UBS analyst Gavin Parsons upgraded TransDigm (TDG) to Buy from Neutral with a price target of $1,595, up from $1,502. The firm expects the company’s aftermarket growth to stabilize and accelerate from Q1, with above-consensus margin expansion and the potential for a step-up in capital deployment. TransDigm is a “compounder of earnings organically and inorganically, with a recurring and often sole-source business model,” the analyst tells investors in a research note. UBS is above consensus on the company’s earnings in fiscal 2026 and 2027, and it believes a more acquisition friendly environment could offer further upside to numbers.
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