Teledyne Technologies Inc.

TDY
Financial Analysis · Updated May 13, 2026 · Coverage 2026-Q2
TTM ROIC
7.4%
FY2025 · NOPAT / Invested Capital (NOPAT = Operating Income × (1 − effective tax rate); Invested Capital = Total Debt + Equity − Cash) · WACC ~10% · Moat spread +-2.6pp

Financial Snapshot


ticker: TDY step: 04 generated: 2026-05-13 source: quick-research

Teledyne Technologies Incorporated (TDY) — Financial Snapshot

Income Statement Summary

Metric FY2022 FY2023 FY2024 YoY
Revenue $5.46B $5.64B $5.67B +0.6%
Gross Margin ~28% ~29% ~28%
Operating Margin ~17% ~18% ~17%
Net Income $789M $886M $819M -7.5%
EPS (diluted) $16.53 $18.49 $17.21 -6.9%

FY2024 revenue was essentially flat (+0.6%) as short-cycle commercial and industrial headwinds offset defense strength. Net income declined as integration costs from the FLIR acquisition and higher interest expense weighed. FY2025 revenue accelerated to $6.12B (+7.9% YoY) with record quarterly sales and improving EPS — organic growth in all four segments, Excelitas acquisition contribution (closed Feb 2025), and defense end-market tailwinds.

Cash Flow & Balance Sheet (FY2024)

Metric Value
Operating Cash Flow ~$900M
Free Cash Flow ~$800M
Capital Expenditures ~$100M
Cash & Equivalents ~$300M
Total Debt ~$3.8B

Debt elevated from the 2021 FLIR acquisition ($8B+ deal, partially financed with debt). Consistent FCF generation supports debt paydown and ongoing bolt-on acquisitions. The $710M Excelitas acquisition (Feb 2025) was funded from cash and revolver.

Key Ratios (approximate)

  • P/E: ~25–29x (adjusted) | EV/EBITDA: ~18x | FCF Yield: ~4%
  • Revenue Growth (FY2024): +0.6% | FY2025: +7.9%
  • FY2025 Adjusted EPS guidance: ~$21.45–$21.60 (full year)
  • R&D spend: ~$300M+/year (~5% of revenue); technology investment is core to the model

Growth Profile

Teledyne is a serial acquirer in specialized defense and industrial technology — compounding per-share value through disciplined M&A + margin improvement. FY2024 was a digestion year (FLIR integration, commercial instrument softness), but FY2025 showed re-acceleration with seven consecutive quarters of orders exceeding sales, growing backlog, and record quarterly performance. The Excelitas acquisition adds photonic components exposure. Defense tailwinds (NATO rearming, European defense spending surge, U.S. DoD electronics content growth) support the long-cycle portion of the business.

Forward Estimates

  • FY2025 Revenue target: $6.3B (guided); actual $6.12B achieved
  • FY2025 Adjusted EPS: ~$21.45–$21.60
  • FY2026: Analysts expect mid-to-high single-digit organic growth + Excelitas full-year contribution
  • Backlog: Growing for 7 consecutive quarters as of Q3 2025 — provides near-term revenue visibility
  • M&A optionality: Balance sheet deleveraging creates capacity for next acquisition cycle ($1–2B range)

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $TDY.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
GET /api/v1/research/TDY/fundamental$1.00 · Bearer token required
Markdown: /stocks/tdy/financials/md · → thesis · → memo