CAE INC (CAE.CA) Fundamental Analysis & Valuation
TSX:CAE • CA1247651088
Current stock price
34.94 CAD
+0.36 (+1.04%)
Last:
This CAE.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. CAE.CA Profitability Analysis
1.1 Basic Checks
- In the past year CAE was profitable.
- In the past year CAE had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: CAE reported negative net income in multiple years.
- In the past 5 years CAE always reported a positive cash flow from operatings.
1.2 Ratios
- CAE has a Return On Assets of 3.35%. This is in the lower half of the industry: CAE underperforms 61.54% of its industry peers.
- CAE's Return On Equity of 7.15% is fine compared to the rest of the industry. CAE outperforms 76.92% of its industry peers.
- CAE has a Return On Invested Capital of 5.94%. This is comparable to the rest of the industry: CAE outperforms 46.15% of its industry peers.
- CAE had an Average Return On Invested Capital over the past 3 years of 5.18%. This is below the industry average of 8.83%.
- The last Return On Invested Capital (5.94%) for CAE is above the 3 year average (5.18%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.35% | ||
| ROE | 7.15% | ||
| ROIC | 5.94% |
ROA(3y)0.89%
ROA(5y)0.72%
ROE(3y)2.01%
ROE(5y)1.61%
ROIC(3y)5.18%
ROIC(5y)4.62%
1.3 Margins
- CAE's Profit Margin of 7.60% is in line compared to the rest of the industry. CAE outperforms 46.15% of its industry peers.
- CAE's Profit Margin has been stable in the last couple of years.
- Looking at the Operating Margin, with a value of 13.10%, CAE belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
- CAE's Operating Margin has declined in the last couple of years.
- CAE has a Gross Margin of 28.52%. This is in the better half of the industry: CAE outperforms 69.23% of its industry peers.
- In the last couple of years the Gross Margin of CAE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.1% | ||
| PM (TTM) | 7.6% | ||
| GM | 28.52% |
OM growth 3Y4.74%
OM growth 5Y-1.9%
PM growth 3Y27%
PM growth 5Y0.03%
GM growth 3Y-0.86%
GM growth 5Y-1.58%
2. CAE.CA Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CAE is destroying value.
- Compared to 1 year ago, CAE has more shares outstanding
- CAE has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, CAE has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.06 indicates that CAE is not a great score, but indicates only limited risk for bankruptcy at the moment.
- CAE has a better Altman-Z score (2.06) than 76.92% of its industry peers.
- The Debt to FCF ratio of CAE is 6.46, which is on the high side as it means it would take CAE, 6.46 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 6.46, CAE is doing worse than 69.23% of the companies in the same industry.
- CAE has a Debt/Equity ratio of 0.58. This is a neutral value indicating CAE is somewhat dependend on debt financing.
- CAE has a Debt to Equity ratio (0.58) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 6.46 | ||
| Altman-Z | 2.06 |
ROIC/WACC0.65
WACC9.12%
2.3 Liquidity
- CAE has a Current Ratio of 0.91. This is a bad value and indicates that CAE is not financially healthy enough and could expect problems in meeting its short term obligations.
- CAE has a worse Current ratio (0.91) than 84.62% of its industry peers.
- A Quick Ratio of 0.69 indicates that CAE may have some problems paying its short term obligations.
- With a Quick ratio value of 0.69, CAE perfoms like the industry average, outperforming 53.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 |
3. CAE.CA Growth Analysis
3.1 Past
- CAE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.61%, which is quite good.
- Measured over the past years, CAE shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.17% on average per year.
- CAE shows a small growth in Revenue. In the last year, the Revenue has grown by 6.67%.
- The Revenue has been growing slightly by 5.38% on average over the past years.
EPS 1Y (TTM)12.61%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%17.24%
Revenue 1Y (TTM)6.67%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%2.35%
3.2 Future
- Based on estimates for the next years, CAE will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.00% on average per year.
- Based on estimates for the next years, CAE will show a small growth in Revenue. The Revenue will grow by 4.04% on average per year.
EPS Next Y-0.38%
EPS Next 2Y3.29%
EPS Next 3Y9.18%
EPS Next 5Y12%
Revenue Next Year3.5%
Revenue Next 2Y1.7%
Revenue Next 3Y3.07%
Revenue Next 5Y4.04%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. CAE.CA Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 27.95 indicates a quite expensive valuation of CAE.
- Compared to the rest of the industry, the Price/Earnings ratio of CAE is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 26.89, CAE is valued at the same level.
- CAE is valuated quite expensively with a Price/Forward Earnings ratio of 27.07.
- 61.54% of the companies in the same industry are cheaper than CAE, based on the Price/Forward Earnings ratio.
- CAE is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.97, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.95 | ||
| Fwd PE | 27.07 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CAE indicates a slightly more expensive valuation: CAE is more expensive than 61.54% of the companies listed in the same industry.
- CAE's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.38 | ||
| EV/EBITDA | 12.85 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.29%
EPS Next 3Y9.18%
5. CAE.CA Dividend Analysis
5.1 Amount
- CAE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CAE.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:CAE (4/27/2026, 7:00:00 PM)
34.94
+0.36 (+1.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)02-12 2026-02-12/amc
Earnings (Next)05-11 2026-05-11/amc
Inst Owners84.06%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap11.23B
Revenue(TTM)4.86B
Net Income(TTM)369.50M
Analysts74.44
Price Target49.59 (41.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.32%
Min EPS beat(2)12.21%
Max EPS beat(2)12.42%
EPS beat(4)4
Avg EPS beat(4)6.39%
Min EPS beat(4)0.2%
Max EPS beat(4)12.42%
EPS beat(8)7
Avg EPS beat(8)4.83%
EPS beat(12)10
Avg EPS beat(12)6.68%
EPS beat(16)13
Avg EPS beat(16)3.27%
Revenue beat(2)1
Avg Revenue beat(2)3.04%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)7.25%
Revenue beat(4)1
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.22%
Max Revenue beat(4)7.25%
Revenue beat(8)4
Avg Revenue beat(8)-0.92%
Revenue beat(12)7
Avg Revenue beat(12)-0.15%
Revenue beat(16)9
Avg Revenue beat(16)-0.03%
PT rev (1m)2.53%
PT rev (3m)6.46%
EPS NQ rev (1m)-1.82%
EPS NQ rev (3m)-13.1%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-2.26%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)-4.46%
Revenue NY rev (1m)-0.3%
Revenue NY rev (3m)-1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.95 | ||
| Fwd PE | 27.07 | ||
| P/S | 2.31 | ||
| P/FCF | 22.38 | ||
| P/OCF | 12.09 | ||
| P/B | 2.17 | ||
| P/tB | 7.69 | ||
| EV/EBITDA | 12.85 |
EPS(TTM)1.25
EY3.58%
EPS(NY)1.29
Fwd EY3.69%
FCF(TTM)1.56
FCFY4.47%
OCF(TTM)2.89
OCFY8.27%
SpS15.12
BVpS16.07
TBVpS4.54
PEG (NY)N/A
PEG (5Y)N/A
Graham Number21.2604 (-39.15%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.35% | ||
| ROE | 7.15% | ||
| ROCE | 7.35% | ||
| ROIC | 5.94% | ||
| ROICexc | 6.28% | ||
| ROICexgc | 11.46% | ||
| OM | 13.1% | ||
| PM (TTM) | 7.6% | ||
| GM | 28.52% | ||
| FCFM | 10.33% |
ROA(3y)0.89%
ROA(5y)0.72%
ROE(3y)2.01%
ROE(5y)1.61%
ROIC(3y)5.18%
ROIC(5y)4.62%
ROICexc(3y)5.32%
ROICexc(5y)4.87%
ROICexgc(3y)10.15%
ROICexgc(5y)9.27%
ROCE(3y)6.41%
ROCE(5y)5.72%
ROICexgc growth 3Y7.17%
ROICexgc growth 5Y-1.54%
ROICexc growth 3Y11.66%
ROICexc growth 5Y-4.72%
OM growth 3Y4.74%
OM growth 5Y-1.9%
PM growth 3Y27%
PM growth 5Y0.03%
GM growth 3Y-0.86%
GM growth 5Y-1.58%
F-Score8
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 6.46 | ||
| Debt/EBITDA | 2.75 | ||
| Cap/Depr | 94.09% | ||
| Cap/Sales | 8.78% | ||
| Interest Coverage | 3.23 | ||
| Cash Conversion | 85.17% | ||
| Profit Quality | 135.89% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.06 |
F-Score8
WACC9.12%
ROIC/WACC0.65
Cap/Depr(3y)119.61%
Cap/Depr(5y)105.55%
Cap/Sales(3y)10.24%
Cap/Sales(5y)9.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.61%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%17.24%
EPS Next Y-0.38%
EPS Next 2Y3.29%
EPS Next 3Y9.18%
EPS Next 5Y12%
Revenue 1Y (TTM)6.67%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%2.35%
Revenue Next Year3.5%
Revenue Next 2Y1.7%
Revenue Next 3Y3.07%
Revenue Next 5Y4.04%
EBIT growth 1Y26.51%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year61.7%
EBIT Next 3Y21.3%
EBIT Next 5Y16.15%
FCF growth 1Y464.16%
FCF growth 3Y101.37%
FCF growth 5Y22.94%
OCF growth 1Y74.53%
OCF growth 3Y28.94%
OCF growth 5Y10.46%
CAE INC / CAE.CA Fundamental Analysis FAQ
What is the fundamental rating for CAE stock?
ChartMill assigns a fundamental rating of 3 / 10 to CAE.CA.
What is the valuation status for CAE stock?
ChartMill assigns a valuation rating of 1 / 10 to CAE INC (CAE.CA). This can be considered as Overvalued.
Can you provide the profitability details for CAE INC?
CAE INC (CAE.CA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of CAE INC (CAE.CA) stock?
The Price/Earnings (PE) ratio for CAE INC (CAE.CA) is 27.95 and the Price/Book (PB) ratio is 2.17.
How financially healthy is CAE INC?
The financial health rating of CAE INC (CAE.CA) is 2 / 10.