CAE (CAE)
Market Price (10/9/2026): $23.155 | Market Cap: $7.2 BilSector: Industrials | Industry: Aerospace & Defense
CAE (CAE)
Market Price (10/9/2026): $23.155Market Cap: $7.2 BilSector: IndustrialsIndustry: Aerospace & Defense
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% Attractive yieldFCF Yield is 9.6% Low stock price volatilityVol 12M is 32% Megatrend and thematic driversMegatrends include Advanced Aviation & Space. Themes include Aviation Simulation & Training, Advanced Air Mobility, and Drone Technology. | Weak multi-year price returns2Y Excs Rtn is -10%, 3Y Excs Rtn is -82% | Key risksCAE key risks include [1] significant margin pressure from a portfolio of fixed-price "Legacy" defense contracts that lack cost escalation provisions and [2] a high debt load that is increasingly expensive to service amid interest rate volatility. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% |
| Attractive yieldFCF Yield is 9.6% |
| Low stock price volatilityVol 12M is 32% |
| Megatrend and thematic driversMegatrends include Advanced Aviation & Space. Themes include Aviation Simulation & Training, Advanced Air Mobility, and Drone Technology. |
| Weak multi-year price returns2Y Excs Rtn is -10%, 3Y Excs Rtn is -82% |
| Key risksCAE key risks include [1] significant margin pressure from a portfolio of fixed-price "Legacy" defense contracts that lack cost escalation provisions and [2] a high debt load that is increasingly expensive to service amid interest rate volatility. |
Qualitative Assessment
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Updated on 10/1/2026
CAE (CAE) stock has lost about 10% since 6/30/2026 because of the following key factors:
1. Decline in Reported Profitability due to Restructuring Costs.
In fiscal Q1 2027, which ended June 30, 2026, CAE's reported GAAP earnings per share (EPS) significantly decreased to $0.10, down from $0.18 in the prior year. This decline was primarily driven by $48.3 million in restructuring and related transformation costs. Despite adjusted EPS remaining flat at $0.26, the substantial reported decline likely negatively impacted investor sentiment.
2. Weakness and Uncertainty in the Civil Aviation Segment.
The Civil Aviation segment experienced a 13.7% decrease in adjusted segment operating income during fiscal Q1 2027, with margins contracting to 16.5% from 20.2% in fiscal Q1 2026. This reduction was attributed to higher selling, general, and administrative expenses, lower simulator contributions, and impacts from the Middle East conflict. Furthermore, management's fiscal 2027 outlook projected Civil revenue to be flat to slightly down, contributing to investor uncertainty.
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CAE (CAE) stock has lost about 10% since 6/30/2026 because of the following key factors:
1. Decline in Reported Profitability due to Restructuring Costs.
In fiscal Q1 2027, which ended June 30, 2026, CAE's reported GAAP earnings per share (EPS) significantly decreased to $0.10, down from $0.18 in the prior year. This decline was primarily driven by $48.3 million in restructuring and related transformation costs. Despite adjusted EPS remaining flat at $0.26, the substantial reported decline likely negatively impacted investor sentiment.
2. Weakness and Uncertainty in the Civil Aviation Segment.
The Civil Aviation segment experienced a 13.7% decrease in adjusted segment operating income during fiscal Q1 2027, with margins contracting to 16.5% from 20.2% in fiscal Q1 2026. This reduction was attributed to higher selling, general, and administrative expenses, lower simulator contributions, and impacts from the Middle East conflict. Furthermore, management's fiscal 2027 outlook projected Civil revenue to be flat to slightly down, contributing to investor uncertainty.
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Updated on 10/1/2026
CAE (CAE) stock has lost about 10% since 6/30/2026 because of the following key factors:
1. Decline in Reported Profitability due to Restructuring Costs.
In fiscal Q1 2027, which ended June 30, 2026, CAE's reported GAAP earnings per share (EPS) significantly decreased to $0.10, down from $0.18 in the prior year. This decline was primarily driven by $48.3 million in restructuring and related transformation costs. Despite adjusted EPS remaining flat at $0.26, the substantial reported decline likely negatively impacted investor sentiment.
2. Weakness and Uncertainty in the Civil Aviation Segment.
The Civil Aviation segment experienced a 13.7% decrease in adjusted segment operating income during fiscal Q1 2027, with margins contracting to 16.5% from 20.2% in fiscal Q1 2026. This reduction was attributed to higher selling, general, and administrative expenses, lower simulator contributions, and impacts from the Middle East conflict. Furthermore, management's fiscal 2027 outlook projected Civil revenue to be flat to slightly down, contributing to investor uncertainty.
3. Analyst Downgrades and Price Target Reductions.
During the period, some financial analysts adjusted their ratings and price targets for CAE, reflecting a more cautious outlook. For instance, Bank of America lowered its price target to C$38.00 from C$45.00 on August 27, 2026. Similarly, Morgan Stanley downgraded CAE from an "equal weight" rating to "underweight" and reduced its price target from C$43.00 to C$37.00 on July 15, 2026.
4. Concerns Regarding Debt Levels.
Analysts have identified CAE's high level of debt, noted as a 48% net debt to equity ratio, as a minor risk factor for the company. While CAE reported a significant improvement in free cash flow, swinging to $104.0 million from a negative $134.7 million year-over-year in fiscal Q1 2027, the overall debt level continues to be a point of consideration for investors regarding financial flexibility.
Show less
CAE (CAE) stock has lost about 10% since 6/30/2026 because of the following key factors:
1. Decline in Reported Profitability due to Restructuring Costs.
In fiscal Q1 2027, which ended June 30, 2026, CAE's reported GAAP earnings per share (EPS) significantly decreased to $0.10, down from $0.18 in the prior year. This decline was primarily driven by $48.3 million in restructuring and related transformation costs. Despite adjusted EPS remaining flat at $0.26, the substantial reported decline likely negatively impacted investor sentiment.
2. Weakness and Uncertainty in the Civil Aviation Segment.
The Civil Aviation segment experienced a 13.7% decrease in adjusted segment operating income during fiscal Q1 2027, with margins contracting to 16.5% from 20.2% in fiscal Q1 2026. This reduction was attributed to higher selling, general, and administrative expenses, lower simulator contributions, and impacts from the Middle East conflict. Furthermore, management's fiscal 2027 outlook projected Civil revenue to be flat to slightly down, contributing to investor uncertainty.
3. Analyst Downgrades and Price Target Reductions.
During the period, some financial analysts adjusted their ratings and price targets for CAE, reflecting a more cautious outlook. For instance, Bank of America lowered its price target to C$38.00 from C$45.00 on August 27, 2026. Similarly, Morgan Stanley downgraded CAE from an "equal weight" rating to "underweight" and reduced its price target from C$43.00 to C$37.00 on July 15, 2026.
4. Concerns Regarding Debt Levels.
Analysts have identified CAE's high level of debt, noted as a 48% net debt to equity ratio, as a minor risk factor for the company. While CAE reported a significant improvement in free cash flow, swinging to $104.0 million from a negative $134.7 million year-over-year in fiscal Q1 2027, the overall debt level continues to be a point of consideration for investors regarding financial flexibility.
Show less
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Stock Movement Drivers
Fundamental Drivers
The -7.6% change in CAE stock from 6/30/2026 to 10/8/2026 was primarily driven by a -9.7% change in the company's Net Income Margin (%).| (LTM values as of) | 6302026 | 10082026 | Change |
|---|---|---|---|
| Stock Price ($) | 25.06 | 23.15 | -7.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,914 | 4,989 | 1.5% |
| Net Income Margin (%) | 6.4% | 5.8% | -9.7% |
| P/E Multiple | 26.0 | 25.0 | -3.6% |
| Shares Outstanding (Mil) | 324 | 310 | 4.6% |
| Cumulative Contribution | -7.6% |
Market Drivers
6/30/2026 to 10/8/2026| Return | Correlation | |
|---|---|---|
| CAE | -7.6% | |
| Market (SPY) | 3.6% | 33.6% |
| Sector (XLI) | -9.1% | 49.3% |
Fundamental Drivers
The -11.1% change in CAE stock from 3/31/2026 to 10/8/2026 was primarily driven by a -25.6% change in the company's Net Income Margin (%).| (LTM values as of) | 3312026 | 10082026 | Change |
|---|---|---|---|
| Stock Price ($) | 26.05 | 23.15 | -11.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,863 | 4,989 | 2.6% |
| Net Income Margin (%) | 7.7% | 5.8% | -25.6% |
| P/E Multiple | 22.2 | 25.0 | 12.7% |
| Shares Outstanding (Mil) | 320 | 310 | 3.3% |
| Cumulative Contribution | -11.1% |
Market Drivers
3/31/2026 to 10/8/2026| Return | Correlation | |
|---|---|---|
| CAE | -11.1% | |
| Market (SPY) | 19.3% | 18.6% |
| Sector (XLI) | 4.4% | 25.6% |
Fundamental Drivers
The -21.9% change in CAE stock from 9/30/2025 to 10/8/2026 was primarily driven by a -34.3% change in the company's Net Income Margin (%).| (LTM values as of) | 9302025 | 10082026 | Change |
|---|---|---|---|
| Stock Price ($) | 29.64 | 23.15 | -21.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,734 | 4,989 | 5.4% |
| Net Income Margin (%) | 8.7% | 5.8% | -34.3% |
| P/E Multiple | 22.7 | 25.0 | 10.0% |
| Shares Outstanding (Mil) | 318 | 310 | 2.5% |
| Cumulative Contribution | -21.9% |
Market Drivers
9/30/2025 to 10/8/2026| Return | Correlation | |
|---|---|---|
| CAE | -21.9% | |
| Market (SPY) | 17.1% | 36.8% |
| Sector (XLI) | 10.1% | 39.6% |
Fundamental Drivers
The -0.9% change in CAE stock from 9/30/2023 to 10/8/2026 was primarily driven by a -16.2% change in the company's Net Income Margin (%).| (LTM values as of) | 9302023 | 10082026 | Change |
|---|---|---|---|
| Stock Price ($) | 23.35 | 23.15 | -0.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,172 | 4,989 | 19.6% |
| Net Income Margin (%) | 6.9% | 5.8% | -16.2% |
| P/E Multiple | 25.9 | 25.0 | -3.6% |
| Shares Outstanding (Mil) | 318 | 310 | 2.6% |
| Cumulative Contribution | -0.9% |
Market Drivers
9/30/2023 to 10/8/2026| Return | Correlation | |
|---|---|---|
| CAE | -0.9% | |
| Market (SPY) | 87.3% | 45.4% |
| Sector (XLI) | 72.7% | 46.3% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| CAE Return | -9% | -23% | 12% | 18% | 20% | -24% | -17% |
| Peers Return | 9% | -4% | 29% | 1% | 54% | -18% | 72% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 14% | 108% |
Monthly Win Rates [3] | |||||||
| CAE Win Rate | 50% | 50% | 50% | 33% | 58% | 30% | |
| Peers Win Rate | 50% | 47% | 53% | 57% | 58% | 32% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| CAE Max Drawdown | -32% | -45% | -22% | -25% | -21% | -32% | |
| Peers Max Drawdown | -23% | -35% | -21% | -26% | -24% | -37% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: LHX, LMT, BA, TXT, KTOS.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 10/8/2026 (YTD)
How Low Can It Go
| Event | CAE | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -18.7% | -18.8% |
| % Gain to Breakeven | 23.0% | 23.1% |
| Time to Breakeven | 30 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -13.0% | -7.8% |
| % Gain to Breakeven | 15.0% | 8.5% |
| Time to Breakeven | 56 days | 18 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -12.9% | -9.5% |
| % Gain to Breakeven | 14.9% | 10.5% |
| Time to Breakeven | 356 days | 24 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -40.5% | -24.5% |
| % Gain to Breakeven | 68.1% | 32.4% |
| Time to Breakeven | 868 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -67.0% | -33.7% |
| % Gain to Breakeven | 203.2% | 50.9% |
| Time to Breakeven | 347 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -13.3% | -19.2% |
| % Gain to Breakeven | 15.4% | 23.8% |
| Time to Breakeven | 32 days | 105 days |
In The Past
CAE's stock fell -18.7% during the 2025 US Tariff Shock. Such a loss loss requires a 23.0% gain to breakeven.
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Asset Allocation
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| Event | CAE | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -40.5% | -24.5% |
| % Gain to Breakeven | 68.1% | 32.4% |
| Time to Breakeven | 868 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -67.0% | -33.7% |
| % Gain to Breakeven | 203.2% | 50.9% |
| Time to Breakeven | 347 days | 140 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -33.3% | -17.9% |
| % Gain to Breakeven | 50.0% | 21.8% |
| Time to Breakeven | 808 days | 123 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -67.5% | -53.4% |
| % Gain to Breakeven | 207.8% | 114.4% |
| Time to Breakeven | 827 days | 1085 days |
In The Past
CAE's stock fell -18.7% during the 2025 US Tariff Shock. Such a loss loss requires a 23.0% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About CAE (CAE)
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CAE Inc. (symbol: CAE) is a global technology company specializing in the design, manufacture, and supply of high-fidelity simulation equipment and comprehensive training solutions. The company operates across three main segments: Civil Aviation Training Solutions, Defence and Security, and Healthcare. Essentially, CAE helps train professionals to operate complex machinery and perform critical tasks safely and effectively in various high-stakes environments.
In its Civil Aviation Training Solutions segment, CAE is a leading provider of training for pilots, cabin crews, maintenance technicians, and ground personnel for commercial airlines, business jet operators, and helicopter companies. This includes manufacturing advanced flight simulation training devices, offering initial pilot training programs, and providing digitally-enabled crew management and optimization software. Concurrently, the Defence and Security segment delivers specialized training and mission support solutions for global defense forces across multiple domains, as well as for government organizations responsible for public safety.
CAE's Healthcare segment offers integrated education and training solutions, which feature cutting-edge surgical and imaging simulations, patient simulators, curriculum development, and center management platforms. These tools are utilized by healthcare students and clinical professionals worldwide to enhance their skills. The company also invests in future technologies, evident in its partnership to develop pilot training programs for electric vertical takeoff and landing (eVTOL) operations, underscoring its commitment to innovation in the simulation and training industry.
```AI Analysis | Feedback
Here are 1-3 brief analogies for CAE:
- CAE is like the Boeing or Airbus of flight simulators and pilot training, equipping global airlines and defense forces with advanced training infrastructure.
- CAE is like the Peloton for pilots, soldiers, and surgeons, providing both the high-tech simulation equipment and comprehensive training programs for critical professions.
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- Flight Simulation Training Devices: Equipment designed for realistic flight, cabin, maintenance, and ground personnel training across various aviation sectors.
- Civil Aviation Training Solutions: Comprehensive training programs for flight, cabin, maintenance, and ground personnel, including ab initio pilot training and crew sourcing services.
- Crew Management and Optimization Software: Digitally-enabled solutions for managing crew, training operations, and optimizing performance in civil aviation.
- Defence and Security Training and Mission Support: Solutions provided to defense forces for multi-domain operations and to government organizations for public safety.
- Healthcare Simulation and Training Solutions: Integrated education and training, including surgical and imaging simulations, patient simulators, curriculum, and center management platforms for healthcare professionals.
- EVTOL Pilot Training Programs: Development and deployment of specialized pilot training programs for electric vertical takeoff and landing operations.
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CAE (symbol: CAE) primarily sells its simulation equipment and training solutions to other companies and institutions. The provided company description does not list specific customer company names, but it clearly identifies the following major categories of customers:
- Commercial airlines
- Business aircraft operators
- Helicopter operators
- Aircraft manufacturers
- Defense forces and government organizations responsible for public safety
- Healthcare education and service providers (e.g., hospitals, universities, medical schools)
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Matthew Bromberg President and Chief Executive Officer
Matthew Bromberg was appointed President and Chief Executive Officer of CAE Inc., effective August 13, 2025. He joined CAE on June 16, 2025, as incoming president and CEO. Bromberg is recognized as a leader with extensive experience in both the aerospace and defense sectors, including large-scale international operations. He is responsible for leading the company's strategic growth and ongoing evolution.
Ryan McLeod Chief Financial Officer
Ryan McLeod serves as the Chief Financial Officer for CAE Inc. In this capacity, he is responsible for leading CAE's global finance organization and plays a crucial role in driving the company's strategic growth and operational excellence.
Pascal Grenier President, Defense & Security
Pascal Grenier was appointed President, Defense & Security, on March 9, 2026. He oversees CAE's global defense portfolio and provides strategic oversight for the U.S. Defense & Security segment, aiming to enhance alignment and cohesion across CAE's global defense operations. Grenier has more than 25 years of experience at CAE, having built and led critical global operational functions such as Engineering, Manufacturing, Sourcing/Procurement, Quality Assurance, Innovation, IT, and Digital Solutions. Before this role, he was President, Flightscape, and previously served as Senior Vice President, Global Operations, Technologies & Innovation.
Juan Araujo Senior Vice President, Operations
Juan Araujo holds the position of Senior Vice President, Operations, at CAE Inc. He joined the company in January 2026, bringing over 25 years of international aerospace and industrial experience. Araujo has a proven track record of driving operational excellence across complex global businesses and is tasked with integrating various functional areas into a cohesive, end-to-end products team.
Alexandre Prevost President, Civil Aviation
Alexandre Prevost is the President of Civil Aviation for CAE Inc., a position he was appointed to in November 2025. A 17-year veteran of the company, Prevost most recently served as the Division President, Business Aviation Training. His background also includes leading Commercial Aviation Training for Asia Pacific, demonstrating a strong operational expertise.
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The key risks to CAE Inc. are primarily related to operational challenges within its defense contracts, softening demand in its civil aviation segment, and its elevated debt levels.
- Operational Challenges and Profitability Issues from Fixed-Price Defense Contracts: CAE has faced significant financial headwinds, including substantial goodwill impairments and unfavorable contract adjustments, due to legacy fixed-price contracts within its Defence and Security segment. These contracts, often signed before the COVID-19 pandemic, did not account for subsequent cost escalations from inflation, supply chain disruptions, and labor issues, leading to reduced profit margins and operational execution risks. The company has undertaken measures to re-baseline this business segment.
- Softening Demand and Simulator Utilization Rates in the Civil Aviation Segment: While the Civil Aviation Training Solutions segment is CAE's largest, it has recently experienced softness in demand for pilot training and lower-than-targeted utilization rates for its full-flight simulators (FFS), such as a 71% utilization rate falling short of an estimated 75.6%. A sustained downturn in air travel, airline profitability, or pilot training demand could directly impact this significant revenue stream.
- High Debt Levels and Exposure to Interest Rate Volatility: CAE carries a notable debt load, with a net debt-to-adjusted EBITDA ratio of 2.77x in fiscal year 2025, and aims to reduce it to 2.5x. High-interest rate environments make the deleveraging process more costly and can impact the company's financial flexibility and bottom line.
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CAE Inc. operates within several significant addressable markets globally.
Here are the estimated market sizes for CAE's main products and services:
* Civil Aviation Training Solutions:
* The global pilot training market was valued at approximately USD 10.74 billion in 2025 and is projected to grow to about USD 29.71 billion by 2034, exhibiting a compound annual growth rate (CAGR) of 11.73%. This market encompasses theoretical instruction, practical flight training, and simulator-based exercises.
* The global flight simulator market, a core component of aviation training, was valued at approximately USD 5.8 billion in 2024 and is estimated to reach around USD 9.5 billion by 2034, growing at a CAGR of 5.1% from 2025 to 2034. North America dominated this market with the largest share in 2024. CAE's own forecast indicates a need for 300,000 new pilots, 416,000 aircraft maintenance technicians, and 678,000 cabin crew globally by 2034.
* Defence and Security:
* The global military simulation and training market was valued at approximately USD 13.58 billion in 2023 and is anticipated to exceed USD 21.94 billion by 2033, growing at a CAGR of 4.91%. Another estimate places the market at USD 14.64 billion in 2025, projected to reach USD 23.45 billion by 2034 with a CAGR of 5.38%. North America held the largest share in this market, with the flight simulation segment accounting for a significant portion in 2023.
* Healthcare:
* The global healthcare simulation market reached approximately USD 2.8 billion in 2024 and is expected to grow to USD 7.5 billion by 2033, exhibiting a CAGR of 11.21% during 2025-2033. This market includes integrated education and training solutions, such as surgical and imaging simulations, and patient simulators. North America is a significant contributor to this market's growth, while the Asia-Pacific market is expected to show the highest CAGR.
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- Growth in Civil Aviation Training Solutions: CAE is positioned for continued revenue growth in its Civil Aviation segment, supported by a long-term positive market outlook for civil aviation, projected to grow by 4-5%. The company has a record adjusted backlog of $6.1 billion in this segment, and strategic expansions, such as the increased stake in SIMCOM Aviation Training, are expected to further boost recurring revenue streams.
- Strong Performance and New Contract Wins in Defense and Security: The Defense and Security segment is a significant driver of future revenue, demonstrating strong year-over-year growth. Management anticipates more than 20% growth in adjusted segment operating income for fiscal 2026, with a long-term target of 10-11% margins. A robust book-to-sales ratio of 1.99x for FY2025 indicates substantial new business bookings, and the retirement of legacy fixed-price contracts is expected to enhance profitability and allow for a focus on higher-margin opportunities.
- Expansion into Emerging Aviation Technologies (eVTOL): CAE is actively pursuing growth in new and emerging aviation markets through strategic partnerships. Its collaboration with Volocopter GmbH to develop pilot training programs for electric vertical takeoff and landing (eVTOL) operations positions the company to capture revenue from this innovative and evolving sector.
- Leveraging a Substantial and Recurring Backlog: The company benefits from a considerable adjusted backlog, which stood at $11.7 billion as of Q3 FY2024 and C$19.19 billion more recently. With approximately 60% of its annual revenue derived from recurring training services, this extensive backlog provides strong revenue visibility and a stable foundation for consistent future growth as existing contracts are fulfilled and new ones are secured.
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Share Repurchases
- CAE announced the renewal of its Normal Course Issuer Bid (NCIB) to repurchase and cancel up to 16,019,294 common shares, representing approximately 5% of its outstanding shares, from June 10, 2025, to June 9, 2026.
- Under the previous NCIB, which concluded in May 2025, CAE repurchased a total of 856,230 common shares for a total consideration of $21.3 million, at a volume weighted average price of $24.85 per common share.
- Between October 1, 2025, and December 31, 2025, CAE repurchased 44,100 shares for CAD 1.6 million under the NCIB announced on June 6, 2025.
Share Issuance
- In March 2021, CAE completed a marketed public offering, issuing a total of 10,454,545 common shares at a price of US$27.50 per share, generating gross proceeds of approximately US$287 million (CAD$360 million).
- The net proceeds from this offering were primarily intended to finance a portion of the purchase price for the acquisition of L3Harris Technologies' Military Training business.
- CAE also completed private placements totaling C$700 million (approximately US$550 million) in subscription receipts to two institutional investors to fund the L3Harris acquisition.
Inbound Investments
- As part of the funding for the L3Harris Military Training business acquisition in March 2021, the Caisse de dépôt et placement du Québec (CDPQ) and Singapore-based sovereign wealth fund GIC Private Ltd. made a combined private placement of US$550 million in CAE.
- CDPQ's investment of $475 million made it CAE's largest shareholder.
Outbound Investments
- In March 2021, CAE announced and later completed in July 2021, the acquisition of L3Harris Technologies' Military Training business for US$1.05 billion.
- In October 2021, CAE agreed to acquire Sabre Corporation's AirCentre airline operations portfolio for approximately $484.5 million, aimed at expanding CAE's digitally enabled flight and crew operations solutions.
- CAE acquired Global Jet Services, a provider of business aviation maintenance training services, in August 2021.
Capital Expenditures
- CAE's capital expenditures were $127 million in fiscal year 2021, $284 million in fiscal year 2022, $288 million in fiscal year 2023, $147 million in fiscal year 2024, and $295 million in fiscal year 2025.
- For fiscal year 2026, CAE expects total capital expenditures to be more than 10% lower than in fiscal 2025, primarily driven by an approximate 30% reduction in Civil capital expenditures.
- A significant portion of the capital expenditures for fiscal year 2026 is allocated to a large U.S. defense contract and organic growth investments in simulator deployments across CAE's global training network.
Peer Outperformance in Aerospace & Defense
CAE has trailed 77% of its 53 Aerospace & Defense peers over 5Y. Among the peers that beat it are ATI, DCO and RTX. Aerospace & Defense ranks 4th of 23 industries in Industrials by median 5Y return.
Share of Aerospace & Defense constituents that CAE has outperformed, by holding period. Peers without a full price history over a given window are excluded from that window.
1Y
50%
of 70 industry peers · -19.0% return
3Y
27%
of 60 industry peers · -0.6% return
5Y
23%
of 53 industry peers · -23.5% return
Aerospace & Defense peers with revenue growth within 4pp of CAE's that beat it on at least 2 of 3 windows, and by at least 20pp over 5Y. Growth is matched by construction, so the gap is largely a re-rating gap. The multiple column is the context for it.
| Ticker | Name | Rev Growth 3Y Avg | P/E | 1Y | 3Y | 5Y | 5Y Gap |
|---|---|---|---|---|---|---|---|
| CAE | CAE | 6.2% | 25.0x | -19.0% | -0.6% | -23.5% | — |
| ATI | ATI | 4.6% | 53.9x | 124.2% | 370.7% | 1009.9% | +1,033pp |
| DCO | Ducommun | 5.1% | -84.6x | 72.7% | 274.0% | 228.6% | +252pp |
| RTX | RTX | 10.0% | 32.2x | 11.0% | 168.1% | 126.5% | +150pp |
| LMT | Lockheed Martin | 4.6% | 18.6x | 1.4% | 26.0% | 64.1% | +88pp |
| HXL | Hexcel | 5.1% | 42.0x | 30.9% | 30.3% | 43.1% | +67pp |
Price returns, excluding dividends. P/E shown for context only and not used for matching.
Median price return by industry across the Industrials sector, ranked by 5Y. Aerospace & Defense is CAE's own industry. Use this to see which corners of the sector have carried the returns.
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Construction & Engineering | 31 | 0.6% | 121.3% | 191.4% | FIX 2120% · STRL 2118% · CDNL 1828% |
| Marine Transportation | 5 | 102.6% | 68.1% | 165.6% | HOS 40058% · MATX 195% · KEX 166% |
| Construction Machinery & Heavy Transportation Equipment | 13 | -3.9% | 42.7% | 93.9% | CAT 345% · ALSN 230% · WAB 222% |
| Aerospace & Defense ← | 54 | -19.0% | 68.3% | 61.3% | ATI 1010% · FTAI 848% · HWM 614% |
| Industrial Machinery & Supplies & Components | 72 | 8.3% | 42.0% | 45.7% | PSIX 1160% · CRS 1131% · EROC 602% |
| Rail Transportation | 7 | 22.1% | 58.9% | 43.8% | FSTR 127% · CSX 55% · RAIL 46% |
| Trading Companies & Distributors | 19 | 3.2% | 32.3% | 42.1% | DXPE 467% · AIT 261% · URI 218% |
| Cargo Ground Transportation | 16 | 30.1% | 1.3% | 31.9% | XPO 282% · R 219% · CVLG 145% |
| Diversified Support Services | 32 | 4.8% | 25.8% | 26.8% | LIME 3310% · TH 364% · CXW 248% |
| Electrical Components & Equipment | 39 | -0.9% | 56.4% | 26.3% | POWL 2269% · BE 1325% · VRT 992% |
| Building Products | 33 | -15.4% | 1.9% | 16.4% | LMB 723% · GFF 340% · PPIH 261% |
| Industrial Conglomerates | 17 | 6.8% | 2.2% | -2.3% | RCMT 575% · CSW 115% · DD 73% |
| Agricultural & Farm Machinery | 17 | 6.0% | -5.2% | -7.2% | BLBD 178% · DE 103% · GENC 62% |
| Environmental & Facilities Services | 30 | -37.6% | 17.9% | -8.5% | CECO 819% · ADUR 406% · NVRI 321% |
| Research & Consulting Services | 13 | -5.5% | -26.5% | -12.4% | HURN 229% · CRAI 76% · GRNQ 30% |
| Passenger Ground Transportation | 3 | -24.8% | 46.8% | -16.2% | UBER 47% · CAR -16% · LYFT -71% |
| Security & Alarm Services | 9 | -43.0% | 33.6% | -16.6% | CIX 165% · MG 113% · BCO 70% |
| Data Processing & Outsourced Services | 6 | -31.1% | -11.5% | -23.6% | EXLS 46% · BR 7% · G -22% |
| Office Services & Supplies | 9 | 21.8% | 18.3% | -24.8% | PBI 184% · TILE 125% · HNI 47% |
| Passenger Airlines | 11 | 9.0% | 21.7% | -33.9% | LTM 3351% · UAL 119% · DAL 96% |
| Air Freight & Logistics | 12 | -25.8% | -27.6% | -36.5% | FDX 80% · EXPD 80% · CHRW 76% |
| Human Resource & Employment Services | 22 | 8.2% | -19.5% | -41.3% | BBSI 67% · ADP 47% · KFY 6% |
| Airport Services | 3 | -76.3% | -78.7% | -71.6% | JOBY -37% · ASLE -72% · UP -100% |
Median of constituents with a full price history over each window. Top names are unfiltered by size in this render.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| How Low Can CAE Stock Really Go? | 10/17/2025 | |
| Fundamental Metrics: ... | 06/19/2024 |
| Title | |
|---|---|
| ARTICLES |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 130.18 |
| Mkt Cap | 28.3 |
| Rev LTM | 19,116 |
| Op Inc LTM | 828 |
| FCF LTM | 724 |
| FCF 3Y Avg | 559 |
| CFO LTM | 2,264 |
| CFO 3Y Avg | 967 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 8.0% |
| Rev Chg 3Y Avg | 7.4% |
| Rev Chg Q | 8.2% |
| QoQ Delta Rev Chg LTM | 2.0% |
| Op Inc Chg LTM | 18.5% |
| Op Inc Chg 3Y Avg | 7.8% |
| Op Mgn LTM | 8.4% |
| Op Mgn 3Y Avg | 8.4% |
| QoQ Delta Op Mgn LTM | 0.1% |
| CFO/Rev LTM | 10.8% |
| CFO/Rev 3Y Avg | 9.3% |
| FCF/Rev LTM | 8.1% |
| FCF/Rev 3Y Avg | 6.7% |
Segment Financials
Revenue by Segment| $ Mil | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Civil Aviation | 2,742 | 2,709 | 2,436 | 2,166 | 1,618 |
| Defense and Security | 2,172 | 1,999 | 1,847 | 1,844 | 1,602 |
| Healthcare | 151 | ||||
| Total | 4,914 | 4,708 | 4,283 | 4,011 | 3,371 |
| $ Mil | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Civil Aviation | 438 | 605 | 442 | 430 | 224 |
| Defense and Security | 174 | 124 | -627 | 36 | 56 |
| Healthcare | 4 | ||||
| Total | 612 | 729 | -185 | 466 | 284 |
| $ Mil | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Civil Aviation | 6,896 | 7,263 | 6,132 | 5,852 | 5,270 |
| Defense and Security | 3,046 | 3,001 | 2,869 | 3,436 | 3,163 |
| Assets not included in assets employed by segment | 1,205 | 950 | 833 | 1,148 | 877 |
| Healthcare | 269 | ||||
| Total | 11,148 | 11,214 | 9,834 | 10,436 | 9,579 |
Price Behavior
Price Behavior
| Market Price | $23.15 | |
| Market Cap ($ Bil) | 7.2 | |
| First Trading Date | 01/10/1996 | |
| Distance from 52W High | -32.0% | |
| 50 Days | 200 Days | |
| DMA Price | $24.93 | $27.13 |
| DMA Trend | down | down |
| Distance from DMA | -7.2% | -14.7% |
| 3M | 1YR | |
| Volatility | 28.4% | 32.6% |
| Downside Capture | 153.48 | 122.23 |
| Upside Capture | 71.52 | 76.82 |
| Correlation (SPY) | 30.3% | 36.9% |
CAE Betas & Captures as of 9/30/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 2.01 | 1.51 | 0.96 | 0.51 | 0.93 | 0.95 |
| Up Beta | 2.76 | 1.40 | 0.47 | 0.88 | 0.91 | 0.86 |
| Down Beta | 1.85 | 2.51 | 0.47 | 0.22 | 0.82 | 1.05 |
| Up Capture | 202% | 111% | 106% | 23% | 68% | 64% |
| Bmk +ve Days | 6 | 16 | 27 | 66 | 132 | 424 |
| Stock +ve Days | 10 | 19 | 30 | 57 | 123 | 390 |
| Down Capture | 182% | 197% | 141% | 71% | 113% | 102% |
| Bmk -ve Days | 16 | 26 | 37 | 60 | 120 | 328 |
| Stock -ve Days | 12 | 23 | 34 | 69 | 129 | 352 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CAE | |
|---|---|---|---|---|
| CAE | -18.8% | 32.5% | -0.61 | - |
| Sector ETF (XLI) | 10.2% | 17.4% | 0.39 | 39.5% |
| Equity (SPY) | 16.7% | 13.0% | 0.91 | 37.0% |
| Gold (GLD) | 3.4% | 29.6% | 0.11 | 20.5% |
| Commodities (DBC) | 45.0% | 20.9% | 1.67 | -20.8% |
| Real Estate (VNQ) | 2.8% | 13.7% | -0.05 | 28.6% |
| Bitcoin (BTCUSD) | -31.7% | 44.2% | -0.73 | 30.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CAE | |
|---|---|---|---|---|
| CAE | -5.3% | 36.3% | -0.07 | - |
| Sector ETF (XLI) | 13.1% | 17.6% | 0.57 | 52.7% |
| Equity (SPY) | 14.0% | 17.1% | 0.63 | 54.8% |
| Gold (GLD) | 18.2% | 18.9% | 0.78 | 11.2% |
| Commodities (DBC) | 10.3% | 19.6% | 0.40 | 8.1% |
| Real Estate (VNQ) | 1.3% | 18.8% | -0.04 | 43.8% |
| Bitcoin (BTCUSD) | 13.7% | 52.2% | 0.43 | 25.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CAE | |
|---|---|---|---|---|
| CAE | 5.2% | 37.6% | 0.25 | - |
| Sector ETF (XLI) | 13.1% | 20.1% | 0.57 | 58.9% |
| Equity (SPY) | 15.4% | 17.9% | 0.73 | 55.1% |
| Gold (GLD) | 11.6% | 16.4% | 0.58 | 6.1% |
| Commodities (DBC) | 8.3% | 18.1% | 0.37 | 20.1% |
| Real Estate (VNQ) | 4.2% | 20.7% | 0.16 | 50.2% |
| Bitcoin (BTCUSD) | 63.6% | 66.2% | 1.03 | 17.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 6/3/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/12/2026 | 6-K |
| 03/31/2026 | 06/22/2026 | 40-F |
| 12/31/2025 | 02/12/2026 | 6-K |
| 09/30/2025 | 11/12/2025 | 6-K |
| 06/30/2025 | 08/12/2025 | 6-K |
| 03/31/2025 | 06/20/2025 | 40-F |
| 12/31/2024 | 02/13/2025 | 6-K |
| 09/30/2024 | 11/12/2024 | 6-K |
| 06/30/2024 | 08/13/2024 | 6-K |
| 03/31/2024 | 06/21/2024 | 40-F |
| 12/31/2023 | 02/14/2024 | 6-K |
| 09/30/2023 | 11/14/2023 | 6-K |
| 06/30/2023 | 08/09/2023 | 6-K |
| 03/31/2023 | 06/22/2023 | 40-F |
| 12/31/2022 | 02/14/2023 | 6-K |
| 09/30/2022 | 11/10/2022 | 6-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/12/2026 | 6-K |
| 03/31/2026 | 06/22/2026 | 40-F |
| 12/31/2025 | 02/12/2026 | 6-K |
| 09/30/2025 | 11/12/2025 | 6-K |
| 06/30/2025 | 08/12/2025 | 6-K |
| 03/31/2025 | 06/20/2025 | 40-F |
| 12/31/2024 | 02/13/2025 | 6-K |
| 09/30/2024 | 11/12/2024 | 6-K |
| 06/30/2024 | 08/13/2024 | 6-K |
| 03/31/2024 | 06/21/2024 | 40-F |
| 12/31/2023 | 02/14/2024 | 6-K |
| 09/30/2023 | 11/14/2023 | 6-K |
| 06/30/2023 | 08/09/2023 | 6-K |
| 03/31/2023 | 06/22/2023 | 40-F |
| 12/31/2022 | 02/14/2023 | 6-K |
| 09/30/2022 | 11/10/2022 | 6-K |
| 06/30/2022 | 08/10/2022 | 6-K |
| 03/31/2022 | 06/23/2022 | 40-F |
| 12/31/2021 | 02/11/2022 | 6-K |
| 09/30/2021 | 11/12/2021 | 6-K |
| 06/30/2021 | 08/11/2021 | 6-K |
| 03/31/2021 | 06/23/2021 | 40-F |
| 12/31/2020 | 02/12/2021 | 6-K |
| 09/30/2020 | 11/10/2020 | 6-K |
| 06/30/2020 | 08/12/2020 | 6-K |
| 03/31/2020 | 06/26/2020 | 40-F |
| 12/31/2019 | 02/07/2020 | 6-K |
| 09/30/2019 | 11/13/2019 | 6-K |
Investor Activity (13F)
Updated Oct 9, 202613F holdings as of Mar 31, 2026 (Q1 2026)
Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
| Active Manager |
|---|
CAE — Investor Video Playlist
Products & Services
Flight Management: Flightscape — Powered by CAE
Products & Services
CAE at NBAA 2025 - Simcom by CAE
Investor / Analyst
CAE FY25 Highlights
Leadership
Talk on Sustainability in Business Aviation at the NBAA 2023
Products & Services
CAE Pueblo Training Center I The Gateway to Air Force Aviation
Products & Services
CAE Prodigy Image Generator
Leadership
From Cadets to CAE: Marc Parent // De cadets à CAE : Marc Parent
Industry Resources
| Industrials Resources |
| IndustryWeek |
| Manufacturing.net |
| Aviation Week |
| Aerospace & Defense Resources |
| Defense News |
| FlightGlobal |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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Core Cache Last Updated: 10/8/2026