Scotiabank Has Negative Outlook of CAE FY2027 Earnings

CAE Inc (NYSE:CAE) (TSE:CAE) – Scotiabank lowered their FY2027 earnings estimates for CAE in a research note issued on Thursday, July 23rd. Scotiabank analyst K. Gupta now anticipates that the aerospace company will post earnings per share of $0.86 for the year, down from their prior forecast of $0.91. The consensus estimate for CAE’s current full-year earnings is $0.87 per share.

CAE (NYSE:CAE) (TSE:CAE) last announced its quarterly earnings data on Thursday, May 21st. The aerospace company reported $0.31 earnings per share for the quarter, beating analysts’ consensus estimates of $0.30 by $0.01. CAE had a return on equity of 7.45% and a net margin of 6.36%.The company had revenue of $953.79 million for the quarter, compared to analyst estimates of $924.83 million. During the same quarter in the previous year, the company earned $0.47 EPS. The firm’s revenue for the quarter was up 4.0% compared to the same quarter last year. CAE has set its FY 2027 guidance at 0.880-0.930 EPS.

Other research analysts have also issued research reports about the company. Wall Street Zen lowered CAE from a “buy” rating to a “hold” rating in a report on Saturday, June 20th. Zacks Research raised CAE from a “strong sell” rating to a “hold” rating in a report on Wednesday, May 13th. Jefferies Financial Group restated a “hold” rating and set a $26.00 target price on shares of CAE in a research report on Thursday, June 25th. Morgan Stanley cut shares of CAE from an “equal weight” rating to an “underweight” rating in a research note on Wednesday, July 15th. Finally, Royal Bank Of Canada cut their price target on shares of CAE from $42.00 to $36.00 and set a “sector perform” rating for the company in a report on Tuesday, May 26th. Five analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $31.00.

CAE Stock Performance

Shares of CAE stock opened at $25.80 on Monday. The company has a current ratio of 0.96, a quick ratio of 0.77 and a debt-to-equity ratio of 0.55. The stock has a 50 day simple moving average of $25.22 and a 200-day simple moving average of $27.63. The company has a market cap of $8.29 billion, a price-to-earnings ratio of 36.34, a price-to-earnings-growth ratio of 2.85 and a beta of 1.01. CAE has a 12-month low of $22.76 and a 12-month high of $34.24.

Hedge Funds Weigh In On CAE

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Transamerica Financial Advisors LLC boosted its position in CAE by 170.7% during the fourth quarter. Transamerica Financial Advisors LLC now owns 1,267 shares of the aerospace company’s stock worth $39,000 after purchasing an additional 799 shares in the last quarter. Kestra Advisory Services LLC acquired a new position in shares of CAE during the 4th quarter worth $41,000. CIBC Private Wealth Group LLC acquired a new position in shares of CAE during the 3rd quarter worth $42,000. Brown Brothers Harriman & Co. purchased a new stake in shares of CAE in the 4th quarter worth about $47,000. Finally, Purpose Unlimited Inc. purchased a new stake in shares of CAE in the 4th quarter worth about $74,000. 67.36% of the stock is owned by institutional investors and hedge funds.

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.