- TransDigm’s 2024 net sales forecast ranges from $7.48 billion to $7.68 billion, surpassing the estimated $7.4 billion.
- The adjusted EPS (Earnings Per Share) is predicted to be between $31.00 and $32.94, higher than the estimated $31.09.
- Ebitda (Earnings before interest, taxes, depreciation, and amortization) is expected to be between $3.87 billion and $4.01 billion, beating the estimate of $3.81 billion.
- The fourth quarter results showed an adjusted EPS of $8.03, a significant increase from $5.50 the previous year, and higher than the estimated $7.55.
- Net sales for the fourth quarter were $1.85 billion, a 23% increase year on year, and slightly higher than the estimated $1.83 billion.
- Ebitda for the fourth quarter reached $911 million, a 29% increase year on year.
- Operating income for the fourth quarter was $856 million, a 34% increase year on year, and higher than the estimated $816.8 million.
- Pretax profit from continuing operations was $549 million, outperforming the estimate of $486 million.
- The company’s stock has been rated 16 times as ‘buy’, 4 times as ‘hold’, and 2 times as ‘sell’.
Transdigm Group on Smartkarma
According to the research reports from Baptista Research on Smartkarma, a leading independent investment research network, Transdigm Group Incorporated has seen strong growth in the commercial market segment, driven by increased airline demand for new aircraft. The research report also highlighted that TransDigm Group managed to exceed analyst expectations in terms of revenue and earnings in its recent quarterly result. With approximately 90% of net sales generated by unique proprietary products, the company’s focus on aftermarket revenues has provided stability and higher margins.
The analysts at Baptista Research have a bullish sentiment on TransDigm Group, noting that it is well-positioned to navigate industry dynamics with a positive outlook for air travel recovery and solid defense market growth. The research report also highlighted the acquisition of Calspan Corporation as one of the drivers of the company’s growth.
A look at Transdigm Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
TransDigm Group Inc. is an aircraft component manufacturing company that produces ignition systems and components, gear pumps, mechanical/electromechanical actuators and controls, NiCad batteries/chargers, power conditioning devices, hold-open rods and locking devices, engineered connectors and latches, cockpit security devices, and AC/DC electric motors. According to Smartkarma Smart Scores, Transdigm Group has a strong long-term outlook, with a value score of 0, dividend score of 1, growth score of 4, resilience score of 5, and momentum score of 4. This indicates that the company is well-positioned to sustain its performance in the long-term, and is likely to experience positive growth with stability and resilience.
Transdigm Group‘s high resilience score of 5 is indicative of its ability to withstand challenging market conditions, while its growth score of 4 suggests that the company is likely to experience positive growth in the long-term. The dividend score of 1 indicates that the company is likely to maintain stable dividends for investors, and the momentum score of 4 suggests that the company is likely to experience steady growth over the long-term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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