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TransDigm GroupSTU:T7D +0.74%90 Net Margin % is 21.03% as of Mar. 2026, which is 18% above its 10-year median of 17.77. GuruFocus rates STU:T7D with a GF Score™ of 90/100 and a GF Value™ of €1,402.42 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 351 Aerospace & Defense companies, TransDigm Group ranks better than 92.31% on this metric.
Net margin is calculated as Net Income divided by its Revenue. TransDigm Group's Net Income for the
three
months ended in Mar. 2026 was €463 Mil. TransDigm Group's Revenue for the
three
months ended in Mar. 2026 was €2,201 Mil. Therefore, TransDigm Group's net margin for the quarter that ended in Mar. 2026 was 21.03%.
The historical rank and industry rank for TransDigm Group's Net Margin % or its related term are showing as below:
STU:T7D'
s Net Margin % Range Over the Past 10 Years
Min: 13.7 Med: 17.77 Max: 25.11
Current: 21.91
STU:T7D's Net Margin % is ranked better than 92.31% of 351
companies
in the Aerospace & Defense industry
Industry Median: 4.89
vs STU:T7D: 21.91
TransDigm Group (STU:T7D) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
TransDigm Group Net Margin % Related Terms
TransDigm Group Net Margin % Historical Data
* Premium members only.
The historical data trend for TransDigm Group's Net 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.
STU:T7D vs HONA, NOC, LHX: Net Margin % Comparison
For the Aerospace & Defense subindustry, TransDigm Group's Net Margin %, along with its competitors' market caps and Net 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 Net Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, TransDigm Group's Net Margin % distribution charts can be found below:
* The bar in red indicates where TransDigm Group's Net 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 (STU:T7D) has a Net Margin % of 21.03% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on TransDigm Group and its competitors. This is 18% above median its historical median of 17.77. Over the past decade, TransDigm Group's Net Margin % has ranged from 13.70 to 25.11. According to the industry distribution chart, TransDigm Group ranks #27 out of 351 companies in the Aerospace & Defense industry, placing it in the top 7.7%.
Is TransDigm Group's Net Margin % too high?
TransDigm Group's current Net Margin % of 21.03% is 18% above median its 10-year median of 17.77. Over the past 10 years, this metric has ranged from a low of 13.70 to a high of 25.11. The Aerospace & Defense industry median Net Margin % is 4.89. TransDigm Group's value of 21.03% is 330.1% above this industry median. Based on the distribution chart, TransDigm Group ranks #27 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 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does TransDigm Group's Net Margin % compare to HONA and NOC?
According to the Aerospace & Defense industry distribution chart, TransDigm Group ranks #27 out of 351 companies for Net Margin %. This places TransDigm Group in the top 8% of its industry — outperforming the majority of peers. The industry median Net Margin % is 4.89. TransDigm Group's value of 21.03% is 330.1% above this benchmark. Historically, TransDigm Group's own Net Margin % has ranged from 13.70 to 25.11 over the past decade. While the company's 10-year median is 17.77 vs. the industry median of 4.89, 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 Net Margin % for an Aerospace & Defense company?
The median Net Margin % among Aerospace & Defense companies is 4.89, based on 351 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. TransDigm Group's current Net Margin % of 21.03% is 330.1% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on TransDigm Group and its competitors. For the Aerospace & Defense industry, the median Net Margin % is 4.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TransDigm Group's current Net Margin % is 21.03%, which is 18% above median its own 10-year median of 17.77. 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 (STU:T7D) is currently considered Modestly Undervalued. The stock's GF Value™ is €1,402.42, compared to a current price of €1,092.00 — trading 22.1% below its estimated fair value. The current Net Margin % is 21.03%, which is 18% above median its 10-year median of 17.77 and 330.1% above the Aerospace & Defense industry median of 4.89. TransDigm Group's overall GF Score™ is 90/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For TransDigm Group (STU:T7D), the current Net Margin % is 21.03% 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 (STU:T7D) Overvalued in 2026?
Based on GuruFocus' analysis, TransDigm Group stock appears to be undervalued.
The current stock price of €1,092.00 is trading 22.1% below its estimated GF Value™ of €1,402.42.
GuruFocus considers TransDigm Group to be Modestly Undervalued.
Key valuation signals for STU:T7D:
Net Margin %: 21.03% (18% above median its 10-year median of 17.77)
GF Value™: €1,402.42 vs. price of €1,092.00 (22.1% below fair value)
Industry Position: 330.1% above the Aerospace & Defense median (#27 of 351)
No single metric tells the full story. See the STU:T7D 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.
90GF Score
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