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L3Harris Technologies vs TransDigm Group: Which Stock Looks Stronger in 2026?

L3Harris Technologies holds the cleaner structural position, with growth as the main driver and valuation adding further support. Both sides have seen trend damage — neither carries a clear market edge right now. With both trends damaged, the structural comparison carries most of the weight here.

The comparison is based on similar long-term financial trajectories, not sector labels. Both peer scores are relative to the S&P 500 universe, making them directly comparable.

Updated 2026-05-17

Most of the visible separation comes from growth. The overall score gap is 11 points in favour of L3Harris Technologies, Inc..

INDUSTRY COMPARISON

Both operate in: Aerospace & Defense

This comparison is based on industry proximity, not on functional trajectory similarity. LHX and TDG share the same industry classification.

For a similarity-based comparison, see how L3Harris Technologies and TransDigm each position within their functional peer groups in AssetNext.

Peer-Relative Score
LHX
L3Harris Technologies, Inc.
58
Peer-Score
Signal qualityMedium
Peer basis: S&P 500
vs
TDG
TransDigm Group Incorporated
47
Peer-Score
Signal qualitylow
Peer basis: S&P 500

Scores reflect position relative to comparable companies with similar long-term financial trajectories.

The largest gaps do not all point in the same direction.

Dimension spread: LHX vs TDG Profitability 44 38 Stability 60 61 Valuation 58 47 Growth 74 47 LHX TDG
Gap Ranking
#1 Growth +27
#2 Valuation +11
#3 Profitability +6
#4 Stability +1
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for LHX and TDG Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer LHXTDG Relative valuation Structural strength

Neither company combines the stronger profile with the cheaper valuation.

Valuation position uses peer-relative PE percentile (idx_pct_pe) where available.

Entry today — historical context

Where LHX and TDG each sit in their own 5-year price and valuation history.

BASED ON 5-YEAR HISTORY LHX Elevated · above norm 0th 50th 100th 28 pct gap TDG Neutral · below norm 0th 50th 100th 93rd 65th
Today TDG sits in the upper-middle of its own 5-year history (65th percentile), while LHX sits higher in its own history (93rd). Within each stock's own 5-year context, TDG is at a historically more favourable entry position than LHX. This reflects entry timing, not which company is structurally stronger — peer-relative analysis is a separate question addressed above.

Describes historical entry positioning only. Descriptive — not investment advice.

Relative Position vs Comparable Companies
Growth
Both rank well on growth, but L3Harris Technologies, Inc. still holds a clear edge.
Valuation
On valuation, the edge still sits with L3Harris Technologies, Inc., even though both profiles look solid.
Growth — Dominant Gap
LHX
74
TDG
47
Gap+27in favour of LHX

Growth adds another layer to the lead, with a very wide gap in revenue growth between the two companies.

What keeps the gap from being one-sided

Stability is the one area where TransDigm Group Incorporated still pushes back materially — it is the steadier name on this dimension, which keeps the result from reading as one-way.

What this means for the comparison

Growth is the clearest driver, and valuation also supports L3Harris Technologies, Inc.'s broader structural position.

Explore full peer positioning in AssetNext

Break down the LHX vs TDG comparison across all dimensions with the full interactive tool.

Explore full breakdown →
Similar growth-driven comparisons

Explore how LHX and TDG each compare against other companies in their peer groups.

Rule-based, descriptive analysis only. Derived from peer percentile dimensions. Not investment advice. Peer groups are determined algorithmically based on structural similarity — not by sector classification alone.

How AssetNext Peer Scores Work

AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.

Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.

Because scores are peer-relative, the same company can have slightly different scores in different index universes. On comparison pages, both companies are shown within their shared peer universe wherever possible — so the scores are directly comparable. The peer basis is stated on each score card.

Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.