GuruFocus·4 days ago
CAE included on TIME's List of the World's Most Sustainable Companies 2026CAE included on TIME's List of the World's Most Sustainable Companies 2026 PR Newswire MONTREAL, June 25, 2026
CAE Inc.(CAE)Earnings, Financials & Key Ratios
CAE•NYSE
$25.20
36.5× P/E·Price updated Jun 30, 2026
AboutCAE Inc., together with its subsidiaries, provides simulation training and critical operations support solutions worldwide. It operates through three segments: Civil Aviation, Defense and Security, and Healthcare. The Civil Aviation segment provides training solutions for flight, cabin, maintenance, and ground personnel in commercial, business, and helicopter aviation; flight simulation training devices; and ab initio pilot training and crew sourcing services, as well as end to end digitally enabled crew management, training operations solutions, and optimization software. The Defense and Security segment offers training and mission support solutions for defense forces across multi-domain operations, OEMs, government agencies and public safety organizations. The Healthcare segment provides integrated education and training solutions, including interventional and imaging simulations, curricula, audiovisual debriefing solutions, center management platforms, and patient simulators for healthcare students and clinical professionals, hospital and university simulation centers, medical and nursing schools, paramedic organizations, defense forces, medical societies, public health agencies and OEMs. The company was formerly known as CAE Industries Ltd. and changed its name to CAE Inc. in 1993. CAE Inc. was incorporated in 1947 and is headquartered in Saint-Laurent, Canada.Show more
- Revenue$4.93B+4.6%
- EBITDA$1.08B-5.9%
- Net Income$314M-22.5%
- EPS (Diluted)0.98-22.8%
- Gross Margin27.27%-1.2%
- EBITDA Margin21.85%-10.1%
- Operating Margin12.67%-18.2%
- Net Margin6.37%-26.0%
- ROE6.05%-30.8%
CAE Price & Volume
CAE Inc. (CAE) stock price & volume — 10-year historical chart
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Operational Volatility Masks Underlying Margin Recovery Potential
Investment Thesis • Updated 2025Q4
VerdictNeutral
Growth:Mixed
Profitability:Moderate
Financial:Mixed
Cash Flow:Mixed
Primary Risk:Defense segment margin volatility
Key Thesis Takeaways
- CAE faces a complex transition as it navigates structural revenue deceleration, with growth slowing to 4.3% in 2025Q4, while simultaneously managing significant working capital swings that complicate cash flow predictability.
- While the company has achieved a gross margin recovery to 30.2% as of 2025Q4, persistent reliance on debt, evidenced by a 0.60 debt-to-equity ratio, limits financial flexibility.
- Investors should monitor the sustainability of these margins against the backdrop of high capital intensity, where CapEx as a percentage of revenue reached 11.8% in 2025Q1, potentially constraining long-term shareholder value creation.
Verdict Logic
while the forward P/E of 21.32 suggests a valuation adjustment, the extreme volatility in operating cash flow to net income, which ranged from -0.27 to 3.91, warrants caution regarding earnings quality.
CAE Growth Metrics
CAE Inc. (CAE) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years6.97%
5 Years10.56%
3 Years7.1%
TTM4.45%
Profit CAGR
10 Years3.17%
5 Years-
3 Years12.12%
TTM-22.7%
EPS CAGR
10 Years1.43%
5 Years-
3 Years11.87%
TTM-23.62%
Return on Capital
10 Years6.23%
5 Years4.81%
3 Years4.65%
Last Year7.2%
CAE Recent Earnings
CAE Inc. (CAE) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 8/12 qtrs (67%)●Beat Revenue 5/12 qtrs (42%)
Q2 2026Latest
May 21, 2026Metric
Actual
Est
EPS
$0.31+3.3%
$0.30
Rev
$954M+3.1%
$925M
Q1 2026
Feb 12, 2026Metric
Actual
Est
EPS
$0.24+9.1%
$0.22
Rev
$912M-0.8%
$919M
Q4 2025
Nov 11, 2025Metric
Actual
Est
EPS
$0.17+21.4%
$0.14
Rev
$887M-1.5%
$900M
Q3 2025
Aug 12, 2025Metric
Actual
Est
EPS
$0.15+0.0%
$0.15
Rev
$806M-2.4%
$826M
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q2 2026Latest | May 21, 2026 | $0.31vs $0.30+3.3% | $954Mvs $925M+3.1% |
| Q1 2026 | Feb 12, 2026 | $0.24vs $0.22+9.1% | $912Mvs $919M-0.8% |
| Q4 2025 | Nov 11, 2025 | $0.17vs $0.14+21.4% | $887Mvs $900M-1.5% |
| Q3 2025 | Aug 12, 2025 | $0.15vs $0.15+0.0% | $806Mvs $826M-2.4% |
Based on last 12 quarters of dataView full earnings history →
Latest CAE News
Recent stock market news and headlines for CAE Inc. (CAE)
PRNewsWire·4 days ago
CAE included on TIME's List of the World's Most Sustainable Companies 2026MONTREAL, June 25, 2026 /PRNewswire/ - (NYSE: CAE) (TSX: CAE) – CAE has been included in the third edition of the World's Most Sustainable Companies 2026. This prestigious award is presented by TIME and Statista Inc., the world-leading statistics portal and industry ranking provider.
Peers Comparison
Key metrics vs top competitors for CAE Inc. (CAE)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $25.20 | $8.11B | 36.50 | 4.65% | 6.37% | 6.05% | — | |
| $1323.44 | $74.02B | 41.25 | 11.22% | 21.29% | — | — | |
| $100.44 | $12.63B | 9.02 | 3.07% | 7.77% | 27.1% | — | |
| $46.95 | $8.8B | 361.15 | 18.52% | 2.08% | 1.26% | — | |
| $350.44 | $48.82B | 71.52 | 16.26% | 16.08% | 16.23% | — | |
| $502.07 | $115.71B | 23.36 | 5.65% | 6.38% | 74.53% | — |
Compare CAE vs Peers
CAE Inc. (CAE) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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CAE Frequently Asked Questions
CAE Inc. (CAE) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is CAE Inc.'s revenue?
CAE Inc. (CAE) reported $4.92B in revenue for fiscal year 2025. This represents a 467% increase from $867.3M in 1996.
How fast is CAE Inc. growing?
CAE Inc. (CAE) grew revenue by 4.6% over the past year. Growth has been modest.
Is CAE profitable?
Yes, CAE Inc. (CAE) is profitable, generating $313.3M in net income for fiscal year 2025 (6.4% net margin).
Dividend & Returns
What is CAE's return on equity?
CAE Inc. (CAE) has a return on equity (ROE) of 6.0%. This is below average, suggesting room for improvement.
What is CAE Inc.'s free cash flow?
CAE Inc. (CAE) generated $462.3M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.