CAE (NYSE:CAE) Upgraded by Wall Street Zen to "Buy" Rating

Key Points

• Wall Street Zen upgraded CAE from “hold” to “buy,” adding to a mostly positive analyst backdrop for the aerospace training company.
• CAE recently beat quarterly expectations, posting EPS of $0.31 versus $0.30 expected and revenue of $953.79 million versus $924.83 million expected, with revenue up 4% year over year.
• Despite the upgrade, analyst sentiment remains mixed: the stock carries a Moderate Buy consensus with a $32 average price target, while some firms have trimmed estimates or lowered price targets.

CAE (NYSE:CAE - Get Free Report) TSE: CAE was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a note issued to investors on Saturday.

Other equities research analysts also recently issued reports about the stock. TD Securities restated a "buy" rating on shares of CAE in a research report on Tuesday, February 17th. Stifel Nicolaus initiated coverage on shares of CAE in a research report on Wednesday, March 4th. They set a "buy" rating for the company. Jefferies Financial Group cut their price objective on shares of CAE from $31.00 to $27.00 and set a "hold" rating for the company in a research report on Friday, April 17th. Canaccord Genuity Group initiated coverage on shares of CAE in a research report on Friday, March 13th. They set a "buy" rating for the company. Finally, Zacks Research upgraded shares of CAE from a "strong sell" rating to a "hold" rating in a research report on Wednesday, May 13th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $32.00.

CAE Trading Up 0.6%

Shares of CAE stock opened at $25.81 on Friday. The firm has a 50 day moving average price of $26.18 and a two-hundred day moving average price of $28.55. The company has a quick ratio of 0.77, a current ratio of 0.96 and a debt-to-equity ratio of 0.55. The company has a market capitalization of $8.30 billion, a PE ratio of 36.35, a price-to-earnings-growth ratio of 2.99 and a beta of 1.03. CAE has a 12-month low of $22.76 and a 12-month high of $34.24.

CAE (NYSE:CAE - Get Free Report) TSE: CAE last issued its quarterly earnings data on Thursday, May 21st. The aerospace company reported $0.31 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.30 by $0.01. The firm had revenue of $953.79 million during the quarter, compared to the consensus estimate of $924.83 million. CAE had a net margin of 6.36% and a return on equity of 7.45%. The business's revenue for the quarter was up 4.0% compared to the same quarter last year. During the same period last year, the business posted $0.47 earnings per share. CAE has set its FY 2027 guidance at 0.880-0.930 EPS. As a group, analysts predict that CAE will post 0.88 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. State of Wyoming increased its stake in CAE by 2.8% in the 4th quarter. State of Wyoming now owns 13,007 shares of the aerospace company's stock valued at $396,000 after buying an additional 352 shares during the last quarter. Sanctuary Advisors LLC increased its stake in CAE by 3.0% in the 4th quarter. Sanctuary Advisors LLC now owns 12,596 shares of the aerospace company's stock valued at $383,000 after buying an additional 371 shares during the last quarter. Sequoia Financial Advisors LLC increased its stake in CAE by 0.8% in the 1st quarter. Sequoia Financial Advisors LLC now owns 50,271 shares of the aerospace company's stock valued at $1,310,000 after buying an additional 399 shares during the last quarter. United Services Automobile Association increased its stake in CAE by 4.5% in the 1st quarter. United Services Automobile Association now owns 10,822 shares of the aerospace company's stock valued at $265,000 after buying an additional 462 shares during the last quarter. Finally, Lansforsakringar Fondforvaltning AB publ increased its stake in CAE by 0.8% in the 3rd quarter. Lansforsakringar Fondforvaltning AB publ now owns 59,684 shares of the aerospace company's stock valued at $1,768,000 after buying an additional 489 shares during the last quarter. 67.36% of the stock is owned by institutional investors.

Key Stories Impacting CAE

Here are the key news stories impacting CAE this week:

• Positive Sentiment: National Bank Financial kept an Outperform rating on CAE, suggesting the firm still sees upside despite trimming near-term forecasts.
• Neutral Sentiment: A new article compared BAE Systems and CAE, but it appears to be a valuation/peer comparison rather than a company-specific catalyst. Comparing Bae Systems OTCMKTS: BAESY & CAE NYSE: CAE
• Neutral Sentiment: RBC Capital reportedly remained at Hold on CAE, while also cutting its price target, which reinforces a cautious but not outright bearish stance. RBC Capital Remains a Hold on CAE (CAE)
• Negative Sentiment: National Bank Financial cut earnings estimates across multiple periods, including Q1 2027, Q3 2027, Q4 2027, Q1 2028, Q2 2028, Q3 2028, Q4 2028, FY2027, and FY2028. Lower forward EPS estimates can weigh on the stock even though the broker still has an Outperform rating.
• Negative Sentiment: RBC’s reported price-target reduction adds to the recent analyst caution and may be contributing to weaker sentiment around CAE. RBC chops price target on CAE

CAE Company Profile

CAE Inc is a global leader in training and simulation technologies, headquartered in Montréal, Canada. The company specializes in the design and manufacture of high-fidelity flight simulators and training systems for civil aviation, defense and security, and healthcare markets. Leveraging advanced software and hardware integration, CAE delivers comprehensive training solutions that address pilot proficiency, mission readiness and patient safety across a wide range of platforms.

In civil aviation, CAE partners with major airlines, aircraft manufacturers and flight schools to provide pilot training services, courseware development and crew scheduling solutions.

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