Seek Returns

ETN vs. TDG: Eaton vs. TransDigm Stock Comparison

How do Eaton (ETN) and TransDigm (TDG) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Eaton (ETN) and TransDigm (TDG) both fall under the Capital Goods industry group, but ETN is classified in Electrical Equipment while TDG is classified in Aerospace & Defense.

Company profile comparison for Eaton (ETN) and TransDigm (TDG)
Profile ItemETNTDG
NameEaton Corporation plcTransDigm Group Inc.
Country/RegionIrelandUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryElectrical EquipmentAerospace & Defense
GICS Sub-IndustryElectrical Components & EquipmentAerospace & Defense
Market Capitalization132.76 billion USD66.17 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJune 1, 1972March 15, 2006
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

ETN
TDG
GSPC
Loading price history…
Eaton (ETN) vs. TransDigm (TDG), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

Loading price history…
Trailing total returns for Eaton (ETN) and TransDigm (TDG). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for Eaton (ETN) and TransDigm (TDG). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Total Return (1Y)-2.33%-3.42%
Total Return (3Y, Annualized)19.68%14.26%
Total Return (5Y, Annualized)17.50%16.86%

Risk Profile

Drawdown History

ETN
TDG
GSPC
Loading price history…
Eaton (ETN) vs. TransDigm (TDG), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

Loading price history…
Distribution of monthly total returns for Eaton (ETN) and TransDigm (TDG). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Volatility (1Y, Annualized)43.57%28.03%
Beta (5Y)1.140.94
Max Drawdown (5Y)-34.46%-29.05%
Avg. Volume (3M)2.32M369.72K

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
ETN and TDG are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Sharpe Ratio (1Y)-0.15-0.27
Sortino Ratio (1Y)-0.21-0.38

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Eaton (ETN) earns 19.55% on shareholders’ equity, ranked against its industry; TransDigm (TDG) has no ROE this period.

ETN

Capital Goods industry group

19.55%

Max
40.55%
ETN
19.55%
Q3
19.29%
Median
12.12%
Q1
4.08%
Min
-17.12%

TDG

Capital Goods industry group

--

Max
40.55%
Q3
19.29%
Median
12.12%
Q1
4.08%
Min
-17.12%
TDG
--
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): TDG does not report ROE, so it has no value marker; ETN is benchmarked against the Capital Goods industry group.

Net Margin (TTM)

For every dollar of sales, both Eaton (ETN) at 12.18% and TransDigm (TDG) at 21.28% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

ETN

Capital Goods industry group

12.18%

Max
27.47%
ETN
12.18%
Q3
12.10%
Median
6.30%
Q1
1.40%
Min
-12.89%

TDG

Capital Goods industry group

21.28%

Max
27.47%
TDG
21.28%
Q3
12.10%
Median
6.30%
Q1
1.40%
Min
-12.89%
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

TransDigm (TDG) at 46.01% turns sales into operating profit above its industry’s benchmark range, while Eaton (ETN) at 17.85% operates around its industry’s norm.

ETN

Capital Goods industry group

17.85%

Max
36.60%
Q3
18.33%
ETN
17.85%
Median
11.12%
Q1
5.14%
Min
-12.63%

TDG

Capital Goods industry group

46.01%

TDG
46.01%
Max
36.60%
Q3
18.33%
Median
11.12%
Q1
5.14%
Min
-12.63%
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
ROE (TTM)19.55%--
ROA (TTM)7.22%11.82%
Net Margin (TTM)12.18%21.28%
Operating Margin (TTM)17.85%46.01%
Gross Margin (TTM)35.16%59.82%

Growth

Revenue Growth

Both Eaton (ETN) at 10.33% and TransDigm (TDG) at 11.22% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Eaton (ETN) at 10.00% and TransDigm (TDG) at 25.21% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Revenue Growth (YoY)10.33%11.22%
Revenue Growth (3Y CAGR)9.77%17.61%
EPS Growth (YoY)10.00%25.21%
EPS Growth (3Y CAGR)19.39%33.78%

Financial Strength

Current Ratio (MRQ)

TransDigm (TDG) at 3.02 carries current ratio above its industry’s typical mid-range, while Eaton (ETN) at 1.23 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.

ETN

Capital Goods industry group

1.23

Max
5.22
Q3
2.95
Median
2.08
Q1
1.43
ETN
1.23
Min
0.36

TDG

Capital Goods industry group

3.02

Max
5.22
TDG
3.02
Q3
2.95
Median
2.08
Q1
1.43
Min
0.36
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Eaton (ETN) carries debt-to-equity ratio of 1.00 against its industry range, while TransDigm (TDG) reports no figure this period.

ETN

Capital Goods industry group

1.00

Max
2.33
Q3
1.12
ETN
1.00
Median
0.60
Q1
0.29
Min
0.00

TDG

Capital Goods industry group

--

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
Min
0.00
TDG
--
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): TDG does not report debt-to-equity ratio, so it has no value marker; ETN is benchmarked against the Capital Goods industry group.

Financial Strength Metrics

Financial strength metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Current Ratio (MRQ)1.233.02
Debt / Equity (MRQ)1.00--
Net Debt / EBITDA2.856.03

Dividends

Dividend Yield (TTM)

TransDigm (TDG) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Eaton (ETN) reports a yield of 1.33%, ranking against industry peers normally.

ETN

Capital Goods industry group

1.33%

Max
2.66%
ETN
1.33%
Q3
1.14%
Median
0.24%
Q1
0.00%
Min
0.00%

TDG

Capital Goods industry group

0.00%

Max
2.66%
Q3
1.14%
Median
0.24%
TDG
0.00%
Q1
0.00%
Min
0.00%
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

TransDigm (TDG) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Eaton (ETN) reports a payout of 43.36%, ranking against industry peers normally.

ETN

Capital Goods industry group

43.36%

Max
67.39%
ETN
43.36%
Q3
28.02%
Median
6.86%
Q1
0.00%
Min
0.00%

TDG

Capital Goods industry group

0.00%

Max
67.39%
Q3
28.02%
Median
6.86%
TDG
0.00%
Q1
0.00%
Min
0.00%
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
Dividend Yield (TTM)1.33%0.00%
Dividend Payout Ratio (TTM)43.36%0.00%

Valuation

P/E Ratio (TTM)

Eaton (ETN) at 34.14 is near its industry’s usual P/E ratio, while TransDigm (TDG) at 36.31 sits in the richer quartile — TDG needs stronger growth or earnings quality to justify the premium.

ETN

Capital Goods industry group

34.14

Max
59.38
Q3
35.92
ETN
34.14
Median
25.41
Q1
19.47
Min
3.03

TDG

Capital Goods industry group

36.31

Max
59.38
TDG
36.31
Q3
35.92
Median
25.41
Q1
19.47
Min
3.03
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Both Eaton (ETN) at 4.15 and TransDigm (TDG) at 6.61 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

ETN

Capital Goods industry group

4.15

Max
7.54
ETN
4.15
Q3
3.76
Median
2.15
Q1
1.03
Min
0.03

TDG

Capital Goods industry group

6.61

Max
7.54
TDG
6.61
Q3
3.76
Median
2.15
Q1
1.03
Min
0.03
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

TransDigm (TDG) reports a negative P/B ratio of -6.74, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Eaton (ETN) reports 6.33, ranking against industry peers normally.

ETN

Capital Goods industry group

6.33

Max
9.66
ETN
6.33
Q3
5.00
Median
3.12
Q1
1.81
Min
-1.08

TDG

Capital Goods industry group

-6.74

Max
9.66
Q3
5.00
Median
3.12
Q1
1.81
Min
-1.08
TDG
-6.74
Loading chart…
Eaton (ETN) vs. TransDigm (TDG): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Eaton (ETN) and TransDigm (TDG)
MetricETNTDG
P/E Ratio (TTM)34.1436.31
P/S Ratio (TTM)4.156.61
P/B Ratio (MRQ)6.33-6.74
Free Cash Flow Yield (TTM)2.29%2.20%