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

TransDigm Group ( TDG) pushed the Aerospace/Defense industry lower today making it today's featured Aerospace/Defense laggard. The industry as a whole closed the day up 0.3%. By the end of trading, TransDigm Group fell $5.38 (-3.3%) to $156.81 on heavy volume. Throughout the day, 1,307,767 shares of TransDigm Group exchanged hands as compared to its average daily volume of 360,300 shares. The stock ranged in price between $154.79-$164.62 after having opened the day at $162.58 as compared to the previous trading day's close of $162.19. Other companies within the Aerospace/Defense industry that declined today were: Astrotech Corporation ( ASTC), down 2.8% and Breeze-Eastern Corporation ( BZC), down 1.7%.

TransDigm Group Incorporated, through its subsidiaries, designs, produces, and supplies engineered aerospace components for commercial and military aircraft customers in the United States. TransDigm Group has a market cap of $8.5 billion and is part of the industrial goods sector. The company has a P/E ratio of 31.1, above the S&P 500 P/E ratio of 17.7. Shares are up 18.9% year to date as of the close of trading on Monday. Currently there are 7 analysts that rate TransDigm Group a buy, no analysts rate it a sell, and 4 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 revenue growth, good cash flow from operations, notable return on equity, expanding profit margins and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the positive front, Smith & Wesson Holding Corporation ( SWHC), up 3.7%, Sturm Ruger & Company ( RGR), up 3.6% and Exelis ( XLS), up 2.4% , were all gainers within the aerospace/defense industry with FLIR Systems ( FLIR) being today's featured aerospace/defense industry leader.

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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