D.A. Davidson & Co. Sees Q2 Earnings Ahead Of Expectations For TransDigm Group

In a report published Wednesday, D.A. Davidson & Co. analyst JB Groh reiterated a Neutral rating and $190.00 price target on TransDigm (NYSE: TDG).

In the report, D.A. Davidson & Co. noted, “TransDigm reported FQ3 adjusted EPS of $2.02, above our $1.86 estimate and the $1.98 Street mean. Revenue was up 25% (+6.9% organic vs. +5.0% in our model) to $611 million, above our estimate of $574 million and below the Street mean of $613 million. Gross margin of 53.6% fell 140bp compared to last year (on slight acquisition dilution) and was below our 54.0% estimate.”

TransDigm closed on Tuesday at $174.86.