Triumph Group Inc (TGI) Shares Up Big as New CEO is Announced


There is nothing that creates more stress and uncertainty for investors than wondering who the forthcoming CEO of a company is going to be. That uncertainty ended today, when Triumph Group Inc (NYSE:TGI) named former Lockheed Martin and Raytheon executive, Daniel J. Crowley as the new President, Board Member and CEO of the company. This has sent the stock soaring in early trading today.

Crowley will bring with him 32 years of experience in the aerospace and defense industries, replacing Richard C. III as CEO. It should be interesting to see how shares of Triumph Group Inc (NYSE:TGI) trade thoughout the day.

The stock is up 14.03% or $4.83 following the news, hitting $39.25 per share. About 612,466 shares traded hands. TGI has declined 49.08% since May 26, 2015 and is downtrending. It has underperformed the S&P500 by 46.81%.

From a total of 6 analysts covering Triumph Group (NYSE:TGI) stock, 4 rate it a “Buy”, 1 a “Sell”, and 1 a “Hold”. This means that 67% of the ratings are positive. The highest target price is $75 while the lowest target price is $40. The mean of all analyst targets is $53.44 which is 36.15% above today’s ($39.25) stock price. Triumph Group was the topic of 11 analyst reports since July 30, 2015 according to the firm StockzIntelligence Inc. RBC Capital Markets maintained shares on October 13 with a “Outperform” rating.

The institutional sentiment decreased to 0.95 in Q2 2015. It’s down 0.03, from 0.98 in 2015Q2. The ratio is negative, as 44 funds sold all their Triumph Group Inc shares they owned while 89 reduced their positions. 26 funds bought stakes while 100 increased their total positions. Institutions now own 44.16 million shares which is 3.93% less than the previous share count of 45.96 million in 2015Q2.

Snow Capital Management Lp holds 2.82% of its total portfolio in Triumph Group Inc, equating to 1.87 million shares. Lathrop Investment Management Corp owns 147,582 shares representing 2.13% of their total US portfolio. Moreover, Osterweis Capital Management Inc has 1.59% of their total portfolio invested in the company, equating to 835,145 shares. The Pennsylvania-based S&T Bank Pa has a total of 1.41% of their portfolio invested in the stock. Appaloosa Management Lp, a New Jersey-based fund reported 841,494 shares owned.

Triumph Group, Inc. designs, engineers, makes, repairs, overhauls and distributes a portfolio of aerostructures, aircraft components, accessories, subassemblies and systems. The company has a market cap of $1.79 billion. It serves the aviation industry, including original equipment manufacturers (OEMs), of commercial, regional, business and military aircraft and aircraft components, as well as commercial and regional airlines and air cargo carriers. It has 11.57 P/E ratio.