TransDigm Posts Strong Fourth-Quarter Results Amid Recovery in Air Travel

Wide-moat Transdigm delivered strong fiscal fourth-quarter results amid continued recovery in commercial aerospace activity. Revenue of $1.5 billion was in line with FactSet consensus, while adjusted EPS of $5.50 outpaced consensus by 5%. Management established fiscal 2023 guidance, calling for revenue of $6.0 billion-$6.2 billion and EBITDA of $3.0 billion-$3.1 billion, which came in slightly above our expected run rate. We expect to maintain our $650 per share fair value estimate as our long-term outlook remains intact.