CAE INC (CAE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CAE - CA1247651088 - Common Stock
25.79 USD
-0.19 (-0.73%)
Overall CAE gets a fundamental rating of 4 out of 10. We evaluated CAE 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 correct valuation and a medium growth rate.
1. Profitability
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.
CAE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CAE's Return On Assets of 3.87% is fine compared to the rest of the industry. CAE outperforms 60.56% of its industry peers.
CAE's Return On Equity of 8.45% is fine compared to the rest of the industry. CAE outperforms 63.38% of its industry peers.
CAE has a Return On Invested Capital (5.96%) which 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 8.52%.
The last Return On Invested Capital (5.96%) for CAE is above the 3 year average (5.18%), which is a sign of increasing profitability.
| 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
CAE's Profit Margin of 8.88% is fine compared to the rest of the industry. CAE outperforms 76.06% of its industry peers.
In the last couple of years the Profit Margin of CAE has remained more or less at the same level.
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.
With a decent Gross Margin value of 28.22%, CAE is doing good in the industry, outperforming 63.38% of the companies in the same industry.
In the last couple of years the Gross Margin of CAE has declined.
| 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
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.
CAE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CAE has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.04 indicates that CAE is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.04, CAE is not doing good in the industry: 69.01% of the companies in the same industry are doing better.
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 better Debt to FCF ratio (7.20) than 61.97% of its industry peers.
A Debt/Equity ratio of 0.61 indicates that CAE is somewhat dependend on debt financing.
CAE's Debt to Equity ratio of 0.61 is on the low side compared to the rest of the industry. CAE is outperformed by 63.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 7.2 | ||
| Altman-Z | 2.04 |
ROIC/WACC0.63
WACC9.42%
2.3 Liquidity
A Current Ratio of 0.83 indicates that CAE may have some problems paying its short term obligations.
CAE's Current ratio of 0.83 is on the low side compared to the rest of the industry. CAE is outperformed by 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.
The Quick ratio of CAE (0.59) is worse than 87.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
CAE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.21%, 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 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 15.75% on average per year.
CAE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.98% yearly.
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
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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 30.34 indicates a quite expensive valuation of CAE.
Based on the Price/Earnings ratio, CAE is valued a bit cheaper than the industry average as 74.65% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.65, CAE is valued at the same level.
The Price/Forward Earnings ratio is 23.28, which indicates a rather expensive current valuation of CAE.
CAE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CAE is cheaper than 77.46% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.45, CAE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.34 | ||
| Fwd PE | 23.28 |
4.2 Price Multiples
87.32% of the companies in the same industry are more expensive than CAE, based on the Enterprise Value to EBITDA ratio.
CAE's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CAE is cheaper than 87.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.95 | ||
| EV/EBITDA | 13.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CAE does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as CAE's earnings are expected to grow with 14.38% in the coming years.
PEG (NY)4.31
PEG (5Y)N/A
EPS Next 2Y13.63%
EPS Next 3Y14.38%
5. Dividend
5.1 Amount
CAE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:CAE (11/25/2025, 12:38:54 PM)
25.79
-0.19 (-0.73%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners79.47%
Inst Owner Change1.34%
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap8.27B
Revenue(TTM)4.83B
Net Income(TTM)429.20M
Analysts75.29
Price Target32.47 (25.9%)
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)0.74%
PT rev (3m)0.44%
EPS NQ rev (1m)-11.1%
EPS NQ rev (3m)-10.08%
EPS NY rev (1m)0.34%
EPS NY rev (3m)-0.75%
Revenue NQ rev (1m)-0.55%
Revenue NQ rev (3m)-1.09%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.34 | ||
| Fwd PE | 23.28 | ||
| P/S | 2.41 | ||
| P/FCF | 24.95 | ||
| P/OCF | 12.33 | ||
| P/B | 2.3 | ||
| P/tB | 8.92 | ||
| EV/EBITDA | 13.8 |
EPS(TTM)0.85
EY3.3%
EPS(NY)1.11
Fwd EY4.3%
FCF(TTM)1.03
FCFY4.01%
OCF(TTM)2.09
OCFY8.11%
SpS10.69
BVpS11.23
TBVpS2.89
PEG (NY)4.31
PEG (5Y)N/A
Graham Number14.65
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 | 2.04 |
F-Score5
WACC9.42%
ROIC/WACC0.63
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 30.34 and the Price/Book (PB) ratio is 2.3.
How financially healthy is CAE INC?
The financial health rating of CAE INC (CAE) is 2 / 10.