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TransDigm GroupTDG +1.69%86 EV-to-EBITDA is 19.23 as of Aug. 22, 2026, which is 12% below its 10-year median of 21.93. GuruFocus rates TDG with a GF Score™ of 86/100 and a GF Value™ of $1,659.09 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 268 Aerospace & Defense companies, TransDigm Group ranks better than 53.36% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, TransDigm Group's enterprise value is $97,153 Mil.
TransDigm Group's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 was $5,051 Mil. Therefore, TransDigm Group's EV-to-EBITDA for today is 19.23.
The historical rank and industry rank for TransDigm Group's EV-to-EBITDA or its related term are showing as below:
TDG'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 12.78 Med: 21.93 Max: 34.06
Current: 19.23
During the past 13 years, the highest EV-to-EBITDA of TransDigm Group was 34.06. The lowest was 12.78. And the median was 21.93.
TDG's EV-to-EBITDA is ranked better than 53.36% of 268
companies
in the Aerospace & Defense industry
Industry Median: 20.72
vs TDG: 19.23
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
TransDigm Group (NYSE:TDG) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
TransDigm Group's PE Ratio (TTM) for today is calculated as:
TransDigm Group's share price for today is $1200.35.
TransDigm Group's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $32.960.
* 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.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for TransDigm Group's EV-to-EBITDA 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.
For the Aerospace & Defense subindustry, TransDigm Group's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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 EV-to-EBITDA vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, TransDigm Group's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where TransDigm Group's EV-to-EBITDA falls into.
TransDigm Group's current Enterprise Value is $97,153 Mil.
TransDigm Group's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $5,051 Mil.
* 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 (TDG) has a EV-to-EBITDA of 19.23 as of Aug. 22, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on TransDigm Group. This is 12% below median its historical median of 21.93. Over the past decade, TransDigm Group's EV-to-EBITDA has ranged from 12.78 to 34.06. According to the industry distribution chart, TransDigm Group ranks #125 out of 268 companies in the Aerospace & Defense industry, placing it in the top 46.6%.
Is TransDigm Group's EV-to-EBITDA too high?
TransDigm Group's current EV-to-EBITDA of 19.23 is 12% below median its 10-year median of 21.93. Over the past 10 years, this metric has ranged from a low of 12.78 to a high of 34.06. The Aerospace & Defense industry median EV-to-EBITDA is 20.72. TransDigm Group's value of 19.23 is 7.2% below this industry median. Based on the distribution chart, TransDigm Group ranks #125 out of 268 companies in the Aerospace & Defense industry, which is above the industry midpoint. 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 EV-to-EBITDA compare to HONA and NOC?
According to the Aerospace & Defense industry distribution chart, TransDigm Group ranks #125 out of 268 companies for EV-to-EBITDA. This puts TransDigm Group in the upper half of its industry. The industry median EV-to-EBITDA is 20.72. TransDigm Group's value of 19.23 is 7.2% below this benchmark. Historically, TransDigm Group's own EV-to-EBITDA has ranged from 12.78 to 34.06 over the past decade. While the company's 10-year median is 21.93 vs. the industry median of 20.72, TransDigm Group has consistently been below 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 EV-to-EBITDA for an Aerospace & Defense company?
The median EV-to-EBITDA among Aerospace & Defense companies is 20.72, based on 268 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. TransDigm Group's current EV-to-EBITDA of 19.23 is 7.2% below 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 EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on TransDigm Group. For the Aerospace & Defense industry, the median EV-to-EBITDA is 20.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TransDigm Group's current EV-to-EBITDA is 19.23, which is 12% below median its own 10-year median of 21.93. 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 (TDG) is currently considered Modestly Undervalued. The stock's GF Value™ is $1,659.09, compared to a current price of $1,200.35 — trading 27.7% below its estimated fair value. The current EV-to-EBITDA is 19.23, which is 12% below median its 10-year median of 21.93 and 7.2% below the Aerospace & Defense industry median of 20.72. 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 EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For TransDigm Group (TDG), the current EV-to-EBITDA is 19.23 as of Aug. 22, 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 (TDG) Overvalued in 2026?
Based on GuruFocus' analysis, TransDigm Group stock appears to be undervalued.
The current stock price of $1,200.35 is trading 27.7% below its estimated GF Value™ of $1,659.09.
GuruFocus considers TransDigm Group to be Modestly Undervalued.
Key valuation signals for TDG:
EV-to-EBITDA: 19.23 (12% below median its 10-year median of 21.93)
GF Value™: $1,659.09 vs. price of $1,200.35 (27.7% below fair value)
Industry Position: 7.2% below the Aerospace & Defense median (#125 of 268)
No single metric tells the full story. See the TDG 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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