ScoreWhy is CAE, Inc. ?
1
Poor Management Efficiency with a low ROCE of 6.74%
- The company has been able to generate a Return on Capital Employed (avg) of 6.74% signifying low profitability per unit of total capital (equity and debt)
2
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Operating profit has grown by an annual rate 8.74% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 7.36% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Operating profit has grown by an annual rate 8.74% of over the last 5 years
4
Flat results in Jun 25
- INTEREST COVERAGE RATIO(Q) Lowest at 379.66
- PRE-TAX PROFIT(Q) Lowest at CAD 57.6 MM
- NET PROFIT(Q) Lowest at CAD 57.2 MM
5
With ROE of 7.89%, it has a expensive valuation with a 2.42 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 63.13%, its profits have fallen by -4.2%
Real-Time Research ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is CAE, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
CAE, Inc.
-7.35%
1.74
33.66%
S&P/TSX 60
29.96%
1.54
14.62%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.67%
EBIT Growth (5y)
13.94%
EBIT to Interest (avg)
2.29
Debt to EBITDA (avg)
2.76
Net Debt to Equity (avg)
0.51
Sales to Capital Employed (avg)
0.58
Tax Ratio
23.20%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
79.29%
ROCE (avg)
6.74%
ROE (avg)
7.36%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
Price to Book Value
2.40
EV to EBIT
24.26
EV to EBITDA
14.06
EV to Capital Employed
1.91
EV to Sales
3.12
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
7.87%
ROE (Latest)
7.44%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 50.55 %
DEBTORS TURNOVER RATIO(HY)
Highest at 4.23 times
INTEREST COVERAGE RATIO(Q)
Highest at 604.74
RAW MATERIAL COST(Y)
Fallen by 1.35% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 6.71 times
NET SALES(Q)
Highest at CAD 1,326.7 MM
OPERATING PROFIT(Q)
Highest at CAD 318.7 MM
NET PROFIT(Q)
Highest at CAD 148.37 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for CAE, Inc.
Interest Coverage Ratio
Highest at 604.74
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 50.55 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Debtors Turnover Ratio
Highest at 4.23 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Sales
Highest at CAD 1,326.7 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CAD MM)
Operating Profit
Highest at CAD 318.7 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (CAD MM)
Net Profit
Highest at CAD 148.37 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Inventory Turnover Ratio
Highest at 6.71 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by 1.35% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at CAD 116.9 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (CAD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
