TransDigm makes highly engineered aircraft parts—actuators, valves, pumps, ignition systems—that are often the only certified option for a specific plane, like a toll booth on every flight.
Money comes from selling proprietary spare parts and aftermarket replacements to airlines and defense agencies; gross margin is 59.57%, with net margin 21.28%, and revenue is recurring as planes need constant maintenance.
FAA certification and decades of design lock-in mean airlines can't swap to cheaper parts from companies like Collins Aerospace or Safran without costly re-approval, giving durable pricing power.
Sell (sector percentile 25) — value C+, growth B, profitability B+, momentum C-, revisions C-. Updated daily, sector-relative, identical for every user.
Key events, in time order
Q3 revenue +23% YoY to $2.74B, adj. EPS $10.87 beat; FY26 guidance raised
Q3 results released, details pending
Bank of Nova Scotia cuts stake significantly while First Trust increases, showing institutional divergence.
Definitive agreement to acquire Prince & Izant, expanding portfolio.
Dan Loeb's Third Point initiated a $29M position in TransDigm in Q1
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