Analysts on Wall Street project that TransDigm Group (TDG) will announce quarterly earnings of $8.02 per share in its forthcoming report, representing an increase of 2.4% year over year. Revenues are projected to reach $2.25 billion, increasing 12.4% from the same quarter last year.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 0.1% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
Given this perspective, it's time to examine the average forecasts of specific TransDigm metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts expect 'Net sales to external customers- Non-aviation' to come in at $33.93 million. The estimate indicates a change of +2.8% from the prior-year quarter.
The combined assessment of analysts suggests that 'Net sales to external customers- Power & Control- Commercial and non-aerospace aftermarket' will likely reach $388.24 million. The estimate indicates a change of +13.9% from the prior-year quarter.
Analysts predict that the 'Net sales to external customers- Power & Control- Defense' will reach $539.72 million. The estimate indicates a change of +9.9% from the prior-year quarter.
The average prediction of analysts places 'Net sales to external customers- Airframe- Commercial and non-aerospace OEM' at $297.92 million. The estimate suggests a change of +7.2% year over year.
Analysts' assessment points toward 'Net sales to external customers- Airframe- Defense' reaching $374.20 million. The estimate indicates a change of +11.7% from the prior-year quarter.
Based on the collective assessment of analysts, 'Net sales to external customers- Power & Control' should arrive at $1.16 billion. The estimate indicates a change of +12.5% from the prior-year quarter.
Analysts forecast 'Net sales to external customers- Airframe' to reach $1.04 billion. The estimate indicates a year-over-year change of +9.7%.
The consensus estimate for 'Net sales to external customers- Power & Control- Commercial and non-aerospace OEM' stands at $227.83 million. The estimate suggests a change of +16.8% year over year.
According to the collective judgment of analysts, 'Net sales to external customers- Airframe- Commercial and non-aerospace aftermarket' should come in at $365.16 million. The estimate indicates a change of +9.7% from the prior-year quarter.
The consensus among analysts is that 'EBITDA- Power & Control' will reach $621.24 million. The estimate compares to the year-ago value of $585.00 million.
It is projected by analysts that the 'EBITDA- Non-aviation' will reach $16.36 million. Compared to the current estimate, the company reported $12.00 million in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'EBITDA- Airframe' of $518.05 million. The estimate compares to the year-ago value of $516.00 million.
View all Key Company Metrics for TransDigm here>>>
Over the past month, TransDigm shares have recorded returns of +6.2% versus the Zacks S&P 500 composite's +0.8% change. Based on its Zacks Rank #3 (Hold), TDG will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Transdigm Group Incorporated (TDG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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