margins remained strong; management raised FY2026 guidance. TransDigm Group Reports Fiscal 2026 First Quarter Results
• Positive Sentiment: Aftermarket acquisition activity — ~$3.2B of deals highlighted as deepening TransDigm’s aftermarket cash-flow and spare-parts market exposure, supporting the company’s high-margin aftermarket thesis. TransDigm’s US$3.2b Deals Deepen Aftermarket Aerospace Cash Flow Story
• Neutral Sentiment: Guidance is an EPS range (37.42–39.34) and revenue range ($9.8B–$10.0B) — overall raised but the midpoint is roughly in line with consensus, leaving room for mixed investor interpretation. Earnings Release & Call Materials
• Neutral Sentiment: Analyst moves are mixed but not uniformly negative — UBS trimmed its PT slightly to $1,800 while keeping a Buy rating; Robert W. Baird reaffirmed Neutral with a $1,400 target. UBS / Benzinga coverage
• Negative Sentiment: Baird downgraded TDG citing margin pressure and leverage risks — this analyst callout amplifies concern about rising interest expense and margin squeezes. TransDigm downgraded at Baird
• Negative Sentiment: Market reaction flagged by coverage noting FY2026 profit pressure from higher interest payments and tariff issues — investors punished the stock despite the beat. Profit below estimates on higher interest payments, tariff woes
• Negative Sentiment: Large insider selling: Director Kevin M. Stein sold large blocks (36,925 and 11,075 shares) and COO Patrick Murphy sold shares recently — sizable director disposals (SEC filings) can signal liquidity needs or reduce investor confidence. Kevin M. Stein SEC Filing

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.