TransDigm Group Incorporated cash flow to debt ratio of 6.79% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

TransDigm Group Incorporated's free cash flow has decreased 3.40% from $1.88B last year to $1.82B, signaling decreasing performance

TransDigm Group Incorporated's debt to equity ratio is -2.74, signaling that the company spent its equity and risk bankruptcy.

TransDigm Group Incorporated's debt to equity ratio is -2.74, signaling that the company spent its equity and risk bankruptcy.

TransDigm Group Incorporated has a net debt to EBITDA ratio of 5.96x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

TransDigm Group Incorporated's interest coverage ratio of 2.44 indicates that earnings with margin can cover interest payments on company debt

TransDigm Group Incorporated's profit margin has decreased (1.44%) in the last year from 21.59% to 21.28%, signaling decreasing performance

TransDigm Group Incorporated's short-term assets of $7.01B exceed its short-term liabilities of $2.18B

TransDigm Group Incorporated's return on assets of 8.86% is higher than the 5.00% threshold, indicating efficient asset utilization

TransDigm Group Incorporated's return on equity of -21.02%, is lower than 15.00%, indicating bad performance

TransDigm Group Incorporated's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

TransDigm Group Incorporated had positive net income in 5 out of 5 years, indicating stable and consistent earnings

TransDigm Group Incorporated has positive free cash flow, indicating the company generates cash after capital expenditures

TransDigm Group Incorporated has a free cash flow yield of 2.65%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

TransDigm Group Incorporated's yearly earnings has increased 21.00% since last year from $1.71B to $2.07B, signaling increasing performance

TransDigm Group Incorporated's yearly revenue has increased 11.28% since last year from $7.94B to $8.83B, signaling increasing performance

ROIC 16.02% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

TransDigm Group Incorporated's 3-year revenue CAGR of 17.61% is positive, indicating growing revenue over the past 3 years

TransDigm Group Incorporated had revenue growth in 4 out of 5 years, indicating consistent revenue performance

TransDigm Group Incorporated had positive ROE in only 0 out of 5 years, indicating inconsistent returns on equity

TransDigm Group Incorporated is overvalued relative to its fair value price of 88.75 based on Discounted Cash Flow model

TransDigm Group Incorporated has an earnings yield of 3.01%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

TransDigm Group Incorporated is overvalued relative to its fair value price of 84.19 based on EBITDA multiple model

TransDigm Group Incorporated has an EV/EBITDA ratio of 20.94x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

TransDigm Group Incorporated is undervalued relative to its fair value price of 1.43K based on Earnings Fair Value model

TransDigm Group Incorporated has a PEG-ratio over 1 which is considered overvalued

TransDigm Group Incorporated has negative shareholder equity; price-to-book is not meaningful and the check fails

TransDigm Group Incorporated has a price-to-sales ratio of 7.08x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue