Firm's largest sales of the 1st quarter Continue reading...

TransDigm Group Incorporated (NYSE: TDG), a leading global designer, producer and supplier of highly engineered aircraft components, today reported results for the second quarter ended March 28, 2020.

* Insider buying can be an encouraging signal for potential investors. * Directors stepped up to make sizable share purchases last week. * Some of those transactions came in the wake of earnings reports.Conventional wisdom says that insiders and 10% owners really only buy shares of a company for one reason -- they believe the stock price will rise and they want to profit from it. So insider buying can be an encouraging signal for potential investors, particularly during periods of uncertainty.Insiders continued to add shares despite overall market volatility and global economic gloom.Here are some of the most noteworthy insider purchases reported in the past week.TransDigm A TransDigm Group Incorporated (NYSE: TDG) director indirectly added almost 372,000 shares of this aircraft component maker to his stake. At per-share prices ranging from $309.87 to $354.34, that totaled more than $125.18 million. Note that another director purchased 2,000 shares in the previous week.The company posted better than expected fiscal second-quarter earnings earlier this month. The stock ended last week's trading at $325 per share, still within the director's purchase price range. The share price is only up 3% or so since its year-to-date low in March.Bausch Health Bausch Health Companies Inc (NYSE: BHC) saw a director indirectly purchase nearly 5 million shares of this specialty pharmaceutical company last week at between $15.85 and $17.50 a share. That cost that director more than $83.25 million and raised his stake to almost 25.85 million shares.This Canada-based company priced and upsized a previously announced stock offering last week. The shares ended last week down over 6% to $15.74. That's below the director's purchase price range. However, the stock is up about 7% from the year-to-date low seen in March.Aon A director at Aon PLC (NYSE: AON) stepped up to the buy window in the wake of better than expected first-quarter results posted at the start of the month. The director indirectly bought 70,000 shares midweek for $195.00 apiece, which totaled $13.65 million. This raised his stake to 100,000 shares.Shares of this London-based professional services firm closed most recently at $191.67 a share. That's below the above purchase price. It's also more than 31% higher than the year-to-date low during the pandemic panic selling back in March.In addition, note that there was some amount of insider buying at Boston Properties, Inc. (NYSE: BXP), General Motors Company (NYSE: GM), Harley-Davidson Inc (NYSE: HOG) and Penn National Gaming, Inc (NASDAQ: PENN) and last week as well.Keep up with all the latest breaking news and trading ideas by following Benzinga on .See more from Benzinga * Notable Insider Buys This Past Week: Peloton, Illinois Tool Works And More(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

TransDigm Group Incorporated (NYSE: TDG) today said it will report fiscal 2020 second quarter earnings before the market opens on Tuesday, May 5, 2020.

Over the past five trading sessions, the defense biggies put up a mixed show.While General Dynamics gained the most, with its share price rising 5.9%, L3Harris lost the most.

Q2 2020 TransDigm Group Inc Earnings Call

TransDigm's (TDG) net income from continuing operations for the fiscal second quarter increases 61.5% to $323 million compared with $200 million in the year-ago quarter.

Guru releases 1st-quarter portfolio Continue reading...

The company has the liquidity to get through the crisis, and the portfolio to outperform when air traffic returns.

The collapse of air travel has dragged down the commercial aerospace industry, but some companies in the sector are better positioned ahead of its eventual recovery.

[Editor's Note: "5 Stocks to Buy With Heavy Insider Buying" is regularly updated to include the most relevant information available.]Over the past several weeks, I have consistently pointed to record-high levels of insider buying as a bullish indicator that it's time for you to start looking for stocks to buy.Why? Two big reasons. Insiders are good at picking bottoms, and they are equally as good at picking winning stocks.InvestorPlace - Stock Market News, Stock Advice & Trading TipsOn the first point, just look at this chart from Bloomberg. Insiders are often early in calling stock market bottoms. But they are seldom wrong. Insiders bought big before the markets turned around in the early 2000s, and before markets bottomed in 2009.On the second point, stocks with heavy insider buying tend to outperform. In an email to InvestorPlace, Andrei Simonov, the chairperson of the Department of Finance at Michigan State University, said, "Insider buying is always a positive signal. Numerous academic papers showed that it is indeed a good signal."One of those academic papers, authored by Nejat Seyhun, a University of Michigan finance professor, showed that stocks with significant insider buying tend to outperform by 5%.With that in mind, let's answer a very important question. What stocks which insiders bought big in May should you be buying right now? * 20 Stocks to Buy If You're Still Betting on America to Thrive Consider these five stocks to buy now, all of which had big insider buying in May: * TransDigm (NYSE:TDG) * Harley-Davidson (NYSE:HOG) * CVS (NYSE:CVS) * Virgin Galactic (NASDAQ:SPCE) * Rent-A-Center (NASDAQ:RCII) Stocks to Buy: TransDigm (TDG)Source: Pavel Kapysh / Shutterstock.com [Note: all insider data is sourced from Finviz.com]As a designer, producer, and supplier of aircraft components, TransDigm has been hit hard amid the novel coronavirus pandemic.Flying demand has screeched to a halt. Against the backdrop of zero demand, airlines aren't ordering new commercial aircraft. TransDigm's commercial aircraft business has been slammed. This pain won't stop anytime soon. TransDigm management is calling for commercial aftermarket sales to drop by 70% to 80% for the rest of the year.But this is a near-term hiccup in what is an otherwise strong growth narrative.Over the next few years, coronavirus fears will fade and economic activity will normalize. Consumers will start flying again. Aircraft component demand will rise again. And TransDigm will get back to growing.All of that is to say that today's dirt-cheap valuation on TDG stock -- 3 times sales versus a five-year-average sales multiple of over 5 -- won't stick around.That's why I'd follow the insiders on this one. Board Director and Managing Director at Berkshire Partners, Robert Small, has bought $125 million worth in May. Fellow Board Director and former CFO of Sherwin-Williams (NYSE:SHW) Sean Hennessy bought $700,00 worth of TDG stock in May.In the long run, those big buys will yield big profits. Harley-Davidson (HOG)Source: Alex Erofeenkov / Shutterstock.com U.S. auto sales have fallen off a cliff as consumers under widespread stay-at-home orders have halted their discretionary spending. This plunge in U.S. auto market demand has caused significant pain for Harley-Davidson.Global retail motorcycle sales at Harley-Davidson dropped more than 20% year-over-year in the first quarter of 2020. HOG stock has dropped nearly 50% year-to-date.The CEO of Harley-Davidson thinks this pain is temporary. On May 8, he bought $2.1 million worth of HOG stock.I think he's right.Over the next few months, the U.S. economy will gradually reopen. As it does, consumer behavior will start to normalize, and discretionary spending will rebound. U.S. auto sales demand will slowly recover. Harley-Davidson's growth trends will improve. HOG stock will bounce back. * 7 Earnings Reports to Watch Next Week In other words, it appears the worst is over for Harley-Davidson. Going forward, things should only get better for both the company and the stock. CVS (CVS)Source: Jonathan Weiss / Shutterstock.com As a brick-and-mortar focused retailer, CVS has exposure to stay-at-home headwinds because consumers simply aren't going out and spending as much money at physical locations as they used to.For that reason, CVS stock has shed 16% this year.But the company just reported strong first-quarter numbers which handily topped expectations and included healthy revenue and operating profit growth. Perhaps more importantly, management reiterated its full-year profit guide on the basis that Covid-19 isn't creating huge financial disruption for the company.Does that mean it's time to buy the dip in CVS stock?I think so. So do insiders. Alan Lotvin, the president of CVS Caremark, bought $315,000 worth of CVS stock in mid-May.Over the next few months, economic activity will gradually normalize and CVS' already resilient growth trajectory will only improve. As it does, CVS stock will rebound back to where it was at the beginning of the year, if not higher. Virgin Galactic (SPCE)Source: Tun Pichitanon / Shutterstock.com Once one of the hottest and most hyped-up stocks in the market, commercial spaceflight company Virgin Galactic has seen the air come of out its wheels over the past few months.Specifically, the coronavirus pandemic has presumably (yet again) delayed the launch of Virgin Galactic's first commercial space flight, which was previously supposed to happen in 2020. Because a lot of the hype surrounding the company was based on its ability to finally commence commercial operations in 2020, this delay has weighed significantly on SPCE stock, which has fallen from $43 to $15 in matter of months.Insiders are buying the dip.Since May 11, four insiders -- including the CEO and COO -- have collectively bought $240,000 worth of SPCE stock.In the long run, those buys will yield big rewards.Virgin Galactic is a pioneer in the commercial space market, which is expected to grow from $350 billion today, to $1.1 trillion by 2040. Over that stretch, Virgin Galactic will turn into a really big company, powered by a niche but high-demand commercial spaceflight business and the development of hypersonic air travel technology (which could be used to replace planes at scale). * 9 Stocks to Buy as People Are Still Stuck at Home In other words, as the space economy booms over the next two decades, SPCE stock will roar higher. Against that long-term backdrop, today's coronavirus-related weakness is nothing more than a buying opportunity. Rent-A-Center (RCII)Source: dennizn / Shutterstock.com Last, but not least, on this list of stocks to buy with heavy insider buying is Rent-A-Center.As a rental equipment retailer, Rent-A-Center was initially seen on Wall Street as a big loser amid the coronavirus pandemic because of physical store closures. RCII stock dropped from $31 in late January, to $12 by March.Then, Wall Street started to think that a discount-focused, rental-oriented equipment retailer like Rent-A-Center may actually win during Covid-19, because tight budgets will push consumers away from buying big-ticket items and towards renting them.Rent-A-Center's first quarter numbers confirmed that this is the case. The company reported positive revenue and comparable sales growth in the quarter, and commented that April sales trends have been quite strong, led by out-sized gains in the e-commerce business.Over the next few months, the economy will gradually re-open (providing support for more consumer discretionary spend). But consumers will be cautious with their spend because of the huge job loss the economy has suffered (thereby providing support for more consumer discretionary spend on discount, rental items).As such, Rent-A-Center's growth trends should only get better as we head into the back-half of 2020. As they do, RCII stock will keep rallying.Insiders apparently agree. In May, two Board Directors purchased nearly $800,000 worth of RCII stock.I say follow those insiders, and stick with this rally for the foreseeable future.Luke Lango is a Markets Analyst for InvestorPlace. He has been professionally analyzing stocks for several years, previously working at various hedge funds and currently running his own investment fund in San Diego. A Caltech graduate, Luke has consistently been recognized as one of the best stock pickers in the world by various other analysts and platforms, and has developed a reputation for leveraging his technology background to identify growth stocks that deliver outstanding returns. Luke is also the founder of Fantastic, a social discovery company backed by an LA-based internet venture firm.  As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * America's 1 Stock Picker Reveals Next 1,000% Winner * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post 5 Stocks to Buy With Heavy Insider Buying in May appeared first on InvestorPlace.

In this article we will check out the progression of hedge fund sentiment towards TransDigm Group Incorporated (NYSE:TDG) and determine whether it is a good investment right now. We at Insider Monkey like to examine what billionaires and hedge funds think of a company before spending days of research on it. Given their 2 and […]

Guru ups stake in Peloton, buys TransDigm Continue reading...

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Ladies and gentlemen, thank you for standing by, and welcome to the TransDigm Second Quarter Earnings Conference Call. Thank you, and welcome to TransDigm's Fiscal 2020 Earnings Conference Call. Presenting this morning are TransDigm's Executive Chairman, Nick Howley, President and Chief Executive Officer, Kevin Stein; and Chief Financial Officer, Mike Lisman.