Bullish case
$880 to $940
More likely if defense electronics, space infrared, unmanned systems, marine instrumentation, and digital imaging keep growing while acquisitions add earnings without balance-sheet strain.
Teledyne Technologies Incorporated research snapshot
TDY AI Stock Analysis
TDY AI stock analysis currently reads Teledyne Technologies as a high-quality industrial technology and defense electronics company with durable niches in digital imaging, infrared systems, marine instrumentation, aerospace electronics, and engineered systems. At the July 8, 2026 data cutoff, TDY traded near $641.70 with a verified market cap near $29.73 billion, a trailing PE near 32.51x, and free cash flow yield near 3.54%. The TDY AI stock forecast is positive on business quality but scenario-based on price because the stock already reflects strong defense, space, imaging, and acquisition execution.
Current price
$641.70
Market cap
$29.73 billion verified market cap
AI score
68 / 100
Rating
High-quality imaging, instrumentation, and defense electronics compounder with valuation discipline required
Trend status
Long-term uptrend intact, short-term range-bound below the March 2026 high
Data cutoff (updated weekly)
July 8, 2026
Informational use only. This page is not investment advice.
Research quality check
- information Richness
- A-level information richness. Teledyne has long public-company history, SEC filings, audited annual reports, company earnings releases, StockAnalysis market data, proxy materials, and broad institutional coverage.
- bias Check
- The main AI bias risk is over-weighting the attractive defense, space, infrared, and sensor narrative while under-weighting acquisition integration, government budget timing, commercial instrumentation cyclicality, and valuation multiple risk.
- ai Confidence
- High for FY2025 sales, Q1 2026 sales, EPS, free cash flow, share count, market cap math, and major valuation ratios. Medium for technical ranges and forward scenarios because price, order timing, defense funding, and acquisition execution can change quickly.
- investment Certainty
- Medium. Teledyne is a stronger business than the average cyclical industrial, but investment certainty is lower than data confidence because the current price requires continued earnings growth and disciplined capital allocation.
Quick verdict table
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Teledyne sells specialized sensors, imaging systems, instrumentation, aerospace and defense electronics, marine systems, and engineered products where reliability matters more than lowest price. | High |
| Moat | The moat comes from niche engineering depth, installed systems, customer qualification, defense and space program positions, switching costs, and a long acquisition integration record. | High |
| Management | George C. Bobb III became CEO in 2025 while Robert Mehrabian remains executive chairman, preserving operating continuity but leaving key-person and succession monitoring important. | Medium-high |
| Financial trend | FY2025 sales rose 7.9% to $6.1154 billion, FY2025 GAAP EPS was $18.88, and Q1 2026 sales rose 7.6% to a record $1.5601 billion. | High |
| Valuation | At $641.70, TDY screens at about 32.51x TTM EPS, 28.22x free cash flow per share, 2.78x book value, and 4.78x sales. | High |
| Technical trend | The stock trades above its 50-day and 200-day moving averages, but it remains below the March 2026 52-week high near $693.38. | Medium |
| Risk level | Risks include government budget delays, export restrictions, acquisition integration, tariff and supply-chain pressure, commercial instrumentation demand, and multiple compression. | Medium-high |
| AI confidence | Descriptive confidence is high because company filings and market data agree. Forecast confidence is lower because defense orders and valuation multiples are unstable. | High data confidence |
| Investment certainty | TDY is a quality compounder candidate, but the current price gives only moderate margin of safety unless earnings compound near management and market expectations. | Medium |
TDY AI stock forecast
TDY AI Stock Forecast Scenarios
The TDY AI stock forecast uses the $641.70 price reference, TTM EPS near $19.74, and a three-year scenario model. The audited model produced a bearish area near $461, a base area near $696, and a bullish area near $915 before any future capital returns. The range is wide because Teledyne combines high business quality with a valuation that already assumes durable growth.
Base case
$670 to $720
More likely if EPS compounds in the high-single-digit range and the market values TDY around a high-20s earnings multiple as Q1 2026 strength normalizes.
Bearish case
$440 to $485
More likely if government awards slow, commercial instrumentation weakens, acquisition synergies disappoint, tariffs or supply issues pressure margins, or the market re-rates TDY toward a low-20s multiple.
TDY AI technical analysis
TDY AI Technical Analysis
TDY AI technical analysis is constructive but not risk-free as of the July 8, 2026 cutoff. StockAnalysis showed a July 7, 2026 close of $641.70, a 50-day moving average near $627.98, a 200-day moving average near $593.02, RSI near 53.89, and 20-day average volume near 338,188 shares. MarketWatch reported the stock was 7.45% below its $693.38 52-week high after the July 7 close.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $641.70 | Market-data reference used for valuation and market-cap checks at the July 8, 2026 data cutoff. |
| Immediate support | $625 to $630 | This zone brackets the 50-day moving average reference near $627.98 and recent range support. |
| Deeper support | $590 to $600 | This area overlaps the 200-day moving average reference near $593.02 and would test the larger trend. |
| Near resistance | $670 to $695 | A reclaim of the upper range would bring the March 2026 high near $693.38 back into focus. |
| Moving averages | 50-day near $627.98, 200-day near $593.02 | Price remains above both references, which supports the trend but leaves the setup sensitive to failed breakouts. |
| Momentum | RSI near 53.89 | Momentum is positive but not extreme, so the next directional signal depends on whether price holds above the 50-day area. |
| Volume | 20-day average near 338,188 shares | TDY is less liquid than mega-cap industrial peers, so volume confirmation matters around earnings and order announcements. |
| Volatility | Watch Q2 earnings, defense order language, and acquisition updates | The next earnings update can reset revenue guidance, margin expectations, and investor appetite for the valuation multiple. |
| Invalidation | Close below $625, then below $590 | A close below the 50-day area weakens the short-term setup. A break below the 200-day area would challenge the broader trend framework. |
TDY AI trading strategy
TDY AI Trading Strategy Framework
The TDY AI trading strategy below is a rules-based research framework, not personalized advice. It connects price behavior with defense electronics demand, digital imaging recovery, marine instrumentation, acquisition execution, free cash flow, and valuation discipline.
Trend-following setup
Watch for TDY to hold above the $625 to $630 support area and then reclaim the $670 to $695 resistance band while Q2 results confirm order quality, margin stability, and guidance strength.
A failed reclaim followed by a close below $625 should reduce trend confidence, especially if management commentary points to weaker defense awards, commercial demand, or acquisition integration issues.
Mean-reversion setup
If TDY pulls back toward the $590 to $600 zone without damage to free cash flow, backlog, or program demand, compare the lower price with the company quality and base-case valuation range.
Do not treat a lower price as automatically attractive if earnings revisions fall, debt reduction stalls, or the market stops rewarding acquisition-led growth.
Fundamental monitor
Track Digital Imaging growth, Aerospace and Defense Electronics orders, Instrumentation demand, free cash flow conversion, debt reduction, acquisition returns, export controls, and 2026 EPS guidance.
Position sizing should reflect that TDY is a specialized industrial technology company with defense exposure, not a guaranteed AI or defense growth trade.
Investment research summary
Four-master Research Compression
Business essence
Customers pay Teledyne because defense, space, marine, industrial, environmental, and scientific systems need accurate sensing, imaging, measurement, and electronics that work in demanding conditions.
Moat
The moat is strongest in specialized engineering, customer qualification, product reliability, embedded program positions, installed equipment, software and data workflows, and Teledyne FLIR brand assets. It is weaker where products face shorter-cycle industrial demand.
Munger risk inversion
The thesis fails if defense and space orders slow, acquisition integration reduces returns, export controls limit addressable markets, commercial instrumentation remains soft, or investors stop paying a premium multiple for steady niche growth.
Management
The transition to George C. Bobb III as CEO keeps Teledyne inside an experienced executive bench, while Robert Mehrabian remains executive chairman. The key test is whether management keeps acquisition discipline and converts high-margin niches into cash.
Industry trend
Teledyne benefits from defense modernization, infrared sensing, space-based detection, unmanned systems, ocean and environmental monitoring, and industrial automation. The offset is exposure to government timing, commercial capex, and regulated export markets.
Valuation and margin of safety
At $641.70, the market is paying for quality, steady compounding, and continued order momentum. Margin of safety improves if the stock resets toward the base-case range or if EPS growth proves strong enough to justify a low-30s PE.
Source-backed data
TDY Data Table
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| TDY quote reference | $641.70 close on July 7, 2026 | StockAnalysis TDY market cap page | July 8, 2026 |
| Market capitalization verification | $29.73 billion reported and $29.73 billion calculated from $641.70 x 46.33 million shares | Pineify financial_rigor.py and StockAnalysis TDY statistics | July 8, 2026 |
| Shares outstanding | 46.33 million shares outstanding | StockAnalysis TDY statistics | July 8, 2026 |
| FY2025 sales and net income | $6.1154 billion net sales, $894.8 million net income, and $18.88 diluted EPS | Teledyne FY2025 Q4 earnings release | July 8, 2026 |
| Q1 2026 sales and earnings | $1.5601 billion net sales, $226.8 million net income, $4.85 GAAP EPS, and $5.80 non-GAAP EPS | Teledyne Q1 2026 earnings release | July 8, 2026 |
| TTM revenue, net income, and EPS | $6.23 billion revenue, $933.0 million net income, and $19.74 EPS | StockAnalysis TDY statistics | July 8, 2026 |
| Free cash flow | $1.0740 billion FY2025 free cash flow and $1.05 billion TTM free cash flow cross-check | Teledyne FY2025 Q4 earnings release and StockAnalysis TDY statistics | July 8, 2026 |
| Cash, debt, and net debt | $352.4 million cash, $2.4754 billion total debt, and $2.1230 billion net debt as of Dec. 28, 2025 | Teledyne FY2025 Q4 earnings release | July 8, 2026 |
| Valuation ratios | 32.51x PE, 31.15x forward PE, 4.78x sales, 2.78x book, and 28.21x free cash flow | StockAnalysis TDY statistics | July 8, 2026 |
| Technical indicators | 50-day moving average $627.98, 200-day moving average $593.02, RSI 53.89, and 20-day average volume 338,188 shares | StockAnalysis TDY statistics | July 8, 2026 |
| Management and incentives | 2026 proxy identifies George C. Bobb III as CEO and shows CEO target annual incentive at 120% of salary with long-term equity components | Teledyne 2026 proxy statement | July 8, 2026 |
Frequently Asked Questions
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This TDY AI stock analysis is an informational research tool only and is not investment advice, financial advice, or a recommendation to buy or sell Teledyne Technologies securities. Forecast scenarios are based on available public data as of July 8, 2026 and can be wrong if fundamentals, valuation, technical conditions, or market liquidity change.