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CAE

DB:CE9
Snowflake Description

Average dividend payer with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CE9
DB
CA$9B
Market Cap
  1. Home
  2. DE
  3. Capital Goods
Company description

CAE Inc., together with its subsidiaries, provides training solutions for the civil aviation, defence and security, and healthcare markets worldwide. The last earnings update was 59 days ago. More info.


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CE9 Share Price and Events
7 Day Returns
0%
DB:CE9
0.8%
Europe Aerospace & Defense
2.5%
DE Market
1 Year Returns
40.6%
DB:CE9
11.7%
Europe Aerospace & Defense
2.6%
DE Market
CE9 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CAE (CE9) 0% -3.4% -8.1% 40.6% 71.3% 126%
Europe Aerospace & Defense 0.8% -2.9% 0.9% 11.7% 67.1% 114.9%
DE Market 2.5% 0.2% 1% 2.6% 7.8% 23.7%
1 Year Return vs Industry and Market
  • CE9 outperformed the Aerospace & Defense industry which returned 11.7% over the past year.
  • CE9 outperformed the Market in Germany which returned 2.6% over the past year.
Price Volatility
CE9
Industry
5yr Volatility vs Market

Value

 Is CAE undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of CAE to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for CAE.

DB:CE9 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.4%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:CE9
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Aerospace & Defense Unlevered Beta Simply Wall St/ S&P Global 0.86
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.864 (1 + (1- 26.5%) (30.16%))
1.037
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.04
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.037 * 5.96%)
6.41%

Discounted Cash Flow Calculation for DB:CE9 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CAE is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:CE9 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 6.41%)
2020 296.00 Analyst x5 278.17
2021 375.67 Analyst x6 331.77
2022 428.00 Analyst x3 355.23
2023 464.21 Est @ 8.46% 362.07
2024 492.02 Est @ 5.99% 360.65
2025 512.99 Est @ 4.26% 353.37
2026 528.65 Est @ 3.05% 342.22
2027 540.30 Est @ 2.2% 328.70
2028 549.01 Est @ 1.61% 313.88
2029 555.58 Est @ 1.2% 298.50
Present value of next 10 years cash flows CA$3,324.00
DB:CE9 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$555.58 × (1 + 0.23%) ÷ (6.41% – 0.23%)
CA$9,008.52
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$9,008.52 ÷ (1 + 6.41%)10
CA$4,840.13
DB:CE9 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$3,324.00 + CA$4,840.13
CA$8,164.13
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$8,164.13 / 266.22
CA$30.67
DB:CE9 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:CE9 represents 0.67053x of TSX:CAE
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.67053x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 30.67 x 0.67053
€20.56
Value per share (EUR) From above. €20.56
Current discount Discount to share price of €22.00
= -1 x (€22.00 - €20.56) / €20.56
-7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of CAE is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for CAE's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CAE's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:CE9 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in CAD CA$1.21
TSX:CAE Share Price ** TSX (2019-10-11) in CAD CA$32.81
Europe Aerospace & Defense Industry PE Ratio Median Figure of 36 Publicly-Listed Aerospace & Defense Companies 21.4x
Germany Market PE Ratio Median Figure of 417 Publicly-Listed Companies 19.72x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of CAE.

DB:CE9 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:CAE Share Price ÷ EPS (both in CAD)

= 32.81 ÷ 1.21

27.11x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CAE is overvalued based on earnings compared to the Europe Aerospace & Defense industry average.
  • CAE is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does CAE's expected growth come at a high price?
Raw Data
DB:CE9 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 27.11x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
12%per year
Europe Aerospace & Defense Industry PEG Ratio Median Figure of 26 Publicly-Listed Aerospace & Defense Companies 1.59x
Germany Market PEG Ratio Median Figure of 264 Publicly-Listed Companies 1.38x

*Line of best fit is calculated by linear regression .

DB:CE9 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 27.11x ÷ 12%

2.25x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CAE is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on CAE's assets?
Raw Data
DB:CE9 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in CAD CA$8.59
TSX:CAE Share Price * TSX (2019-10-11) in CAD CA$32.81
Europe Aerospace & Defense Industry PB Ratio Median Figure of 49 Publicly-Listed Aerospace & Defense Companies 1.96x
Germany Market PB Ratio Median Figure of 597 Publicly-Listed Companies 1.74x
DB:CE9 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:CAE Share Price ÷ Book Value per Share (both in CAD)

= 32.81 ÷ 8.59

3.82x

* Primary Listing of CAE.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CAE is overvalued based on assets compared to the Europe Aerospace & Defense industry average.
X
Value checks
We assess CAE's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Aerospace & Defense industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Aerospace & Defense industry average (and greater than 0)? (1 check)
  5. CAE has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is CAE expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CAE expected to grow at an attractive rate?
  • CAE's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • CAE's earnings growth is positive but not above the Germany market average.
  • CAE's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:CE9 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:CE9 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts 12%
DB:CE9 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 5.9%
Europe Aerospace & Defense Industry Earnings Growth Rate Market Cap Weighted Average 14.2%
Europe Aerospace & Defense Industry Revenue Growth Rate Market Cap Weighted Average 4.3%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:CE9 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:CE9 Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 4,132 723 449 3
2021-03-31 3,977 666 417 8
2020-03-31 3,742 597 364 8
2019-10-12
DB:CE9 Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-06-30 3,408 501 322
2019-03-31 3,304 530 330
2018-12-31 3,010 502 291
2018-09-30 3,021 472 357
2018-06-30 2,889 392 356
2018-03-31 2,824 403 346
2017-12-31 2,837 463 331
2017-09-30 2,692 432 255
2017-06-30 2,709 391 243
2017-03-31 2,705 464 252
2016-12-31 2,692 318 246
2016-09-30 2,626 377 236

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CAE's earnings are expected to grow by 12% yearly, however this is not considered high growth (20% yearly).
  • CAE's revenue is expected to grow by 5.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:CE9 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from CAE Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CE9 Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31 1.69 1.70 1.67 2.00
2021-03-31 1.56 1.63 1.52 5.00
2020-03-31 1.35 1.40 1.31 5.00
2019-10-12
DB:CE9 Past Financials Data
Date (Data in CAD Millions) EPS *
2019-06-30 1.21
2019-03-31 1.24
2018-12-31 1.09
2018-09-30 1.33
2018-06-30 1.33
2018-03-31 1.29
2017-12-31 1.23
2017-09-30 0.95
2017-06-30 0.90
2017-03-31 0.94
2016-12-31 0.91
2016-09-30 0.88

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • CAE is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess CAE's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
CAE has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has CAE performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare CAE's growth in the last year to its industry (Aerospace & Defense).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • CAE's year on year earnings growth rate has been positive over the past 5 years.
  • CAE's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • CAE's 1-year earnings growth is negative, it can't be compared to the Europe Aerospace & Defense industry average.
Earnings and Revenue History
CAE's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from CAE Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CE9 Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 3,407.70 322.10 431.60 102.00
2019-03-31 3,304.10 330.00 420.90 101.40
2018-12-31 3,009.50 291.00 409.70 114.30
2018-09-30 3,021.40 357.20 406.70 113.00
2018-06-30 2,889.30 355.80 393.60 113.90
2018-03-31 2,823.50 346.00 385.70 114.90
2017-12-31 2,837.30 331.10 383.00 123.40
2017-09-30 2,691.80 254.90 374.40 122.40
2017-06-30 2,709.10 242.90 383.70 118.30
2017-03-31 2,704.50 252.00 369.60 111.00
2016-12-31 2,692.30 245.80 349.10 106.20
2016-09-30 2,625.90 236.10 340.70 97.40
2016-06-30 2,607.20 263.10 325.70 91.80
2016-03-31 2,512.60 239.30 317.00 87.60
2015-12-31 2,421.70 241.40 297.30 80.60
2015-09-30 2,364.50 235.60 286.40 74.20
2015-06-30 2,277.10 202.30 277.60 70.50
2015-03-31 2,246.30 201.20 269.50 64.10
2014-12-31 2,190.40 197.80 270.20 64.10
2014-09-30 2,135.20 191.20 261.40 66.50
2014-06-30 2,084.00 187.40 260.70 64.80
2014-03-31 2,077.90 188.30 264.50 67.70
2013-12-31 2,067.80 171.50 260.00 66.20
2013-09-30 2,064.80 163.50 263.80 64.10
2013-06-30 2,093.10 160.90 270.10 63.50
2013-03-31 2,035.20 137.70 269.60 60.10
2012-12-31 1,976.30 147.80 274.60 53.80

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • CAE has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CAE used its assets more efficiently than the Europe Aerospace & Defense industry average last year based on Return on Assets.
  • CAE's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess CAE's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Aerospace & Defense industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
CAE has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is CAE's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up CAE's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CAE is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CAE's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of CAE's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from CAE Company Filings, last reported 3 months ago.

DB:CE9 Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 2,366.10 2,634.70 322.00
2019-03-31 2,410.00 2,069.00 446.10
2018-12-31 2,368.80 1,347.40 361.70
2018-09-30 2,282.60 1,299.40 504.30
2018-06-30 2,315.60 1,311.60 500.10
2018-03-31 2,297.50 1,115.50 611.50
2017-12-31 2,185.70 1,242.40 530.80
2017-09-30 2,111.70 1,210.80 541.00
2017-06-30 2,125.30 1,236.20 431.90
2017-03-31 2,081.00 1,082.10 504.70
2016-12-31 2,025.50 1,270.60 416.80
2016-09-30 1,951.50 1,266.00 343.30
2016-06-30 1,905.50 1,225.30 345.00
2016-03-31 1,940.30 1,106.50 485.60
2015-12-31 1,945.50 1,336.30 541.40
2015-09-30 1,861.00 1,313.80 377.00
2015-06-30 1,740.40 1,291.20 284.40
2015-03-31 1,686.40 1,098.60 330.20
2014-12-31 1,565.90 1,235.30 263.60
2014-09-30 1,503.30 1,276.30 277.80
2014-06-30 1,474.90 1,182.40 280.80
2014-03-31 1,482.20 1,009.30 312.30
2013-12-31 1,390.10 1,152.80 266.30
2013-09-30 1,281.90 1,097.30 286.90
2013-06-30 1,235.50 1,156.70 258.90
2013-03-31 1,146.40 930.90 260.00
2012-12-31 1,103.20 1,270.40 305.00
  • CAE's level of debt (100.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (69.4% vs 100.4% today).
  • Debt is well covered by operating cash flow (21.1%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6x coverage).
X
Financial health checks
We assess CAE's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. CAE has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is CAE's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.34%
Current annual income from CAE dividends. Estimated to be 1.43% next year.
If you bought €2,000 of CAE shares you are expected to receive €27 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • CAE's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.46%).
  • CAE's dividend is below the markets top 25% of dividend payers in Germany (3.86%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:CE9 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
Europe Aerospace & Defense Industry Average Dividend Yield Market Cap Weighted Average of 30 Stocks 1.7%
Germany Market Average Dividend Yield Market Cap Weighted Average of 337 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:CE9 Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2022-03-31 0.53 2.00
2021-03-31 0.48 4.00
2020-03-31 0.43 4.00
2019-10-12
DB:CE9 Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2019-08-14 0.440 1.314
2019-05-17 0.400 1.137
2019-02-08 0.400 1.349
2018-11-13 0.400 1.518
2018-08-14 0.400 1.585
2018-05-25 0.360 1.321
2017-11-10 0.360 1.537
2017-08-10 0.360 1.694
2017-02-14 0.320 1.515
2016-11-10 0.320 1.688
2016-08-11 0.320 1.720
2016-08-10 0.320 1.793
2016-05-19 0.300 1.819
2016-02-11 0.300 2.011
2016-02-10 0.300 2.227
2015-08-12 0.300 2.046
2015-05-26 0.280 1.879
2015-02-09 0.280 1.868
2014-11-12 0.280 1.859
2014-08-13 0.280 2.017
2014-02-11 0.240 1.653
2013-11-13 0.240 1.824
2013-08-08 0.200 1.749
2013-05-21 0.198 1.786
2013-02-13 0.200 1.928
2012-11-08 0.200 1.959
2012-08-09 0.200 1.927
2012-05-23 0.160 1.606
2012-02-08 0.160 1.534
2011-11-10 0.160 1.573
2011-08-10 0.160 1.570
2011-05-19 0.160 1.290
2011-02-15 0.160 1.267
2010-11-10 0.160 1.352
2010-08-11 0.160 1.503
2010-05-13 0.120 1.248
2010-02-10 0.120 1.265
2009-11-13 0.120 1.378
2009-11-11 0.120 1.384
2009-05-14 0.120 1.532
2008-11-13 0.120 1.659

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of CAE's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.2x coverage).
X
Income/ dividend checks
We assess CAE's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can CAE afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CAE has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of CAE's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Marc Parent
COMPENSATION CA$7,545,220
AGE 58
TENURE AS CEO 10 years
CEO Bio

Mr. Marc Parent has been the Chief Executive Officer and President of CAE Inc. since October 2009 and its Director since November 2008. Mr. Parent joined CAE in February 2005 as Group President, Simulation Products, responsible for the CAE’s civil simulation products business as well as the design, manufacture and support of products for civil and military training businesses. He served as Group President, Simulation Products and Military Training & Services of CAE Inc. since May 2006. He served as an Executive Vice President and Chief Operating Officer of CAE Inc. from November 2008 to September 30, 2009, responsible for all four of CAE’s business segments and new growth initiatives. He was Chief Executive Officer and President of Parc Aviation Limited. Mr. Parent has more than 30 years of experience in the aerospace industry. He started his career in 1984 with Canadair as an engineer on the Challenger and Canadair regional jet programs. Beginning in 1993, he held positions of increasing scope in aircraft product development, starting as head of the Challenger 604 program development team; in 1995, he headed the Q400 turboprop aircraft development program; and in 1998, he was promoted to Vice President, Program Management, with responsibilities covering all Bombardier aircraft development programs. From 2000 to 2004, Mr. Parent held numerous executive positions within Bombardier Aerospace, leading a number of facilities and product lines. In 2000, he held the position of Vice President, Operations, at Bombardier’s de Havilland site in Toronto; in 2001, he was promoted to Vice President and General Manager of Operations of the Toronto facility; in 2003, he held the position of Vice President and General Manager, U.S. Operations, with responsibilities encompassing Learjet facilities in Wichita and Tucson; and in March 2004, he returned to Montreal as Vice President and General Manager of Challenger 300, 604 and 850/870 programs as well as the CRJ 200 Regional Aircraft product line. He has been Director of TELUS Corporation since November 2017. Mr. Parent served as Chairman of the Board for Aero Montreal from October 2008 to April 2010. He served as Chairman of the Board of Aerospace Industries Association of Canada from September 2009 to August 2010. Mr. Parent has been a Director of CAE Inc. since November 2008. He is a past member of the Board of Directors and Executive Committee of the Canadian Association of Defense and Security Industries (CADSI) since March 2008. He is Member of the Board of Directors and Executive Committee of the Aerospace Industries Association of Canada (AIAC) since October 2007. He serves as Director of Aero Montreal. Mr. Parent was honoured in 1999 as one of “Canada’s Top 40 under 40” leaders. He was also selected as a 2010 Fellow of SAE International for his leadership and contributions in aircraft product development and for his successes at Bombardier and CAE. He serves as Director of Business Council of Canada since January 2016 and McGill University Health Centre Foundation since April 2018. He received the 2005 Society of Automotive Engineers (SAE) Aerospace Engineering Leadership Award and is a past recipient of the SAE Forest R. McFarland award. In February 2011, Marc Parent was named Canadian Defense Review’s first ever Defense Executive of the Year. Mr. Parent is an active pilot holding an Airline Transport Pilot License (ATPL) from Transport Canada. A native of Montreal, he is a graduate of mechanical engineering from Montreal’s École Polytechnique and of the Harvard Business School’s Advanced Management Program. In 2016, he was awarded the Prix Mérite 2016 of the Association of Polytechnique de Montréal Graduates. Mr. Parent was awarded an Honorary Doctorate by the École Polytechnique de Montréal for his contributions to the aerospace industry in Montreal and internationally.

CEO Compensation
  • Marc's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Marc's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the CAE management team in years:

4.7
Average Tenure
  • The tenure for the CAE management team is about average.
Management Team

Marc Parent

TITLE
President
COMPENSATION
CA$8M
AGE
58
TENURE
10 yrs

Sonya Branco

TITLE
VP of Finance & CFO
COMPENSATION
CA$3M
TENURE
3.4 yrs

Mark Hounsell

TITLE
General Counsel
COMPENSATION
CA$2M
TENURE
3.7 yrs

Nick Leontidis

TITLE
Group President of Civil Aviation Training Solutions
COMPENSATION
CA$3M
TENURE
13.4 yrs

Gene Colabatistto

TITLE
Group President of Defence & Security
COMPENSATION
CA$4M
TENURE
7.3 yrs

Pascal Grenier

TITLE
Vice President of Global Operations
TENURE
2.3 yrs

Andrew Arnovitz

TITLE
Vice President of Investor Relations & Strategy
TENURE
12.8 yrs

Hélène Gagnon

TITLE
Vice President of Public Affairs & Global Communications
TENURE
4.7 yrs

Dan Sharkey

TITLE
Vice President of Global Human Resources
TENURE
4.7 yrs

Mario Pizzolongo

TITLE
Treasurer
TENURE
3.8 yrs
Board of Directors Tenure

Average tenure and age of the CAE board of directors in years:

3.4
Average Tenure
60.5
Average Age
  • The tenure for the CAE board of directors is about average.
Board of Directors

John Manley

TITLE
Chairman of Board
COMPENSATION
CA$264K
AGE
69
TENURE
1.2 yrs

Marc Parent

TITLE
President
COMPENSATION
CA$8M
AGE
58
TENURE
10.9 yrs

Michael Fortier

TITLE
Independent Director
COMPENSATION
CA$192K
AGE
57
TENURE
9.2 yrs

Andy Stevens

TITLE
Independent Director
COMPENSATION
CA$197K
AGE
63
TENURE
6.8 yrs

Alan MacGibbon

TITLE
Independent Director
COMPENSATION
CA$202K
AGE
63
TENURE
4.4 yrs

Peg Billson

TITLE
Independent Director
COMPENSATION
CA$183K
AGE
57
TENURE
4.2 yrs

François Olivier

TITLE
Independent Director
COMPENSATION
CA$183K
AGE
54
TENURE
2.7 yrs

Michael Roach

TITLE
Independent Director
COMPENSATION
CA$177K
AGE
67
TENURE
1.9 yrs

Norty Schwartz

TITLE
Independent Director
AGE
67
TENURE
1.2 yrs

Marianne Harrison

TITLE
Independent Director
AGE
55
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
12. Jun 19 Buy Sonya Branco Individual 10. Jun 19 10. Jun 19 3,200 €22.85 €73,117
12. Jun 19 Sell Andrew Arnovitz Individual 07. Jun 19 07. Jun 19 -11,000 €22.90 €-251,954
05. Jun 19 Sell Nick Leontidis Individual 31. May 19 31. May 19 -22,125 €22.77 €-503,888
05. Jun 19 Buy Nick Leontidis Individual 05. Jun 19 05. Jun 19 7,050 €23.54 €165,980
24. May 19 Buy Sonya Branco Individual 22. May 19 22. May 19 2,965 €23.08 €68,404
22. Mar 19 Buy Mark Hounsell Individual 20. Mar 19 20. Mar 19 6,500 €19.62 €127,534
27. Feb 19 Buy Marc Parent Individual 26. Feb 19 26. Feb 19 21,210 €18.71 €396,925
01. Jan 19 Buy Gennaro Colabatistto Individual 27. Dec 18 27. Dec 18 9,710 €11.59 €112,484
27. Nov 18 Buy Nick Leontidis Individual 27. Nov 18 27. Nov 18 10,000 €17.68 €176,842
X
Management checks
We assess CAE's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. CAE has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

CAE Inc., together with its subsidiaries, provides training solutions for the civil aviation, defence and security, and healthcare markets worldwide. The company’s Civil Aviation Training Solutions 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. Its Defence and Security segment operates as a training systems integrator for defense forces in the air, land, and naval domains, as well as for government organizations responsible for public safety. The company’s Healthcare segment designs and manufactures simulators; offers audiovisual and simulation center management solutions; and develops courseware and offers services for training of medical, nursing, and allied healthcare students, as well as medical practitioners. It trains approximately 220,000 civil and defence crewmembers, including approximately 135,000 pilots and various healthcare professionals. CAE Inc. has a strategic partnership with Directional Aviation Capital. The company was formerly known as CAE Industries Ltd. and changed its name to CAE Inc. in June 1993. CAE Inc. was founded in 1947 and is headquartered in Saint-Laurent, Canada.

Details
Name: CAE Inc.
CE9
Exchange: DB
Founded: 1947
CA$6,001,163,055
266,218,930
Website: http://www.cae.com
Address: CAE Inc.
8585 Cote-de-Liesse,
Saint-Laurent,
Quebec, H4T 1G6,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX CAE Common Shares The Toronto Stock Exchange CA CAD 13. Dec 1972
NYSE CAE Common Shares New York Stock Exchange US USD 13. Dec 1972
DB CE9 Common Shares Deutsche Boerse AG DE EUR 13. Dec 1972
Number of employees
Current staff
Staff numbers
10,000
CAE employees.
Industry
Aerospace and Defense
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/10/12 20:53
End of day share price update: 2019/10/11 00:00
Last estimates confirmation: 2019/10/04
Last earnings filing: 2019/08/14
Last earnings reported: 2019/06/30
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.