CAE INC (CAE) Stock Fundamental Analysis
USA - NYSE:CAE - CA1247651088 - Common Stock
28.76 USD
+0.14 (+0.49%)
CAE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 70 industry peers in the Aerospace & Defense industry. CAE has a medium profitability rating, but doesn't score so well on its financial health evaluation. CAE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CAE had positive earnings in the past year.
In the past year CAE had a positive cash flow from operations.
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
Looking at the Return On Assets, with a value of 3.75%, CAE is in line with its industry, outperforming 60.00% of the companies in the same industry.
CAE has a Return On Equity of 8.31%. This is in the better half of the industry: CAE outperforms 62.86% of its industry peers.
CAE has a Return On Invested Capital (5.81%) which is comparable to the rest of the industry.
CAE had an Average Return On Invested Capital over the past 3 years of 5.18%. This is below the industry average of 8.41%.
The last Return On Invested Capital (5.81%) for CAE is above the 3 year average (5.18%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.75% | ||
| ROE | 8.31% | ||
| ROIC | 5.81% |
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 has a Profit Margin of 8.61%. This is in the better half of the industry: CAE outperforms 74.29% of its industry peers.
CAE's Profit Margin has been stable in the last couple of years.
CAE has a Operating Margin of 13.03%. This is in the better half of the industry: CAE outperforms 80.00% of its industry peers.
In the last couple of years the Operating Margin of CAE has declined.
CAE has a Gross Margin of 28.09%. This is in the better half of the industry: CAE outperforms 64.29% of its industry peers.
CAE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.03% | ||
| PM (TTM) | 8.61% | ||
| GM | 28.09% |
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.
Compared to 1 year ago, CAE has more shares outstanding
CAE has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CAE has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.16 indicates that CAE is not a great score, but indicates only limited risk for bankruptcy at the moment.
CAE has a worse Altman-Z score (2.16) than 71.43% of its industry peers.
CAE has a debt to FCF ratio of 7.71. This is a slightly negative value and a sign of low solvency as CAE would need 7.71 years to pay back of all of its debts.
The Debt to FCF ratio of CAE (7.71) is better than 64.29% of its industry peers.
CAE has a Debt/Equity ratio of 0.64. This is a neutral value indicating CAE is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.64, CAE is not doing good in the industry: 65.71% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 7.71 | ||
| Altman-Z | 2.16 |
ROIC/WACC0.66
WACC8.81%
2.3 Liquidity
A Current Ratio of 0.87 indicates that CAE may have some problems paying its short term obligations.
CAE has a Current ratio of 0.87. This is amonst the worse of the industry: CAE underperforms 90.00% of its industry peers.
CAE has a Quick Ratio of 0.87. 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 Quick ratio of 0.60. This is amonst the worse of the industry: CAE underperforms 88.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
CAE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.01%, which is quite good.
Measured over the past years, CAE shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.17% on average per year.
Looking at the last year, CAE shows a quite strong growth in Revenue. The Revenue has grown by 8.04% 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)11.01%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%0%
Revenue 1Y (TTM)8.04%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%2.43%
3.2 Future
The Earnings Per Share is expected to grow by 15.35% on average over the next years. This is quite good.
Based on estimates for the next years, CAE will show a small growth in Revenue. The Revenue will grow by 6.08% on average per year.
EPS Next Y6.68%
EPS Next 2Y13.45%
EPS Next 3Y13.71%
EPS Next 5Y15.35%
Revenue Next Year3.27%
Revenue Next 2Y4.6%
Revenue Next 3Y4.82%
Revenue Next 5Y6.08%
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 33.44 indicates a quite expensive valuation of CAE.
Based on the Price/Earnings ratio, CAE is valued a bit cheaper than 72.86% of the companies in the same industry.
CAE is valuated rather expensively when we compare the Price/Earnings ratio to 26.83, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 25.84, which means the current valuation is very expensive for CAE.
CAE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CAE is cheaper than 71.43% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CAE to the average of the S&P500 Index (22.82), we can say CAE is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.44 | ||
| Fwd PE | 25.84 |
4.2 Price Multiples
87.14% 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 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.21 | ||
| EV/EBITDA | 15.35 |
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.
CAE's earnings are expected to grow with 13.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.01
PEG (5Y)N/A
EPS Next 2Y13.45%
EPS Next 3Y13.71%
5. Dividend
5.1 Amount
No dividends for CAE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:CAE (10/24/2025, 10:53:31 AM)
28.76
+0.14 (+0.49%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners79.47%
Inst Owner Change0%
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap9.22B
Revenue(TTM)4.73B
Net Income(TTM)407.80M
Analysts75.29
Price Target32.23 (12.07%)
Short Float %0.52%
Short Ratio2.51
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)0.46%
Min EPS beat(2)0.2%
Max EPS beat(2)0.72%
EPS beat(4)4
Avg EPS beat(4)5.98%
Min EPS beat(4)0.15%
Max EPS beat(4)22.83%
EPS beat(8)6
Avg EPS beat(8)4.83%
EPS beat(12)10
Avg EPS beat(12)6.59%
EPS beat(16)11
Avg EPS beat(16)0.77%
Revenue beat(2)0
Avg Revenue beat(2)-3.28%
Min Revenue beat(2)-4.22%
Max Revenue beat(2)-2.34%
Revenue beat(4)2
Avg Revenue beat(4)0.04%
Min Revenue beat(4)-4.22%
Max Revenue beat(4)3.5%
Revenue beat(8)4
Avg Revenue beat(8)-1.75%
Revenue beat(12)8
Avg Revenue beat(12)-0.33%
Revenue beat(16)8
Avg Revenue beat(16)-1.59%
PT rev (1m)-0.67%
PT rev (3m)6.31%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)-19.5%
EPS NY rev (1m)-1.08%
EPS NY rev (3m)-10.34%
Revenue NQ rev (1m)-0.69%
Revenue NQ rev (3m)-4.89%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-3.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.44 | ||
| Fwd PE | 25.84 | ||
| P/S | 2.73 | ||
| P/FCF | 29.21 | ||
| P/OCF | 14.44 | ||
| P/B | 2.63 | ||
| P/tB | 10.96 | ||
| EV/EBITDA | 15.35 |
EPS(TTM)0.86
EY2.99%
EPS(NY)1.11
Fwd EY3.87%
FCF(TTM)0.98
FCFY3.42%
OCF(TTM)1.99
OCFY6.93%
SpS10.55
BVpS10.94
TBVpS2.62
PEG (NY)5.01
PEG (5Y)N/A
Graham Number14.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.75% | ||
| ROE | 8.31% | ||
| ROCE | 7.2% | ||
| ROIC | 5.81% | ||
| ROICexc | 5.93% | ||
| ROICexgc | 10.67% | ||
| OM | 13.03% | ||
| PM (TTM) | 8.61% | ||
| GM | 28.09% | ||
| FCFM | 9.33% |
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-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 7.71 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 105.02% | ||
| Cap/Sales | 9.55% | ||
| Interest Coverage | 2.95 | ||
| Cash Conversion | 85.35% | ||
| Profit Quality | 108.36% | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 2.16 |
F-Score6
WACC8.81%
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)11.01%
EPS 3Y12.94%
EPS 5Y-2.17%
EPS Q2Q%0%
EPS Next Y6.68%
EPS Next 2Y13.45%
EPS Next 3Y13.71%
EPS Next 5Y15.35%
Revenue 1Y (TTM)8.04%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%2.43%
Revenue Next Year3.27%
Revenue Next 2Y4.6%
Revenue Next 3Y4.82%
Revenue Next 5Y6.08%
EBIT growth 1Y35.75%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year68.06%
EBIT Next 3Y25.33%
EBIT Next 5Y18.61%
FCF growth 1Y576.72%
FCF growth 3Y101.37%
FCF growth 5Y22.94%
OCF growth 1Y71.38%
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 4 / 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 33.44 and the Price/Book (PB) ratio is 2.63.
How financially healthy is CAE INC?
The financial health rating of CAE INC (CAE) is 2 / 10.