TransDigm Raises FY2026 Guidance After 23% Sales Jump in Q3
TDG sits 18% above its 52-week low of $1,123.61 on elevated volume (1.8× avg).
Summary
TransDigm reported Q3 fiscal 2026 results with net sales of $2.74B (up 23% YoY) and raised full-year guidance, driven by strong aerospace demand and aggressive capital deployment.
Key Events · Earnings and Guidance · TDG
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Q3 Sales Surge 23%
Net sales reached $2,741 million, up 23% from $2,237 million a year ago, with organic growth of 13%. All three major market channels — commercial aftermarket, commercial OEM, and defense — posted double-digit growth.
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Full-Year Guidance Raised
Fiscal 2026 guidance increased: net sales midpoint raised by $150 million to ~$10.51B, EBITDA As Defined midpoint raised by $100 million to ~$5.52B, and adjusted EPS midpoint raised by $1.52 to ~$41.04.
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$1B in Share Repurchases
During Q3, TransDigm repurchased 809,101 shares at an average price of $1,208 for a total of $1.0 billion, bringing year-to-date repurchases to $1.8 billion.
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Prince & Izant Acquisition Announced
Post-quarter, TransDigm agreed to acquire Prince & Izant for approximately $1.07 billion in cash, adding proprietary aerospace brazing alloys and specialty metal components.
Analysis · TDG · Manufacturing
TransDigm delivered a strong Q3 with sales up 23% to $2.74B and adjusted EPS of $10.87, beating expectations. Management raised full-year guidance across the board — sales, EBITDA, and EPS — signaling confidence in sustained demand across commercial aftermarket, OEM, and defense. The company also repurchased $1B in stock during the quarter, returning capital to shareholders while continuing to pursue acquisitions like the $1.07B Prince & Izant deal. This is a clear positive signal for the stock, especially after the recent termination of the Stellant acquisition.
At the time of this filing, TDG was trading at $1,325.85 on NYSE in the Manufacturing sector, with a market capitalization of approximately $71.9B. The 52-week trading range was $1,123.61 to $1,616.89. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.