CAE INC (CAE.CA) Stock Fundamental Analysis

Canada • Toronto Stock Exchange • TSX:CAE • CA1247651088

42.66 CAD
+1.16 (+2.8%)
Last: Feb 6, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

CAE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 13 industry peers in the Aerospace & Defense industry. CAE has only an average score on both its financial health and profitability. 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

  • CAE had positive earnings in the past year.
  • CAE had a positive operating cash flow in the past year.
  • In multiple years CAE reported negative net income over the last 5 years.
  • Each year in the past 5 years CAE had a positive operating cash flow.
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's Return On Assets of 3.87% is amongst the best of the industry. CAE outperforms 84.62% of its industry peers.
  • Looking at the Return On Equity, with a value of 8.45%, CAE belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
  • The Return On Invested Capital of CAE (5.96%) is comparable to the rest of the 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

  • The Profit Margin of CAE (8.88%) is better than 92.31% of its industry peers.
  • CAE's Profit Margin has been stable in the last couple of years.
  • CAE has a better Operating Margin (13.19%) than 92.31% of its industry peers.
  • In the last couple of years the Operating Margin of CAE has declined.
  • The Gross Margin of CAE (28.22%) is better than 76.92% of its industry peers.
  • CAE's Gross Margin has declined in the last couple of years.
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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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CAE is destroying value.
  • CAE has more shares outstanding than it did 1 year ago.
  • CAE has more shares outstanding than it did 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

  • An Altman-Z score of 2.24 indicates that CAE is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • The Altman-Z score of CAE (2.24) is better than 92.31% of its industry peers.
  • The Debt to FCF ratio of CAE is 7.20, which is on the high side as it means it would take CAE, 7.20 years of fcf income to pay off all of its debts.
  • CAE has a Debt to FCF ratio of 7.20. This is in the better half of the industry: CAE outperforms 69.23% of its industry peers.
  • A Debt/Equity ratio of 0.61 indicates that CAE is somewhat dependend on debt financing.
  • With a decent Debt to Equity ratio value of 0.61, CAE is doing good in the industry, outperforming 61.54% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.61
Debt/FCF 7.2
Altman-Z 2.24
ROIC/WACC0.65
WACC9.17%
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

  • A Current Ratio of 0.83 indicates that CAE may have some problems paying its short term obligations.
  • CAE has a worse Current ratio (0.83) than 76.92% of its industry peers.
  • CAE has a Quick 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 Quick ratio, with a value of 0.59, CAE is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
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.
  • CAE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.17% yearly.
  • Looking at the last year, CAE shows a quite strong growth in Revenue. The Revenue has grown by 9.12% in the last year.
  • 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.
  • The Revenue is expected to grow by 5.95% on average over the next years.
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

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • 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

  • CAE is valuated quite expensively with a Price/Earnings ratio of 35.55.
  • Based on the Price/Earnings ratio, CAE is valued a bit more expensive than 69.23% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of CAE to the average of the S&P500 Index (27.93), we can say CAE is valued slightly more expensively.
  • The Price/Forward Earnings ratio is 28.14, which means the current valuation is very expensive for CAE.
  • 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 (27.77), we can say CAE is valued inline with the index average.
Industry RankSector Rank
PE 35.55
Fwd PE 28.14
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

  • 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.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as CAE.
Industry RankSector Rank
P/FCF 29.34
EV/EBITDA 15.62
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)18.53
PEG (5Y)N/A
EPS Next 2Y11.93%
EPS Next 3Y14.29%

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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%

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Find the best dividend stocksShow peers with best dividend

CAE INC

TSX:CAE (2/6/2026, 7:00:00 PM)

42.66

+1.16 (+2.8%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)11-11
Earnings (Next)02-12
Inst Owners77.26%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap13.72B
Revenue(TTM)4.83B
Net Income(TTM)429.20M
Analysts75.29
Price Target49.22 (15.38%)
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)7.02%
PT rev (3m)9.66%
EPS NQ rev (1m)-2.17%
EPS NQ rev (3m)-14.15%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.78%
Revenue NQ rev (1m)-0.47%
Revenue NQ rev (3m)-0.86%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.68%
Valuation
Industry RankSector Rank
PE 35.55
Fwd PE 28.14
P/S 2.84
P/FCF 29.34
P/OCF 14.5
P/B 2.7
P/tB 10.5
EV/EBITDA 15.62
EPS(TTM)1.2
EY2.81%
EPS(NY)1.52
Fwd EY3.55%
FCF(TTM)1.45
FCFY3.41%
OCF(TTM)2.94
OCFY6.9%
SpS15.03
BVpS15.79
TBVpS4.06
PEG (NY)18.53
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 2.24
F-Score5
WACC9.17%
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)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%.