Eaton Corporation PLC (ETN)vsTransdigm Group Incorporated (TDG)
ETN
Eaton Corporation PLC
$395.94
-5.42%
INDUSTRIALS · Cap: $162.16B
TDG
Transdigm Group Incorporated
$1,238.74
+0.87%
INDUSTRIALS · Cap: $69.75B
Smart Verdict
WallStSmart Research — data-driven comparison
Eaton Corporation PLC generates 200% more annual revenue ($28.52B vs $9.50B). TDG leads profitability with a 21.9% profit margin vs 14.0%. ETN appears more attractively valued with a PEG of 3.02. TDG earns a higher WallStSmart Score of 57/100 (C).
ETN
Buy51
out of 100
Grade: C-
TDG
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ETN.
Margin of Safety
-63.3%
Fair Value
$812.02
Current Price
$1238.74
$426.72 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 20 in profit
16.8% revenue growth
Strong operational efficiency at 46.7%
Conservative balance sheet, low leverage
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
18.3% revenue growth
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 9.4%
Premium valuation, high expectations priced in
ROE of 0.0% — below average capital efficiency
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ETN
The strongest argument for ETN centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 16.8% demonstrates continued momentum.
Bull Case : TDG
The strongest argument for TDG centers on Operating Margin, Debt/Equity, Market Cap. Profitability is solid with margins at 21.9% and operating margin at 46.7%. Revenue growth of 18.3% demonstrates continued momentum.
Bear Case : ETN
The primary concerns for ETN are Debt/Equity, PEG Ratio, P/E Ratio. A P/E of 40.9x leaves little room for execution misses.
Bear Case : TDG
The primary concerns for TDG are P/E Ratio, Return on Equity, PEG Ratio.
Key Dynamics to Monitor
ETN carries more volatility with a beta of 1.24 — expect wider price swings.
TDG is growing revenue faster at 18.3% — sustainability is the question.
ETN generates stronger free cash flow (314M), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TDG scores higher overall (57/100 vs 51/100), backed by strong 21.9% margins and 18.3% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Eaton Corporation PLC
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Eaton Corporation plc is an American Irish-domiciled multinational power management company with 2020 sales of 17.86 billion USD, founded in the United States with corporate headquarters in Dublin, Ireland, and operational headquarters in Beachwood, Ohio.
Transdigm Group Incorporated
INDUSTRIALS · AEROSPACE & DEFENSE · USA
TransDigm Group is a publicly traded aerospace manufacturing company headquartered in Cleveland, Ohio. TransDigm develops and manufactures engineered aerospace components.
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