Analysts See 20% Upside To TransDigm Group Incorporated (TDG)

TransDigm Group Incorporated (NYSE:TDG) is among the 11 best military technology stocks to buy right now. The stock has been on analysts’ radar and currently sports a Moderate Buy rating.

Recent analyst updates include Jefferies on February 8, cutting its price target to $1,565 from $1,635, citing recent quarter results, which it described as ‘relatively unimpressive’. However, the firm maintained its Buy rating on the stock, while noting that TDG was trading at a discount compared to competitors.

The aircraft parts maker reported net sales of $2.29 billion for Q1 2026, reflecting a 14% increase year-over-year. Adjusted profit per share came in at $8.23, beating estimates by 10 cents and improving from $7.83 in the prior year. However, net income decreased 9.7% from last year to $445 million, with the squeeze being attributed to higher interest expense.

TransDigm Group Incorporated (NYSE:TDG) further said that it anticipates adjusted profit per share for the year in the range of $37.42 and $39.34, whose midpoint is below Wall Street’s estimates of $39.03 per share, as the company’s margins get pressured by increased interest expense from recent acquisition and rising cost of raw materials.

Earlier on February 4, UBS also trimmed its price target to $1,800 from $1,804, amid concerns over a deceleration in aftermarket growth.

Despite recent target reductions following the earnings call, the stock boasts a significant upside potential of 20.10% as of the close on February 20.

TransDigm Group Incorporated (NYSE:TDG) manufactures engineered aircraft components for commercial and military aircraft.

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