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Reasons to Include Triumph Group Stock in Your Portfolio Now

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Triumph Group, Inc. (TGI - Free Report) , with rising earnings estimates, better solvency, strong liquidity, robust backlog and growing aftermarket business, offers a great investment opportunity in the Zacks Aerospace Defense Equipment industry.

Let us focus on the reasons that make this Zacks Rank #1 (Strong Buy) stock an attractive investment pick at the moment.

Growth Forecast & Surprise History of TGI

The Zacks Consensus Estimate for Triumph Group’s fiscal 2026 earnings per share (EPS) has increased 2.9% to $1.06 per share over the past 60 days.

The Zacks Consensus Estimate for fiscal 2026 revenues is pegged at $1.33 billion, which indicates a year-over-year increase of 11.6%.

TGI delivered an average earnings surprise of 159.38% in the trailing four quarters.

Triumph Group's Liquidity Position

TGI’s current ratio at the end of the third quarter of fiscal 2025 was 2.50, higher than the industry’s average of 1.79. The ratio being greater than one indicates the company’s ability to meet its future short-term liabilities without difficulties.

TGI’s Solvency

Triumph Group’s times interest earned ratio (TIE) at the end of the third quarter of fiscal 2025 was 1.2. The TIE ratio of more than 1 indicates that the company will be able to meet its interest payment obligations in the near term without any problems.

Triumph Group’s Solid Backlog

TGI has been receiving a constant stream of orders from its diversified customer base. Due to its wide range of superior products, the company keeps receiving orders from manufacturers of commercial aircraft and other military agencies worldwide, expanding its order book. This must have led to a solid backlog of $1.87 billion as of Dec. 31, 2024.

TGI’s Aftermarket Business Remain Strong

Triumph Group announced that its Actuation Products and Services division delivered more than $28 million of aftermarket shipments to support Boeing 787 and Airbus A380 Landing Gear overhaul activity, year to date for fiscal 2025. This was the largest shipping volume Triumph Group had ever attained.

TGI's military aftermarket sales climbed 31.5% in the last reported quarter, driven by increasing repair volume on the UH-60 platform and spare volume on the CH-47. In the third quarter of fiscal 2025, its commercial aftermarket sales climbed 42.3% year over year due to increasing spares and repair sales volume across multiple platforms, including the Boeing 737 and 787 programs.

Triumph Group Stock Price Performance

In the past six months, TGI shares have rallied 35.5% compared with its industry’s return of 1.3%.

 

Zacks Investment Research
Image Source: Zacks Investment Research

 

Other Stocks to Consider

A few other top-ranked stocks from the same industry are Curtiss-Wright Corp. (CW - Free Report) , Woodward, Inc. (WWD - Free Report) and FTAI Aviation Ltd. (FTAI - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

CW’s long-term earnings growth rate is 12%. The Zacks Consensus Estimate for the company’s total revenues for 2025 stands at $3.38 billion, which indicates year-over-year growth of 8.3%.

Woodward’s long-term earnings growth rate is 13%. The Zacks Consensus Estimate for WWD’s fiscal 2025 sales is pegged at $3.45 billion, which implies an improvement of 3.7%.

The Zacks Consensus Estimate for FTAI’s 2025 EPS stands at $5.14 per share, which calls for a massive year-over-year upsurge of 1,706.3%. The Zacks Consensus Estimate for FTAI’s total revenues for 2025 is pegged at $2.11 billion, which suggests growth of 21.8%.

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