TransDigm (TDG) Stock Concentration Calculator
Calculator · free · no signup · TDGQuantify TransDigm concentration risk. Drawdown impact at 30 / 50 / 70%, with the tax-aware trade-off between selling down and hedging.
Beta · invite-only · AlphaLatitude Inc. · Free Tools
Your inputs
Adjust — results update instantly.Position & portfolio
Tax
Most fee-only advisors target ≤10% in any single name. You're at 67%.
Estimates only. Not financial advice.
Most sensitive to: Expected market return (±10% on this input swings best-plan wealth by ±$190,508).
Cost of fully de-concentrating
All three plans sell to 0% (no hedge).Sensitivity. If your expected position return drops below 19.6%/yr, lump-sum (sell everything today) beats every spread plan above.
Have multiple RSU vest lots? The RSU Lot Order Calculator picks which lots to sell first, and on which dates, to divest at the lowest computed tax.
Build your own plan
Toggle below — chart updates live. Sell buttons show the slice.Tech / Software single names hit a 50%+ peak-to-trough drawdown in roughly 1 of every 5 rolling 3-year windows over 2014–2024. Even mega-caps aren’t exempt.
Tax brackets: 2026 · Estimates only — not financial advice.
Estate note. Heirs receive a stepped-up basis at death (§1014), eliminating built-in gain on inherited shares. Older holders who plan to bequeath rather than sell may rationally never de-concentrate.
You sized one position's risk. The beta integrates hedging, sell-down, and tax timing into one optimized plan.
Request beta access →Related calculators: Protect Your Stock Calculator · RSU Lot Order Calculator · Equity Funding Plan Calculator
About TransDigm
TransDigm (TDG) is a public Aerospace/Defense company, incorporated in Delaware and headquartered in Cleveland, OH.
Equity grants at TransDigm typically include restricted stock units (RSUs).
TransDigm Group Incorporated is an American publicly traded aerospace manufacturing company headquartered in Cleveland, Ohio. TransDigm develops and manufactures engineered aerospace components. It was founded in 1993, when four industrial aerospace companies were combined by a private equity firm in a leveraged buyout. TransDigm expanded the range of aerospace components it manufactures through acquisitions over the years. It filed an initial public offering on the New York Stock Exchange in 2006.
Source: Wikipedia (CC BY-SA 4.0)
The company buys makers of proprietary aircraft components, parts that are sole-sourced and certified into specific airframes, then prices them for the aftermarket where operators have no alternative supplier. That strategy has produced margins far above peers and repeated scrutiny from Defense Department inspectors general over spare parts pricing. Roughly three quarters of value comes from aftermarket sales rather than original equipment. The Cleveland company runs a decentralized structure with heavy debt by design, and its returns have tracked commercial air traffic recovery closely.
Sources: transdigm.com · en.wikipedia.org
Equity comp at TransDigm
- RSUs use single-trigger vesting: shares become yours as each portion vests on schedule, and the value is taxed as ordinary income at that point. No IPO or acquisition is required.
Researched 2026-08-17.
OptionsAhoy is an independent tool and is not affiliated with, endorsed by, or sponsored by TransDigm.
If a meaningful share of your net worth sits in TDG, concentration risk is the question. This calculator quantifies drawdown impact at 30 / 50 / 70%, and the trade-off between selling down (tax cost now) versus hedging (option premium drag), auto-filled with TDG's option-implied volatility.
All TransDigm tools → · Use the generic Stock Concentration Calculator for any company. Diversifying multiple RSU lots? See the lot-by-lot sell order →
TransDigm equity questions
- How much TDG stock is too much?
- There is no single threshold, but the larger the share of your net worth in one stock, the more a single bad year can set back your plans. The calculator above quantifies the drawdown impact at 30, 50, and 70 percent for your TDG position and weighs selling down (which triggers capital-gains tax now) against hedging (which costs option premium).
- Does TransDigm grant ISOs, NSOs, or RSUs?
- Equity compensation at TransDigm typically takes the form of restricted stock units (RSUs). Restricted stock units are taxed as ordinary income when they vest.
- Do TransDigm RSUs use double-trigger vesting?
- No. TransDigm restricted stock units (RSUs) use single-trigger vesting: each tranche becomes yours as it vests on schedule, taxed as ordinary income at that point, with no liquidity event required.
Find another companyAerospace/Defense peers
One piece of the puzzle.
OptionsAhoy plans your TransDigm equity alongside hedging, vesting, and de-concentration, across bullish, neutral, and bearish market scenarios. Free during beta.