What Is TDG Fair Value?
TransDigm Group (TDG) fair value estimate using multiple valuation models, updated daily.
As of July 16, 2026, TransDigm Group (TDG) has a composite fair value estimate of $596.44 based on four valuation models: DCF (58% weight), Graham Number (0% weight), PEG (42% weight), and DDM (0% weight). The current market price is $1,232.18, suggesting the stock is overvalued by 51.6%.
Data as of July 16, 2026 (today)
Composite Fair Value
Overvalued2 of 4 models$596.44
vs. current price of $1,232.18(-51.6%)
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 →
$570.29
-53.7%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.
$492.15
-60.1%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 $1232.18 is 53.7% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $1.71B | $1.59B |
| Year 2 | $1.92B | $1.66B |
| Year 3 | $2.16B | $1.73B |
| Year 4 | $2.42B | $1.80B |
| Year 5 | $2.72B | $1.88B |
| Year 6 | $3.05B | $1.96B |
| Year 7 | $3.43B | $2.05B |
| Year 8 | $3.85B | $2.14B |
| Year 9 | $4.32B | $2.23B |
| Year 10 | $4.85B | $2.32B |
| Terminal Value | $96.68B | $46.28B |
What Are TDG's Key Financial Metrics?
Earnings & Growth
Current Price
$1,232.18
EPS (TTM)
$32.53
Forward P/E
26.2
Profit Margin
21.9%
Cash & Balance Sheet
Free Cash Flow
1.5B
EBITDA
4.9B
Book Value
-$164.37
Total Debt
32B
What Do Analysts Say About TDG?
Low
$1,200.00
Average
$1,508.95
High
$1,937.00
Upside
+22.5%
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 $596.44. The stock is currently trading at $1,232.18, 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 $1,232.18 is 51.6% above our estimated fair value of $596.44.
What do Wall Street analysts say about TDG?
20 analysts cover TransDigm Group with a consensus rating of "Buy." The average price target is $1,508.95, ranging from $1,200.00 to $1,937.00. This implies 22.5% upside from the current price.