TransDigm Group Inc (TDG): Today's Featured Aerospace/Defense Loser

TransDigm Group ( TDG) pushed the Aerospace/Defense industry lower today making it today's featured Aerospace/Defense loser. The industry as a whole closed the day up 0.2%. By the end of trading, TransDigm Group fell 92 cents (-0.8%) to $120.81 on average volume. Throughout the day, 483,564 shares of TransDigm Group exchanged hands as compared to its average daily volume of 499,600 shares. The stock ranged in price between $120.36-$121.80 after having opened the day at $121.65 as compared to the previous trading day's close of $121.73. Other company's within the Aerospace/Defense industry that declined today were: TAT Technologies ( TATT), down 4.5%, Aerosonic Corporation ( AIM), down 2.5%, LMI Aerospace ( LMIA), down 2.5%, and Breeze-Eastern Corporation ( BZC), down 2.4%.

TransDigm Group Incorporated designs, produces, and supplies engineered aircraft components for use on commercial and military aircraft principally in the United States. TransDigm Group has a market cap of $6.22 billion and is part of the industrial goods sector. The company has a P/E ratio of 24.5, above the average aerospace/defense industry P/E ratio of 24.4 and above the S&P 500 P/E ratio of 17.7. Shares are up 27.2% year to date as of the close of trading on Monday. Currently there are eight analysts that rate TransDigm Group a buy, no analysts rate it a sell, and seven rate it a hold.

TheStreet Ratings rates TransDigm Group as a buy. 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, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the positive front, AerCap Holdings N.V ( AER), up 3.6%, Erickson Air-Crane ( EAC), up 3.1%, Aerovironment Incorporated ( AVAV), up 2.8%, and Smith & Wesson Holding Corporation ( SWHC), up 2.8%, were all gainers within the aerospace/defense industry with Raytheon Company ( RTN) being today's featured aerospace/defense industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the aerospace/defense industry could consider iShares DJ US Aerospace & Def Idx ( ITA) while those bearish on the aerospace/defense industry could consider ProShares Short Dow 30 ( DOG).

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