CAE INC (CAE) Stock Fundamental Analysis
USA - NYSE:CAE - CA1247651088 - Common Stock
25.82 USD
+0.09 (+0.35%)
CAE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 71 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of CAE while its profitability can be described as average. CAE has a decent growth rate and is not valued too expensively.
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.
CAE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CAE (3.87%) is better than 61.97% of its industry peers.
Looking at the Return On Equity, with a value of 8.45%, CAE is in the better half of the industry, outperforming 63.38% of the companies in the same industry.
CAE's Return On Invested Capital of 5.96% is in line compared to the rest of the industry. CAE outperforms 53.52% 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 8.46%.
The 3 year average ROIC (5.18%) for CAE is below the current ROIC(5.96%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
The Profit Margin of CAE (8.88%) is better than 74.65% 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 13.19%, CAE is in the better half of the industry, outperforming 78.87% of the companies in the same industry.
In the last couple of years the Operating Margin of CAE has declined.
Looking at the Gross Margin, with a value of 28.22%, CAE is in the better half of the industry, outperforming 63.38% of the companies in the same industry.
CAE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CAE is destroying value.
The number of shares outstanding for CAE has been increased compared to 1 year ago.
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 2.03. 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 Altman-Z score of 2.03. This is in the lower half of the industry: CAE underperforms 69.01% 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.
CAE's Debt to FCF ratio of 7.20 is fine compared to the rest of the industry. CAE outperforms 61.97% of its industry peers.
A Debt/Equity ratio of 0.61 indicates that CAE is somewhat dependend on debt financing.
CAE has a worse Debt to Equity ratio (0.61) than 63.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 7.2 | ||
| Altman-Z | 2.03 |
ROIC/WACC0.66
WACC8.97%
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 88.73% 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.
With a Quick ratio value of 0.59, CAE is not doing good in the industry: 87.32% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.59 |
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.
CAE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.12%.
The Revenue has been growing slightly by 5.38% on average over the past years.
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 15.75% on average per year.
The Revenue is expected to grow by 5.98% on average over the next years.
EPS Next Y7.04%
EPS Next 2Y13.63%
EPS Next 3Y14.38%
EPS Next 5Y15.75%
Revenue Next Year3.16%
Revenue Next 2Y4.57%
Revenue Next 3Y5.1%
Revenue Next 5Y5.98%
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. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 30.02, CAE can be considered very expensive at the moment.
CAE's Price/Earnings ratio is a bit cheaper when compared to the industry. CAE is cheaper than 74.65% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.46. CAE is around the same levels.
CAE is valuated rather expensively with a Price/Forward Earnings ratio of 23.18.
Based on the Price/Forward Earnings ratio, CAE is valued a bit cheaper than the industry average as 76.06% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 35.39. CAE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.02 | ||
| Fwd PE | 23.18 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CAE indicates a rather cheap valuation: CAE is cheaper than 87.32% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CAE indicates a rather cheap valuation: CAE is cheaper than 87.32% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.84 | ||
| EV/EBITDA | 13.64 |
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's earnings are expected to grow with 14.38% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.27
PEG (5Y)N/A
EPS Next 2Y13.63%
EPS Next 3Y14.38%
5. Dividend
5.1 Amount
No dividends for CAE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:CAE (11/19/2025, 2:58:28 PM)
25.82
+0.09 (+0.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners79.47%
Inst Owner Change1.33%
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap8.28B
Revenue(TTM)4.83B
Net Income(TTM)429.20M
Analysts75.29
Price Target32.47 (25.76%)
Short Float %0.89%
Short Ratio4.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)-0.72%
PT rev (3m)-0.14%
EPS NQ rev (1m)-0.57%
EPS NQ rev (3m)-3.66%
EPS NY rev (1m)0.34%
EPS NY rev (3m)-10.04%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-2.75%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-1.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.02 | ||
| Fwd PE | 23.18 | ||
| P/S | 2.4 | ||
| P/FCF | 24.84 | ||
| P/OCF | 12.28 | ||
| P/B | 2.29 | ||
| P/tB | 8.89 | ||
| EV/EBITDA | 13.64 |
EPS(TTM)0.86
EY3.33%
EPS(NY)1.11
Fwd EY4.31%
FCF(TTM)1.04
FCFY4.03%
OCF(TTM)2.1
OCFY8.14%
SpS10.75
BVpS11.29
TBVpS2.91
PEG (NY)4.27
PEG (5Y)N/A
Graham Number14.78
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 2.03 |
F-Score5
WACC8.97%
ROIC/WACC0.66
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 Y7.04%
EPS Next 2Y13.63%
EPS Next 3Y14.38%
EPS Next 5Y15.75%
Revenue 1Y (TTM)9.12%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%8.8%
Revenue Next Year3.16%
Revenue Next 2Y4.57%
Revenue Next 3Y5.1%
Revenue Next 5Y5.98%
EBIT growth 1Y39.93%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year68.06%
EBIT Next 3Y25.45%
EBIT Next 5Y18.34%
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 FAQ
What is the fundamental rating for CAE stock?
ChartMill assigns a fundamental rating of 4 / 10 to CAE.
What is the valuation status of CAE INC (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 5 / 10.
What is the valuation of CAE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CAE INC (CAE) is 30.02 and the Price/Book (PB) ratio is 2.29.
How financially healthy is CAE INC?
The financial health rating of CAE INC (CAE) is 2 / 10.