CAE INC (CAE.CA) Stock Fundamental Analysis

Canada • Toronto Stock Exchange • TSX:CAE • CA1247651088

41.5 CAD
-0.38 (-0.91%)
Last: Feb 5, 2026, 07:00 PM
Fundamental Rating

4

Overall CAE gets a fundamental rating of 4 out of 10. We evaluated CAE against 13 industry peers in the Aerospace & Defense industry. CAE has an average financial health and profitability rating. CAE is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year CAE was profitable.
  • CAE had a positive operating cash flow in the past year.
  • In multiple years CAE reported negative net income over the last 5 years.
  • In the past 5 years CAE always reported a positive cash flow from operatings.
CAE.CA Yearly Net Income VS EBIT VS OCF VS FCFCAE.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M 400M 600M 800M

1.2 Ratios

  • CAE has a Return On Assets of 3.87%. This is amongst the best in the industry. CAE outperforms 84.62% of its industry peers.
  • CAE's Return On Equity of 8.45% is amongst the best of the industry. CAE outperforms 84.62% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 5.96%, CAE is in line with its industry, outperforming 46.15% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for CAE is below the industry average of 8.16%.
  • The 3 year average ROIC (5.18%) for CAE is below the current ROIC(5.96%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 3.87%
ROE 8.45%
ROIC 5.96%
ROA(3y)0.89%
ROA(5y)0.72%
ROE(3y)2.01%
ROE(5y)1.61%
ROIC(3y)5.18%
ROIC(5y)4.62%
CAE.CA Yearly ROA, ROE, ROICCAE.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 -5 10 15

1.3 Margins

  • CAE has a Profit Margin of 8.88%. This is amongst the best in the industry. CAE outperforms 92.31% of its industry peers.
  • In the last couple of years the Profit Margin of CAE has remained more or less at the same level.
  • With an excellent Operating Margin value of 13.19%, CAE belongs to the best of the industry, outperforming 92.31% of the companies in the same industry.
  • In the last couple of years the Operating Margin of CAE has declined.
  • CAE has a Gross Margin of 28.22%. This is in the better half of the industry: CAE outperforms 76.92% of its industry peers.
  • In the last couple of years the Gross Margin of CAE has declined.
Industry RankSector Rank
OM 13.19%
PM (TTM) 8.88%
GM 28.22%
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%
CAE.CA Yearly Profit, Operating, Gross MarginsCAE.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20 30

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4

2. Health

2.1 Basic Checks

  • CAE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • CAE has more shares outstanding than it did 1 year ago.
  • The number of shares outstanding for CAE has been increased compared to 5 years ago.
  • CAE has a better debt/assets ratio than last year.
CAE.CA Yearly Shares OutstandingCAE.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
CAE.CA Yearly Total Debt VS Total AssetsCAE.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • CAE has an Altman-Z score of 2.20. This is not the best score and indicates that CAE is in the grey zone with still only limited risk for bankruptcy at the moment.
  • CAE has a better Altman-Z score (2.20) than 92.31% of its industry peers.
  • CAE has a debt to FCF ratio of 7.20. This is a slightly negative value and a sign of low solvency as CAE would need 7.20 years to pay back of all of its debts.
  • The Debt to FCF ratio of CAE (7.20) is better than 69.23% of its industry peers.
  • CAE has a Debt/Equity ratio of 0.61. This is a neutral value indicating CAE is somewhat dependend on debt financing.
  • CAE's Debt to Equity ratio of 0.61 is fine compared to the rest of the industry. CAE outperforms 61.54% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.61
Debt/FCF 7.2
Altman-Z 2.2
ROIC/WACC0.62
WACC9.58%
CAE.CA Yearly LT Debt VS Equity VS FCFCAE.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B 4B

2.3 Liquidity

  • CAE has a Current Ratio of 0.83. This is a bad value and indicates that CAE is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.83, CAE is doing worse than 76.92% of the companies in the same industry.
  • A Quick Ratio of 0.59 indicates that CAE may have some problems paying its short term obligations.
  • The Quick ratio of CAE (0.59) is better than 61.54% of its industry peers.
Industry RankSector Rank
Current Ratio 0.83
Quick Ratio 0.59
CAE.CA Yearly Current Assets VS Current LiabilitesCAE.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 13.21% over the past year.
  • The Earnings Per Share has been decreasing by -2.17% on average over the past years.
  • CAE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.12%.
  • CAE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.38% yearly.
EPS 1Y (TTM)13.21%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%-4.17%
Revenue 1Y (TTM)9.12%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%8.8%

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 15.25% on average per year.
  • Based on estimates for the next years, CAE will show a small growth in Revenue. The Revenue will grow by 5.95% on average per year.
EPS Next Y1.92%
EPS Next 2Y11.93%
EPS Next 3Y14.29%
EPS Next 5Y15.25%
Revenue Next Year4.9%
Revenue Next 2Y5.14%
Revenue Next 3Y5.58%
Revenue Next 5Y5.95%

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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
CAE.CA Yearly Revenue VS EstimatesCAE.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B
CAE.CA Yearly EPS VS EstimatesCAE.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.5 1 1.5 2

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Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 34.58 indicates a quite expensive valuation of CAE.
  • Based on the Price/Earnings ratio, CAE is valued a bit more expensive than 69.23% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.67, CAE is valued a bit more expensive.
  • Based on the Price/Forward Earnings ratio of 27.37, the valuation of CAE can be described as expensive.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of CAE indicates a slightly more expensive valuation: CAE is more expensive than 69.23% of the companies listed in the same industry.
  • When comparing the Price/Forward Earnings ratio of CAE to the average of the S&P500 Index (27.20), we can say CAE is valued inline with the index average.
Industry RankSector Rank
PE 34.58
Fwd PE 27.37
CAE.CA Price Earnings VS Forward Price EarningsCAE.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • CAE's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CAE is more expensive than 61.54% of the companies in the same industry.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as CAE.
Industry RankSector Rank
P/FCF 28.54
EV/EBITDA 15.27
CAE.CA Per share dataCAE.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • CAE has a very decent profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as CAE's earnings are expected to grow with 14.29% in the coming years.
PEG (NY)18.03
PEG (5Y)N/A
EPS Next 2Y11.93%
EPS Next 3Y14.29%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • CAE does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

CAE INC

TSX:CAE (2/5/2026, 7:00:00 PM)

41.5

-0.38 (-0.91%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)11-11
Earnings (Next)02-13
Inst Owners77.26%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap13.34B
Revenue(TTM)4.83B
Net Income(TTM)429.20M
Analysts75.29
Price Target46.58 (12.24%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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)6.31%
Min EPS beat(2)0.2%
Max EPS beat(2)12.42%
EPS beat(4)4
Avg EPS beat(4)3.37%
Min EPS beat(4)0.15%
Max EPS beat(4)12.42%
EPS beat(8)6
Avg EPS beat(8)2.45%
EPS beat(12)10
Avg EPS beat(12)6.79%
EPS beat(16)12
Avg EPS beat(16)2.45%
Revenue beat(2)1
Avg Revenue beat(2)1.52%
Min Revenue beat(2)-4.22%
Max Revenue beat(2)7.25%
Revenue beat(4)2
Avg Revenue beat(4)1.05%
Min Revenue beat(4)-4.22%
Max Revenue beat(4)7.25%
Revenue beat(8)4
Avg Revenue beat(8)-1.03%
Revenue beat(12)8
Avg Revenue beat(12)-0.03%
Revenue beat(16)9
Avg Revenue beat(16)-0.49%
PT rev (1m)1.29%
PT rev (3m)3.79%
EPS NQ rev (1m)-0.87%
EPS NQ rev (3m)-13.01%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.46%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.58%
Valuation
Industry RankSector Rank
PE 34.58
Fwd PE 27.37
P/S 2.76
P/FCF 28.54
P/OCF 14.11
P/B 2.63
P/tB 10.21
EV/EBITDA 15.27
EPS(TTM)1.2
EY2.89%
EPS(NY)1.52
Fwd EY3.65%
FCF(TTM)1.45
FCFY3.5%
OCF(TTM)2.94
OCFY7.09%
SpS15.03
BVpS15.79
TBVpS4.06
PEG (NY)18.03
PEG (5Y)N/A
Graham Number20.65
Profitability
Industry RankSector Rank
ROA 3.87%
ROE 8.45%
ROCE 7.38%
ROIC 5.96%
ROICexc 6.09%
ROICexgc 10.98%
OM 13.19%
PM (TTM) 8.88%
GM 28.22%
FCFM 9.67%
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-Score5
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 0.61
Debt/FCF 7.2
Debt/EBITDA 2.84
Cap/Depr 107.63%
Cap/Sales 9.9%
Interest Coverage 250
Cash Conversion 87.41%
Profit Quality 108.95%
Current Ratio 0.83
Quick Ratio 0.59
Altman-Z 2.2
F-Score5
WACC9.58%
ROIC/WACC0.62
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)13.21%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%-4.17%
EPS Next Y1.92%
EPS Next 2Y11.93%
EPS Next 3Y14.29%
EPS Next 5Y15.25%
Revenue 1Y (TTM)9.12%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%8.8%
Revenue Next Year4.9%
Revenue Next 2Y5.14%
Revenue Next 3Y5.58%
Revenue Next 5Y5.95%
EBIT growth 1Y39.93%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year65.22%
EBIT Next 3Y25.25%
EBIT Next 5Y18.45%
FCF growth 1Y301.03%
FCF growth 3Y101.37%
FCF growth 5Y22.94%
OCF growth 1Y67.76%
OCF growth 3Y28.94%
OCF growth 5Y10.46%

CAE INC / CAE.CA FAQ

What is the fundamental rating for CAE stock?

ChartMill assigns a fundamental rating of 4 / 10 to CAE.CA.


What is the valuation status for CAE stock?

ChartMill assigns a valuation rating of 2 / 10 to CAE INC (CAE.CA). This can be considered as Overvalued.


How profitable is CAE INC (CAE.CA) stock?

CAE INC (CAE.CA) has a profitability rating of 6 / 10.


What is the expected EPS growth for CAE INC (CAE.CA) stock?

The Earnings per Share (EPS) of CAE INC (CAE.CA) is expected to grow by 1.92% in the next year.


Is the dividend of CAE INC sustainable?

The dividend rating of CAE INC (CAE.CA) is 0 / 10 and the dividend payout ratio is 0%.