Teledyne Technologies Incorporated research snapshot
TDY AI stock analysis 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 August 2, 2026 data cutoff, TDY traded near $655.57 with a verified market cap near $30.39 billion, a trailing PE near 31.72x, and free cash flow yield near 3.76%. The TDY AI stock forecast is positive on business quality after a record second quarter and a raised 2026 outlook, but scenario-based on price because the stock trades well above its historical valuation range.
Current price
$655.57
Market cap
$30.39 billion verified market cap
AI score
71 / 100
Rating
High-quality imaging, instrumentation, and defense electronics compounder with record second-quarter momentum and valuation discipline required after the rally
Trend status
Uptrend re-energized after record Q2 results, trading above the 50-day and 200-day moving averages near the 52-week high
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| 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 is CEO while Robert Mehrabian remains executive chairman. Raising 2026 guidance after a record quarter supports confidence in execution and capital allocation. | Medium-high |
| Financial trend | Q2 2026 net sales rose 9.8% to a record $1.6625 billion, GAAP EPS was $5.37, non-GAAP EPS was $6.28, and full year 2026 non-GAAP EPS guidance was raised to $24.45 to $24.65. | High |
| Valuation | At $655.57, TDY screens at about 31.72x TTM EPS, 26.61x free cash flow per share, 2.78x book value, and 4.77x sales, above its historical valuation range. | High |
| Technical trend | The stock trades above its 50-day moving average near $630.05 and 200-day moving average near $598.76, about 5.5% below the $693.38 52-week high. | Medium |
| Risk level | Risks include government budget timing, export restrictions, acquisition integration, tariff and supply-chain pressure, commercial instrumentation demand, and multiple compression after the rally. | 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 with record momentum, but the current price leaves only moderate margin of safety unless earnings keep compounding near the raised outlook. | Medium |
TDY AI stock forecast
The TDY AI stock forecast uses the $655.57 price reference, TTM EPS near $20.67, and a three-year scenario model. The audited model produced a bearish area near $452, a base area near $677, and a bullish area near $871 before any future capital returns. The range is wide because Teledyne pairs high business quality with a valuation that already assumes durable growth and a forward PE near 30x.
$860 to $920
More likely if defense electronics, space infrared, unmanned systems, marine instrumentation, and digital imaging keep growing while acquisitions add earnings without balance-sheet strain and management confirms guidance strength in Q3.
$660 to $710
More likely if EPS compounds in the high-single-digit to low-double-digit range and the market holds TDY near a high-20s earnings multiple as the Q2 strength normalizes.
$440 to $480
More likely if government awards slow, commercial instrumentation weakens, acquisition synergies disappoint, tariffs or export rules pressure margins, or the market re-rates TDY toward a low-20s multiple after the rally.
TDY AI technical analysis
TDY AI technical analysis is constructive as of the August 2, 2026 cutoff. StockAnalysis showed a July 31, 2026 close of $655.57, a 50-day moving average near $630.05, a 200-day moving average near $598.76, RSI near 57.58, and 20-day average volume near 425,162 shares. The stock sits about 5.5% below its $693.38 52-week high after a strong post-earnings move.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $655.57 | Market-data reference used for valuation and market-cap checks at the August 2, 2026 data cutoff. |
| Immediate support | $625 to $635 | This zone brackets the 50-day moving average reference near $630.05 and the late-July pullback lows. |
| Deeper support | $598 to $610 | This area overlaps the 200-day moving average reference near $598.76 and the early-June lows near $600. |
| Near resistance | $670 to $695 | July peaks near $672 to $674 come first, then the 52-week high near $693.38 would be the next test. |
| Moving averages | 50-day near $630.05, 200-day near $598.76 | Price remains above both references, which supports the trend but leaves the setup sensitive to failed breakouts. |
| Momentum | RSI near 57.58 | 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 425,162 shares | Volume jumped to about 1.13 million shares on the July 22 earnings day, confirming institutional participation in the move. |
| Volatility | Watch Q3 earnings, defense order language, and acquisition updates | The next earnings update can reset revenue expectations, margin guidance, and investor appetite for the premium multiple. |
| Invalidation | Close below $625, then below $598 | 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
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 after the record second quarter.
Watch for TDY to hold above the $625 to $635 support area and then reclaim the $670 to $695 resistance band while Q3 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.
If TDY pulls back toward the $598 to $610 zone without damage to free cash flow, funded 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 the premium multiple.
Track Digital Imaging growth, Aerospace and Defense Electronics orders, Instrumentation demand, funded backlog, free cash flow conversion, debt reduction, acquisition returns, export controls, and 2026 EPS guidance delivery.
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
Customers pay Teledyne because defense, space, marine, industrial, environmental, and scientific systems need accurate sensing, imaging, measurement, and electronics that work in demanding conditions.
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.
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 after the recent rally.
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, converts high-margin niches into cash, and delivers the raised 2026 outlook.
Teledyne benefits from defense modernization, counter-unmanned systems, 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.
At $655.57, the market is paying for quality, record momentum, and continued order strength. Margin of safety is thinner after the rally and improves if the stock resets toward the base-case range or if EPS growth proves strong enough to justify the premium multiple.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| TDY quote reference | $655.57 close on July 31, 2026 | StockAnalysis TDY overview page | August 2, 2026 |
| Market capitalization verification | $30.39 billion reported and $30.39 billion calculated from $655.57 x 46.36 million shares | Pineify financial_rigor.py and StockAnalysis TDY statistics | August 2, 2026 |
| Shares outstanding | 46.36 million shares outstanding | StockAnalysis TDY statistics | August 2, 2026 |
| Q2 2026 sales and earnings | $1,662.5 million net sales, $251.7 million net income, $5.37 GAAP EPS, and $6.28 non-GAAP EPS | Teledyne Q2 2026 earnings release | August 2, 2026 |
| H1 2026 sales and earnings | $3,222.6 million net sales, $478.5 million net income, $10.20 GAAP EPS, and $12.06 non-GAAP EPS | Teledyne Q2 2026 earnings release | August 2, 2026 |
| FY2026 guidance | GAAP diluted EPS of $20.73 to $20.99 and non-GAAP diluted EPS of $24.45 to $24.65, both raised | Teledyne Q2 2026 earnings release | August 2, 2026 |
| TTM revenue, net income, and EPS | $6.37 billion revenue, $974.8 million net income, and $20.67 EPS | StockAnalysis TDY statistics | August 2, 2026 |
| Free cash flow | $1.14 billion TTM free cash flow, $24.64 FCF per share, and Q2 2026 free cash flow of $284.7 million | StockAnalysis TDY statistics and Teledyne Q2 2026 earnings release | August 2, 2026 |
| Cash, debt, and net debt | $340.1 million cash, $2.027 billion total debt, and $1.687 billion net debt as of June 28, 2026 | Teledyne Q2 2026 earnings release and Q2 2026 10-Q | August 2, 2026 |
| Funded backlog | Approximately $5.0 billion funded backlog at quarter end | Teledyne Q2 2026 earnings release | August 2, 2026 |
| Valuation ratios | 31.72x PE, 30.36x forward PE, 4.77x sales, 2.78x book, and 26.61x free cash flow | StockAnalysis TDY statistics and Pineify financial_rigor.py verification | August 2, 2026 |
| Technical indicators | 50-day moving average $630.05, 200-day moving average $598.76, RSI 57.58, and 20-day average volume 425,162 shares | StockAnalysis TDY statistics | August 2, 2026 |
| Analyst forecast | 12 analysts, consensus Buy, average target $753.50, and target range $640 to $877 | StockAnalysis TDY forecast page | August 2, 2026 |
| Management and leadership | George C. Bobb III is President, CEO and Director, while Dr. Robert Mehrabian is Executive Chairman | StockAnalysis TDY company profile | August 2, 2026 |
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 August 2, 2026 and can be wrong if fundamentals, valuation, technical conditions, or market liquidity change.
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