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TDG vs. TXT: TransDigm vs. Textron Stock Comparison

How do TransDigm (TDG) and Textron (TXT) 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

TransDigm (TDG) and Textron (TXT) are both classified in the Aerospace & Defense sub-industry within the broader Aerospace & Defense industry, placing them in the closest GICS peer bucket.

Company profile comparison for TransDigm (TDG) and Textron (TXT)
Profile ItemTDGTXT
NameTransDigm Group Inc.Textron Inc.
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryAerospace & DefenseAerospace & Defense
GICS Sub-IndustryAerospace & DefenseAerospace & Defense
Market Capitalization66.17 billion USD14.15 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateMarch 15, 2006February 21, 1973
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

TDG
TXT
GSPC
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TransDigm (TDG) vs. Textron (TXT), 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

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Trailing total returns for TransDigm (TDG) and Textron (TXT). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for TransDigm (TDG) and Textron (TXT). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Total Return (1Y)-3.42%3.94%
Total Return (3Y, Annualized)14.26%4.49%
Total Return (5Y, Annualized)16.86%2.30%

Risk Profile

Drawdown History

TDG
TXT
GSPC
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TransDigm (TDG) vs. Textron (TXT), 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

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Distribution of monthly total returns for TransDigm (TDG) and Textron (TXT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Volatility (1Y, Annualized)28.03%29.18%
Beta (5Y)0.940.87
Max Drawdown (5Y)-29.05%-37.33%
Avg. Volume (3M)369.72K1.72M

Risk-Adjusted Performance

Risk-Return Positioning

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TDG and TXT 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 TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Sharpe Ratio (1Y)-0.27-0.01
Sortino Ratio (1Y)-0.38-0.02

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Textron (TXT) earns 12.48% on shareholders’ equity, ranked against its industry; TransDigm (TDG) has no ROE this period.

TDG

Capital Goods industry group

--

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

TXT

Capital Goods industry group

12.48%

Max
40.55%
Q3
19.29%
TXT
12.48%
Median
12.12%
Q1
4.08%
Min
-17.12%
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TransDigm (TDG) vs. Textron (TXT): TDG does not report ROE, so it has no value marker; TXT is benchmarked against the Capital Goods industry group.

Net Margin (TTM)

TransDigm (TDG) at 21.28% retains a top-quartile share of revenue as profit, ahead of Textron (TXT) at 6.30%, which keeps about the industry-typical share.

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%

TXT

Capital Goods industry group

6.30%

Max
27.47%
Q3
12.10%
TXT
6.30%
Median
6.30%
Q1
1.40%
Min
-12.89%
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TransDigm (TDG) vs. Textron (TXT): 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 Textron (TXT) at 9.33% operates around its industry’s norm.

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%

TXT

Capital Goods industry group

9.33%

Max
36.60%
Q3
18.33%
Median
11.12%
TXT
9.33%
Q1
5.14%
Min
-12.63%
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TransDigm (TDG) vs. Textron (TXT): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
ROE (TTM)--12.48%
ROA (TTM)11.82%4.51%
Net Margin (TTM)21.28%6.30%
Operating Margin (TTM)46.01%9.33%
Gross Margin (TTM)59.82%17.53%

Growth

Revenue Growth

Both TransDigm (TDG) at 11.22% and Textron (TXT) at 8.01% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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TransDigm (TDG) vs. Textron (TXT): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both TransDigm (TDG) at 25.21% and Textron (TXT) at 18.02% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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TransDigm (TDG) vs. Textron (TXT): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Revenue Growth (YoY)11.22%8.01%
Revenue Growth (3Y CAGR)17.61%4.77%
EPS Growth (YoY)25.21%18.02%
EPS Growth (3Y CAGR)33.78%8.42%

Financial Strength

Current Ratio (MRQ)

Textron (TXT) at 1.80 keeps current ratio within its industry’s typical mid-range, while TransDigm (TDG) at 3.02 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.

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

TXT

Capital Goods industry group

1.80

Max
5.22
Q3
2.95
Median
2.08
TXT
1.80
Q1
1.43
Min
0.36
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TransDigm (TDG) vs. Textron (TXT): 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: Textron (TXT) carries debt-to-equity ratio of 0.52 against its industry range, while TransDigm (TDG) reports no figure this period.

TDG

Capital Goods industry group

--

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
Min
0.00
TDG
--

TXT

Capital Goods industry group

0.52

Max
2.33
Q3
1.12
Median
0.60
TXT
0.52
Q1
0.29
Min
0.00
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TransDigm (TDG) vs. Textron (TXT): TDG does not report debt-to-equity ratio, so it has no value marker; TXT is benchmarked against the Capital Goods industry group.

Financial Strength Metrics

Financial strength metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Current Ratio (MRQ)3.021.80
Debt / Equity (MRQ)--0.52
Net Debt / EBITDA6.031.54

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 Textron (TXT) reports a yield of 0.09%, ranking against industry peers normally.

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%

TXT

Capital Goods industry group

0.09%

Max
2.66%
Q3
1.14%
Median
0.24%
TXT
0.09%
Q1
0.00%
Min
0.00%
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TransDigm (TDG) vs. Textron (TXT): 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 Textron (TXT) reports a payout of 1.44%, ranking against industry peers normally.

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%

TXT

Capital Goods industry group

1.44%

Max
67.39%
Q3
28.02%
Median
6.86%
TXT
1.44%
Q1
0.00%
Min
0.00%
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TransDigm (TDG) vs. Textron (TXT): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
Dividend Yield (TTM)0.00%0.09%
Dividend Payout Ratio (TTM)0.00%1.44%

Valuation

P/E Ratio (TTM)

Textron (TXT) at 15.03 sits in the cheaper P/E ratio quartile, while TransDigm (TDG) at 36.31 sits in the richer quartile — a clear split in what investors pay for each dollar of trailing earnings.

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

TXT

Capital Goods industry group

15.03

Max
59.38
Q3
35.92
Median
25.41
Q1
19.47
TXT
15.03
Min
3.03
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TransDigm (TDG) vs. Textron (TXT): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Textron (TXT) at 0.92 looks cheap on sales in the lower P/S ratio quartile, while TransDigm (TDG) at 6.61 looks rich in the upper quartile — a clear gap in price per dollar of revenue.

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

TXT

Capital Goods industry group

0.92

Max
7.54
Q3
3.76
Median
2.15
Q1
1.03
TXT
0.92
Min
0.03
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TransDigm (TDG) vs. Textron (TXT): 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 Textron (TXT) reports 1.74, ranking against industry peers normally.

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

TXT

Capital Goods industry group

1.74

Max
9.66
Q3
5.00
Median
3.12
Q1
1.81
TXT
1.74
Min
-1.08
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TransDigm (TDG) vs. Textron (TXT): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for TransDigm (TDG) and Textron (TXT)
MetricTDGTXT
P/E Ratio (TTM)36.3115.03
P/S Ratio (TTM)6.610.92
P/B Ratio (MRQ)-6.741.74
Free Cash Flow Yield (TTM)2.20%5.35%