Jefferies analyst Sheila Kahyaoglu lowered the firm’s price target on TransDigm (TDG) to $1,490 from $1,650 and keeps a Buy rating on the shares. The firm also removed TransDigm from its Franchise Picks list. The company’s EBITDA multiple has compressed 4% since December 2023 amid lower after-market volumes, the analyst tells investors in a research note. However, Jefferies believes TransDigm has $6B of capacity for acquisitions that could be 3% accretive to earnings at a 14-times transaction multiple.
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