Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified TransDigm Group as such a stock due to the following factors:
- TDG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $139.2 million.
- TDG has traded 12,717 shares today.
- TDG is trading at a new lifetime high.
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More details on TDG:
TransDigm Group Incorporated, through its subsidiaries, designs, produces, and supplies aircraft components in the United States. TDG has a PE ratio of 29. Currently there are 5 analysts that rate TransDigm Group a buy, no analysts rate it a sell, and 3 rate it a hold.
The average volume for TransDigm Group has been 558,000 shares per day over the past 30 days. TransDigm Group has a market cap of $13.5 billion and is part of the industrial goods sector and aerospace/defense industry. The stock has a beta of 0.61 and a short float of 9.1% with 8.69 days to cover. Shares are up 11.5% year-to-date as of the close of trading on Thursday.
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rates TransDigm Group as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and solid stock price performance. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.
Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 0.5%. Since the same quarter one year prior, revenues rose by 28.7%. Growth in the company's revenue appears to have helped boost the earnings per share.
- TRANSDIGM GROUP INC has improved earnings per share by 26.0% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, TRANSDIGM GROUP INC increased its bottom line by earning $7.84 versus $3.18 in the prior year. This year, the market expects an improvement in earnings ($11.26 versus $7.84).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Aerospace & Defense industry. The net income increased by 25.0% when compared to the same quarter one year prior, going from $110.89 million to $138.63 million.
- Net operating cash flow has significantly increased by 1838.04% to $105.03 million when compared to the same quarter last year. In addition, TRANSDIGM GROUP INC has also vastly surpassed the industry average cash flow growth rate of -0.41%.
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels.
- You can view the full TransDigm Group Ratings Report.