What Is TDG Fair Value?
TransDigm Group (TDG) fair value estimate using multiple valuation models, updated daily.
As of August 29, 2026, TransDigm Group (TDG) has a composite fair value estimate of $665.96 based on four valuation models: DCF (58% weight), Graham Number (0% weight), PEG (42% weight), and DDM (0% weight). The current market price is $1,185.97, suggesting the stock is overvalued by 43.8%.
Data as of August 29, 2026 (today)
Composite Fair Value
Overvalued2 of 4 models$665.96
vs. current price of $1,185.97(-43.8%)
How Is TDG Fair Value Calculated?
Four independent models estimate what TDG is worth. Each uses different inputs and assumptions. The composite blends them by weight.
TDG Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
58% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$622.17
-47.5%Overvalued
Inputs used
DDM (Dividend Discount Model)
0% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
N/A
This stock does not pay a dividend, so the DDM cannot be applied. The composite adjusts by redistributing this weight to the other models.
TDG Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
0% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
N/A
Requires positive EPS and book value. TransDigm Group currently has negative earnings, so the Graham formula cannot be applied.
Inputs used
PEG (Price/Earnings to Growth)
42% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$573.57
-51.6%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $1185.97 is 47.5% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $1.66B | $1.54B |
| Year 2 | $1.89B | $1.63B |
| Year 3 | $2.15B | $1.73B |
| Year 4 | $2.45B | $1.83B |
| Year 5 | $2.80B | $1.94B |
| Year 6 | $3.19B | $2.05B |
| Year 7 | $3.63B | $2.17B |
| Year 8 | $4.14B | $2.30B |
| Year 9 | $4.71B | $2.43B |
| Year 10 | $5.37B | $2.57B |
| Terminal Value | $107.31B | $51.45B |
What Are TDG's Key Financial Metrics?
Earnings & Growth
Current Price
$1,185.97
EPS (TTM)
$32.97
Forward P/E
24.5
Profit Margin
21.3%
Cash & Balance Sheet
Free Cash Flow
1.5B
EBITDA
5.1B
Book Value
-$167.97
Total Debt
33.5B
What Do Analysts Say About TDG?
Low
$1,350.00
Average
$1,522.79
High
$1,972.00
Upside
+28.4%
TDG Fair Value FAQ
What is the fair value of TDG?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), TDG's estimated fair value is $665.96. The stock is currently trading at $1,185.97, which makes it overvalued by our analysis.
How is TDG's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is TDG overvalued or undervalued?
Based on our analysis, TDG is overvalued. The current price of $1,185.97 is 43.8% above our estimated fair value of $665.96.
What do Wall Street analysts say about TDG?
19 analysts cover TransDigm Group with a consensus rating of "Buy." The average price target is $1,522.79, ranging from $1,350.00 to $1,972.00. This implies 28.4% upside from the current price.