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TransDigm GroupLTS:0REK +1.37%86 EBITDA Margin % is 50.67% as of Mar. 2026, which is 12% above its 10-year median of 45.18. GuruFocus rates LTS:0REK with a GF Score™ of 86/100 and a GF Value™ of $1,620.59 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 351 Aerospace & Defense companies, TransDigm Group ranks better than 95.73% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. TransDigm Group's EBITDA for the
three
months ended in Mar. 2026 was $1,289 Mil. TransDigm Group's Revenue for the
three
months ended in Mar. 2026 was $2,544 Mil. Therefore, TransDigm Group's EBITDA margin for the quarter that ended in Mar. 2026 was 50.67%.
TransDigm Group (LTS:0REK) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
TransDigm Group EBITDA Margin % Related Terms
TransDigm Group EBITDA Margin % Historical Data
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The historical data trend for TransDigm Group's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LTS:0REK vs HONA, NOC, LHX: EBITDA Margin % Comparison
For the Aerospace & Defense subindustry, TransDigm Group's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
TransDigm Group EBITDA Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, TransDigm Group's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where TransDigm Group's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
TransDigm Group (LTS:0REK) has a EBITDA Margin % of 50.67% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on TransDigm Group and its competitors. This is 12% above median its historical median of 45.18. Over the past decade, TransDigm Group's EBITDA Margin % has ranged from 40.21 to 51.73. According to the industry distribution chart, TransDigm Group ranks #15 out of 351 companies in the Aerospace & Defense industry, placing it in the top 4.3%.
Is TransDigm Group's EBITDA Margin % too high?
TransDigm Group's current EBITDA Margin % of 50.67% is 12% above median its 10-year median of 45.18. Over the past 10 years, this metric has ranged from a low of 40.21 to a high of 51.73. The Aerospace & Defense industry median EBITDA Margin % is 11.91. TransDigm Group's value of 50.67% is 325.4% above this industry median. Based on the distribution chart, TransDigm Group ranks #15 out of 351 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, TransDigm Group has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does TransDigm Group's EBITDA Margin % compare to HONA and NOC?
According to the Aerospace & Defense industry distribution chart, TransDigm Group ranks #15 out of 351 companies for EBITDA Margin %. This places TransDigm Group in the top 4% of its industry — outperforming the majority of peers. The industry median EBITDA Margin % is 11.91. TransDigm Group's value of 50.67% is 325.4% above this benchmark. Historically, TransDigm Group's own EBITDA Margin % has ranged from 40.21 to 51.73 over the past decade. While the company's 10-year median is 45.18 vs. the industry median of 11.91, TransDigm Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for an Aerospace & Defense company?
The median EBITDA Margin % among Aerospace & Defense companies is 11.91, based on 351 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. TransDigm Group's current EBITDA Margin % of 50.67% is 325.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on TransDigm Group and its competitors. For the Aerospace & Defense industry, the median EBITDA Margin % is 11.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TransDigm Group's current EBITDA Margin % is 50.67%, which is 12% above median its own 10-year median of 45.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TransDigm Group stock overvalued right now?
Based on GuruFocus' analysis, TransDigm Group (LTS:0REK) is currently considered Modestly Undervalued. The stock's GF Value™ is $1,620.59, compared to a current price of $1,261.88 — trading 22.1% below its estimated fair value. The current EBITDA Margin % is 50.67%, which is 12% above median its 10-year median of 45.18 and 325.4% above the Aerospace & Defense industry median of 11.91. TransDigm Group's overall GF Score™ is 86/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For TransDigm Group (LTS:0REK), the current EBITDA Margin % is 50.67% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is TransDigm Group (LTS:0REK) Overvalued in 2026?
Based on GuruFocus' analysis, TransDigm Group stock appears to be undervalued.
The current stock price of $1,261.88 is trading 22.1% below its estimated GF Value™ of $1,620.59.
GuruFocus considers TransDigm Group to be Modestly Undervalued.
Key valuation signals for LTS:0REK:
EBITDA Margin %: 50.67% (12% above median its 10-year median of 45.18)
GF Value™: $1,620.59 vs. price of $1,261.88 (22.1% below fair value)
Industry Position: 325.4% above the Aerospace & Defense median (#15 of 351)
No single metric tells the full story. See the LTS:0REK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TransDigm manufactures and services a broad set of specialized parts for commercial and military aircraft. The firm organizes itself in three segments: power and control, airframes, and a small non-aviation segment, which serves mostly off-road vehicles and mining equipment. It operates as an acquisitive holding company that focuses on buying up smaller firms that make proprietary aerospace products with substantial aftermarket demand. TransDigm regularly employs financial leverage to amplify its operating results.
86GF Score
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