CAE INC (CAE) Fundamental Analysis & Valuation
NYSE:CAE • CA1247651088
Current stock price
25.96 USD
-0.62 (-2.33%)
At close:
25.96 USD
0 (0%)
After Hours:
This CAE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. CAE Profitability Analysis
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.
1.2 Ratios
- The Return On Assets of CAE (3.35%) is comparable to the rest of the industry.
- The Return On Equity of CAE (7.15%) is comparable to the rest of the industry.
- CAE has a Return On Invested Capital of 14.50%. This is amongst the best in the industry. CAE outperforms 92.31% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CAE is below the industry average of 9.30%.
- The last Return On Invested Capital (14.50%) 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 | 14.5% |
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 fine compared to the rest of the industry. CAE outperforms 70.51% of its industry peers.
- CAE's Profit Margin has been stable in the last couple of years.
- The Operating Margin of CAE (31.96%) is better than 98.72% of its industry peers.
- CAE's Operating Margin has declined in the last couple of years.
- CAE has a better Gross Margin (28.52%) than 64.10% of its industry peers.
- CAE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.96% | ||
| 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 Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CAE is creating some value.
- Compared to 1 year ago, CAE has more shares outstanding
- The number of shares outstanding for CAE has been increased compared to 5 years ago.
- Compared to 1 year ago, CAE has an improved debt to assets ratio.
2.2 Solvency
- CAE has an Altman-Z score of 2.39. 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 worse Altman-Z score (2.39) than 64.10% of its industry peers.
- CAE has a debt to FCF ratio of 6.46. This is a slightly negative value and a sign of low solvency as CAE would need 6.46 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 6.46, CAE is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
- A Debt/Equity ratio of 0.58 indicates that CAE is somewhat dependend on debt financing.
- The Debt to Equity ratio of CAE (0.58) is worse than 60.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 6.46 | ||
| Altman-Z | 2.39 |
ROIC/WACC1.6
WACC9.05%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that CAE may have some problems paying its short term obligations.
- With a Current ratio value of 0.91, CAE is not doing good in the industry: 89.74% of the companies in the same industry are doing better.
- CAE has a Quick 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 Quick ratio (0.69) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 |
3. CAE 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.
- The Earnings Per Share has been decreasing by -2.17% on average over the past years.
- Looking at the last year, CAE shows a small growth in Revenue. The Revenue has grown by 6.67% in the last year.
- 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
- CAE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.22% yearly.
- The Revenue is expected to grow by 5.06% on average over the next years.
EPS Next Y-0.21%
EPS Next 2Y3.79%
EPS Next 3Y10.04%
EPS Next 5Y14.22%
Revenue Next Year3.81%
Revenue Next 2Y1.65%
Revenue Next 3Y3.27%
Revenue Next 5Y5.06%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. CAE Valuation Analysis
4.1 Price/Earnings Ratio
- CAE is valuated quite expensively with a Price/Earnings ratio of 28.53.
- Based on the Price/Earnings ratio, CAE is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
- CAE's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.23.
- Based on the Price/Forward Earnings ratio of 27.34, the valuation of CAE can be described as expensive.
- 74.36% of the companies in the same industry are more expensive than CAE, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 23.28. CAE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.53 | ||
| Fwd PE | 27.34 |
4.2 Price Multiples
- CAE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CAE is cheaper than 96.15% of the companies in the same industry.
- CAE's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CAE is cheaper than 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.82 | ||
| EV/EBITDA | 7.23 |
4.3 Compensation for Growth
- CAE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.79%
EPS Next 3Y10.04%
5. CAE Dividend Analysis
5.1 Amount
- CAE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CAE Fundamentals: All Metrics, Ratios and Statistics
25.96
-0.62 (-2.33%)
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 Owners84.21%
Inst Owner Change8.84%
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap8.35B
Revenue(TTM)4.86B
Net Income(TTM)369.50M
Analysts72.94
Price Target35.32 (36.06%)
Short Float %0.95%
Short Ratio4.32
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)-1.85%
PT rev (3m)8.22%
EPS NQ rev (1m)-11.48%
EPS NQ rev (3m)-11.28%
EPS NY rev (1m)-2.09%
EPS NY rev (3m)-2.09%
Revenue NQ rev (1m)-4.16%
Revenue NQ rev (3m)-4.44%
Revenue NY rev (1m)-1.04%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.53 | ||
| Fwd PE | 27.34 | ||
| P/S | 2.36 | ||
| P/FCF | 22.82 | ||
| P/OCF | 12.33 | ||
| P/B | 2.22 | ||
| P/tB | 7.85 | ||
| EV/EBITDA | 7.23 |
EPS(TTM)0.91
EY3.51%
EPS(NY)0.95
Fwd EY3.66%
FCF(TTM)1.14
FCFY4.38%
OCF(TTM)2.1
OCFY8.11%
SpS11.02
BVpS11.71
TBVpS3.31
PEG (NY)N/A
PEG (5Y)N/A
Graham Number15.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.35% | ||
| ROE | 7.15% | ||
| ROCE | 17.94% | ||
| ROIC | 14.5% | ||
| ROICexc | 15.32% | ||
| ROICexgc | 27.96% | ||
| OM | 31.96% | ||
| 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 | 1.5 | ||
| Cap/Depr | 94.09% | ||
| Cap/Sales | 8.78% | ||
| Interest Coverage | 7.88 | ||
| Cash Conversion | 46.26% | ||
| Profit Quality | 135.89% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.39 |
F-Score8
WACC9.05%
ROIC/WACC1.6
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-0.21%
EPS Next 2Y3.79%
EPS Next 3Y10.04%
EPS Next 5Y14.22%
Revenue 1Y (TTM)6.67%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%2.35%
Revenue Next Year3.81%
Revenue Next 2Y1.65%
Revenue Next 3Y3.27%
Revenue Next 5Y5.06%
EBIT growth 1Y208.7%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year61.97%
EBIT Next 3Y21.33%
EBIT Next 5Y17.1%
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 Fundamental Analysis FAQ
What is the fundamental rating for CAE stock?
ChartMill assigns a fundamental rating of 4 / 10 to CAE.
What is the valuation status for CAE stock?
ChartMill assigns a valuation rating of 5 / 10 to CAE INC (CAE). This can be considered as Fairly Valued.
How profitable is CAE INC (CAE) stock?
CAE INC (CAE) has a profitability rating of 6 / 10.
What is the expected EPS growth for CAE INC (CAE) stock?
The Earnings per Share (EPS) of CAE INC (CAE) is expected to decline by -0.21% in the next year.
Is the dividend of CAE INC sustainable?
The dividend rating of CAE INC (CAE) is 0 / 10 and the dividend payout ratio is 0%.