CAE INC (CAE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CAE - CA1247651088 - Common Stock
29.62 USD
+1.32 (+4.66%)
Overall CAE gets a fundamental rating of 4 out of 10. We evaluated CAE against 72 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
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.
CAE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CAE has a Return On Assets of 3.87%. This is comparable to the rest of the industry: CAE outperforms 59.72% of its industry peers.
CAE's Return On Equity of 8.45% is fine compared to the rest of the industry. CAE outperforms 61.11% 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 8.58%.
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
CAE has a better Profit Margin (8.88%) than 75.00% 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 77.78% of the companies in the same industry.
CAE's Operating Margin has declined in the last couple of years.
CAE has a Gross Margin of 28.22%. This is in the better half of the industry: CAE outperforms 62.50% of its industry peers.
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
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.
CAE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.12 indicates that CAE is not a great score, but indicates only limited risk for bankruptcy at the moment.
CAE has a Altman-Z score of 2.12. This is in the lower half of the industry: CAE underperforms 72.22% 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 has a Debt to FCF ratio of 7.20. This is in the better half of the industry: CAE outperforms 62.50% 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 65.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 7.2 | ||
| Altman-Z | 2.12 |
ROIC/WACC0.67
WACC8.9%
2.3 Liquidity
CAE has a Current 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 Current ratio of CAE (0.83) is worse than 91.67% of its industry peers.
A Quick Ratio of 0.59 indicates that CAE may have some problems paying its short term obligations.
CAE has a Quick ratio of 0.59. This is amonst the worse of the industry: CAE underperforms 88.89% 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.
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%.
Measured over the past years, CAE shows a small growth in Revenue. The Revenue has been growing by 5.38% on average per year.
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 15.64% on average per year.
The Revenue is expected to grow by 6.57% on average over the next years.
EPS Next Y1.92%
EPS Next 2Y12.08%
EPS Next 3Y14.64%
EPS Next 5Y15.64%
Revenue Next Year4.9%
Revenue Next 2Y5.29%
Revenue Next 3Y5.75%
Revenue Next 5Y6.57%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 34.05, which means the current valuation is very expensive for CAE.
Based on the Price/Earnings ratio, CAE is valued a bit cheaper than the industry average as 72.22% of the companies are valued more expensively.
CAE's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.76.
A Price/Forward Earnings ratio of 26.89 indicates a quite expensive valuation of CAE.
Based on the Price/Forward Earnings ratio, CAE is valued a bit cheaper than the industry average as 76.39% of the companies are valued more expensively.
CAE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.96, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.05 | ||
| Fwd PE | 26.89 |
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 88.89% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CAE is valued cheaper than 90.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.11 | ||
| EV/EBITDA | 14.55 |
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 14.64% in the coming years.
PEG (NY)17.75
PEG (5Y)N/A
EPS Next 2Y12.08%
EPS Next 3Y14.64%
5. Dividend
5.1 Amount
No dividends for CAE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:CAE (12/12/2025, 1:48:55 PM)
29.62
+1.32 (+4.66%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners76.87%
Inst Owner Change1.36%
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap9.52B
Revenue(TTM)4.83B
Net Income(TTM)429.20M
Analysts75.29
Price Target32.64 (10.2%)
Short Float %0.97%
Short Ratio5.3
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)1.41%
PT rev (3m)0.98%
EPS NQ rev (1m)-12.56%
EPS NQ rev (3m)-11.29%
EPS NY rev (1m)-4.78%
EPS NY rev (3m)-5.5%
Revenue NQ rev (1m)-0.39%
Revenue NQ rev (3m)-0.78%
Revenue NY rev (1m)1.68%
Revenue NY rev (3m)1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.05 | ||
| Fwd PE | 26.89 | ||
| P/S | 2.72 | ||
| P/FCF | 28.11 | ||
| P/OCF | 13.89 | ||
| P/B | 2.59 | ||
| P/tB | 10.06 | ||
| EV/EBITDA | 14.55 |
EPS(TTM)0.87
EY2.94%
EPS(NY)1.1
Fwd EY3.72%
FCF(TTM)1.05
FCFY3.56%
OCF(TTM)2.13
OCFY7.2%
SpS10.89
BVpS11.45
TBVpS2.95
PEG (NY)17.75
PEG (5Y)N/A
Graham Number14.97
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 | 2.12 |
F-Score5
WACC8.9%
ROIC/WACC0.67
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 2Y12.08%
EPS Next 3Y14.64%
EPS Next 5Y15.64%
Revenue 1Y (TTM)9.12%
Revenue growth 3Y11.77%
Revenue growth 5Y5.38%
Sales Q2Q%8.8%
Revenue Next Year4.9%
Revenue Next 2Y5.29%
Revenue Next 3Y5.75%
Revenue Next 5Y6.57%
EBIT growth 1Y39.93%
EBIT growth 3Y17.08%
EBIT growth 5Y3.38%
EBIT Next Year65.35%
EBIT Next 3Y25.36%
EBIT Next 5Y18.94%
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 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 34.05 and the Price/Book (PB) ratio is 2.59.
How financially healthy is CAE INC?
The financial health rating of CAE INC (CAE) is 2 / 10.