AME vs. TDG: A Head-to-Head Stock Comparison

Updated on August 28, 2025

Here’s a clear look at AME and TDG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	AME	TDG
Company Name	AMETEK, Inc.	TransDigm Group Incorporated
Country	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry	Electrical Equipment	Aerospace & Defense
Market Capitalization	42.86 billion USD	78.33 billion USD
Exchange	NYSE	NYSE
Listing Date	July 19, 1984	March 15, 2006
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of AME and TDG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AME vs. TDG: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	AME	TDG
5-Day Price Return	0.20%	-0.56%
13-Week Price Return	3.94%	-1.08%
26-Week Price Return	-1.74%	3.54%
52-Week Price Return	12.32%	6.56%
Month-to-Date Return	0.39%	-13.58%
Year-to-Date Return	2.95%	9.68%
10-Day Avg. Volume	1.13M	0.34M
3-Month Avg. Volume	1.32M	0.30M
3-Month Volatility	17.69%	29.09%
Beta	1.13	1.03

Profitability

Return on Equity (TTM)

AME

14.53%

Electrical Equipment Industry

Max: 37.56%
Q3: 20.60%
Median: 14.38%
Q1: 4.35%
Min: 0.90%

AME’s Return on Equity of 14.53% is on par with the norm for the Electrical Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

TDG

37.11%

Aerospace & Defense Industry

Max: 43.89%
Q3: 22.42%
Median: 12.50%
Q1: 5.21%
Min: -6.24%

In the upper quartile for the Aerospace & Defense industry, TDG’s Return on Equity of 37.11% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AME vs. TDG: A comparison of their Return on Equity (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Net Profit Margin (TTM)

AME

20.60%

Electrical Equipment Industry

Max: 20.43%
Q3: 10.97%
Median: 6.07%
Q1: 3.16%
Min: 0.29%

AME’s Net Profit Margin of 20.60% is exceptionally high, placing it well beyond the typical range for the Electrical Equipment industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

TDG

22.52%

Aerospace & Defense Industry

Max: 14.54%
Q3: 8.08%
Median: 6.17%
Q1: 2.49%
Min: -1.63%

TDG’s Net Profit Margin of 22.52% is exceptionally high, placing it well beyond the typical range for the Aerospace & Defense industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

AME vs. TDG: A comparison of their Net Profit Margin (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Operating Profit Margin (TTM)

AME

26.24%

Electrical Equipment Industry

Max: 26.20%
Q3: 14.31%
Median: 7.54%
Q1: 3.77%
Min: -5.64%

AME’s Operating Profit Margin of 26.24% is exceptionally high, placing it well above the typical range for the Electrical Equipment industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

TDG

45.94%

Aerospace & Defense Industry

Max: 16.63%
Q3: 10.38%
Median: 8.29%
Q1: 6.21%
Min: 0.95%

TDG’s Operating Profit Margin of 45.94% is exceptionally high, placing it well above the typical range for the Aerospace & Defense industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

AME vs. TDG: A comparison of their Operating Profit Margin (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Profitability at a Glance

Symbol	AME	TDG
Return on Equity (TTM)	14.53%	37.11%
Return on Assets (TTM)	9.66%	8.43%
Net Profit Margin (TTM)	20.60%	22.52%
Operating Profit Margin (TTM)	26.24%	45.94%
Gross Profit Margin (TTM)	36.12%	60.12%

Financial Strength

Current Ratio (MRQ)

AME

1.63

Electrical Equipment Industry

Max: 3.02
Q3: 1.99
Median: 1.41
Q1: 1.07
Min: 0.80

AME’s Current Ratio of 1.63 aligns with the median group of the Electrical Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

TDG

3.13

Aerospace & Defense Industry

Max: 3.09
Q3: 1.98
Median: 1.23
Q1: 1.03
Min: 0.02

TDG’s Current Ratio of 3.13 is exceptionally high, placing it well outside the typical range for the Aerospace & Defense industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

AME vs. TDG: A comparison of their Current Ratio (MRQ) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AME

0.19

Electrical Equipment Industry

Max: 1.44
Q3: 0.99
Median: 0.56
Q1: 0.24
Min: 0.00

Falling into the lower quartile for the Electrical Equipment industry, AME’s Debt-to-Equity Ratio of 0.19 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

TDG

5.41

Aerospace & Defense Industry

Max: 1.70
Q3: 1.04
Median: 0.68
Q1: 0.41
Min: 0.00

With a Debt-to-Equity Ratio of 5.41, TDG operates with exceptionally high leverage compared to the Aerospace & Defense industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

AME vs. TDG: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Interest Coverage Ratio (TTM)

AME

15.71

Electrical Equipment Industry

Max: 36.12
Q3: 19.29
Median: 9.38
Q1: 1.16
Min: -10.92

AME’s Interest Coverage Ratio of 15.71 is positioned comfortably within the norm for the Electrical Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

TDG

2.72

Aerospace & Defense Industry

Max: 36.57
Q3: 19.90
Median: 7.04
Q1: 2.40
Min: -7.63

TDG’s Interest Coverage Ratio of 2.72 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

AME vs. TDG: A comparison of their Interest Coverage Ratio (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Financial Strength at a Glance

Symbol	AME	TDG
Current Ratio (MRQ)	1.63	3.13
Quick Ratio (MRQ)	1.04	2.07
Debt-to-Equity Ratio (MRQ)	0.19	5.41
Interest Coverage Ratio (TTM)	15.71	2.72

Growth

Revenue Growth

AME vs. TDG: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AME vs. TDG: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AME

0.64%

Electrical Equipment Industry

Max: 2.20%
Q3: 1.53%
Median: 1.01%
Q1: 0.00%
Min: 0.00%

AME’s Dividend Yield of 0.64% is consistent with its peers in the Electrical Equipment industry, providing a dividend return that is standard for its sector.

TDG

5.58%

Aerospace & Defense Industry

Max: 2.03%
Q3: 1.22%
Median: 0.43%
Q1: 0.00%
Min: 0.00%

TDG’s Dividend Yield of 5.58% is exceptionally high, placing it well above the typical range for the Aerospace & Defense industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

AME vs. TDG: A comparison of their Dividend Yield (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Dividend Payout Ratio (TTM)

AME

18.94%

Electrical Equipment Industry

Max: 119.44%
Q3: 51.87%
Median: 27.71%
Q1: 0.00%
Min: 0.00%

AME’s Dividend Payout Ratio of 18.94% is within the typical range for the Electrical Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

TDG

891.68%

Aerospace & Defense Industry

Max: 83.87%
Q3: 49.90%
Median: 16.48%
Q1: 0.00%
Min: 0.00%

At 891.68%, TDG’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Aerospace & Defense industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

AME vs. TDG: A comparison of their Dividend Payout Ratio (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Dividend at a Glance

Symbol	AME	TDG
Dividend Yield (TTM)	0.64%	5.58%
Dividend Payout Ratio (TTM)	18.94%	891.68%

Valuation

Price-to-Earnings Ratio (TTM)

AME

29.53

Electrical Equipment Industry

Max: 81.85
Q3: 44.17
Median: 27.61
Q1: 18.62
Min: 7.73

AME’s P/E Ratio of 29.53 is within the middle range for the Electrical Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

TDG

40.76

Aerospace & Defense Industry

Max: 65.97
Q3: 54.11
Median: 34.53
Q1: 23.66
Min: 0.00

TDG’s P/E Ratio of 40.76 is within the middle range for the Aerospace & Defense industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AME vs. TDG: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Price-to-Sales Ratio (TTM)

AME

6.08

Electrical Equipment Industry

Max: 8.18
Q3: 4.02
Median: 1.84
Q1: 0.97
Min: 0.44

AME’s P/S Ratio of 6.08 is in the upper echelon for the Electrical Equipment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

TDG

9.18

Aerospace & Defense Industry

Max: 8.07
Q3: 4.49
Median: 2.42
Q1: 1.39
Min: 0.00

With a P/S Ratio of 9.18, TDG trades at a valuation that eclipses even the highest in the Aerospace & Defense industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AME vs. TDG: A comparison of their Price-to-Sales Ratio (TTM) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Price-to-Book Ratio (MRQ)

AME

4.02

Electrical Equipment Industry

Max: 8.50
Q3: 4.53
Median: 3.39
Q1: 1.70
Min: 0.51

AME’s P/B Ratio of 4.02 is within the conventional range for the Electrical Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

TDG

10.13

Aerospace & Defense Industry

Max: 13.67
Q3: 7.92
Median: 4.65
Q1: 2.68
Min: 0.82

TDG’s P/B Ratio of 10.13 is in the upper tier for the Aerospace & Defense industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

AME vs. TDG: A comparison of their Price-to-Book Ratio (MRQ) against their respective Electrical Equipment and Aerospace & Defense industry benchmarks.

Valuation at a Glance

Symbol	AME	TDG
Price-to-Earnings Ratio (TTM)	29.53	40.76
Price-to-Sales Ratio (TTM)	6.08	9.18
Price-to-Book Ratio (MRQ)	4.02	10.13
Price-to-Free Cash Flow Ratio (TTM)	25.22	41.32