TDG vs. ULS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at TDG and ULS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | TDG | ULS |
|---|---|---|
| Company Name | TransDigm Group Incorporated | UL Solutions Inc. |
| Country | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Aerospace & Defense | Professional Services |
| Market Capitalization | 78.33 billion USD | 12.58 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 15, 2006 | April 12, 2024 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of TDG and ULS 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.
Historical Performance at a Glance
| Symbol | TDG | ULS |
|---|---|---|
| 5-Day Price Return | -0.56% | -6.16% |
| 13-Week Price Return | -1.08% | -11.79% |
| 26-Week Price Return | 3.54% | 12.68% |
| 52-Week Price Return | 6.56% | 16.18% |
| Month-to-Date Return | -13.58% | -14.35% |
| Year-to-Date Return | 9.68% | 25.56% |
| 10-Day Avg. Volume | 0.34M | 0.94M |
| 3-Month Avg. Volume | 0.30M | 0.89M |
| 3-Month Volatility | 29.09% | 35.46% |
| Beta | 1.03 | 0.52 |
Profitability
Return on Equity (TTM)
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.
ULS
34.07%
Professional Services Industry
- Max
- 52.17%
- Q3
- 30.06%
- Median
- 22.21%
- Q1
- 11.67%
- Min
- -13.44%
In the upper quartile for the Professional Services industry, ULS’s Return on Equity of 34.07% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
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.
ULS
11.08%
Professional Services Industry
- Max
- 26.06%
- Q3
- 13.34%
- Median
- 7.88%
- Q1
- 3.50%
- Min
- -2.93%
ULS’s Net Profit Margin of 11.08% is aligned with the median group of its peers in the Professional Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
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.
ULS
16.71%
Professional Services Industry
- Max
- 35.84%
- Q3
- 19.38%
- Median
- 12.54%
- Q1
- 7.36%
- Min
- -5.21%
ULS’s Operating Profit Margin of 16.71% is around the midpoint for the Professional Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | TDG | ULS |
|---|---|---|
| Return on Equity (TTM) | 37.11% | 34.07% |
| Return on Assets (TTM) | 8.43% | 11.40% |
| Net Profit Margin (TTM) | 22.52% | 11.08% |
| Operating Profit Margin (TTM) | 45.94% | 16.71% |
| Gross Profit Margin (TTM) | 60.12% | 48.53% |
Financial Strength
Current Ratio (MRQ)
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.
ULS
1.32
Professional Services Industry
- Max
- 2.45
- Q3
- 1.65
- Median
- 1.26
- Q1
- 1.10
- Min
- 0.47
ULS’s Current Ratio of 1.32 aligns with the median group of the Professional Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
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.
ULS
0.56
Professional Services Industry
- Max
- 2.63
- Q3
- 1.44
- Median
- 0.91
- Q1
- 0.49
- Min
- 0.00
ULS’s Debt-to-Equity Ratio of 0.56 is typical for the Professional Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
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.
ULS
11.92
Professional Services Industry
- Max
- 39.67
- Q3
- 20.05
- Median
- 11.07
- Q1
- 5.36
- Min
- -2.22
ULS’s Interest Coverage Ratio of 11.92 is positioned comfortably within the norm for the Professional Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | TDG | ULS |
|---|---|---|
| Current Ratio (MRQ) | 3.13 | 1.32 |
| Quick Ratio (MRQ) | 2.07 | 1.32 |
| Debt-to-Equity Ratio (MRQ) | 5.41 | 0.56 |
| Interest Coverage Ratio (TTM) | 2.72 | 11.92 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
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.
ULS
0.76%
Professional Services Industry
- Max
- 5.28%
- Q3
- 2.51%
- Median
- 1.63%
- Q1
- 0.62%
- Min
- 0.00%
ULS’s Dividend Yield of 0.76% is consistent with its peers in the Professional Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
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.
ULS
31.19%
Professional Services Industry
- Max
- 109.23%
- Q3
- 64.39%
- Median
- 47.00%
- Q1
- 20.35%
- Min
- 0.00%
ULS’s Dividend Payout Ratio of 31.19% is within the typical range for the Professional Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | TDG | ULS |
|---|---|---|
| Dividend Yield (TTM) | 5.58% | 0.76% |
| Dividend Payout Ratio (TTM) | 891.68% | 31.19% |
Valuation
Price-to-Earnings Ratio (TTM)
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.
ULS
41.10
Professional Services Industry
- Max
- 49.59
- Q3
- 36.59
- Median
- 28.13
- Q1
- 18.55
- Min
- 10.07
A P/E Ratio of 41.10 places ULS in the upper quartile for the Professional Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
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.
ULS
4.55
Professional Services Industry
- Max
- 9.54
- Q3
- 5.11
- Median
- 2.10
- Q1
- 0.75
- Min
- 0.11
ULS’s P/S Ratio of 4.55 aligns with the market consensus for the Professional Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
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.
ULS
13.37
Professional Services Industry
- Max
- 13.75
- Q3
- 8.87
- Median
- 4.35
- Q1
- 2.43
- Min
- 0.54
ULS’s P/B Ratio of 13.37 is in the upper tier for the Professional Services 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.
Valuation at a Glance
| Symbol | TDG | ULS |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 40.76 | 41.10 |
| Price-to-Sales Ratio (TTM) | 9.18 | 4.55 |
| Price-to-Book Ratio (MRQ) | 10.13 | 13.37 |
| Price-to-Free Cash Flow Ratio (TTM) | 41.32 | 36.92 |