CAE (NYSE:CAE) Shares Up 4.5% After Better-Than-Expected Earnings

CAE Inc. (NYSE:CAE) (TSE:CAE) was up 4.5% during trading on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $17.70 and last traded at $17.52. Approximately 132,488 shares were traded during trading, a decline of 77% from the average daily volume of 588,727 shares. The stock had previously closed at $16.76.

The aerospace company reported $0.21 earnings per share for the quarter, beating analysts’ consensus estimates of $0.20 by $0.01. The firm had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.05 billion. CAE had a negative net margin of 6.97% and a positive return on equity of 6.10%. The company’s quarterly revenue was up 6.0% on a year-over-year basis. During the same quarter last year, the business posted $0.18 earnings per share.

Analysts Set New Price Targets

CAE has been the topic of a number of recent research reports. StockNews.com lowered CAE from a “buy” rating to a “hold” rating in a research note on Wednesday, May 22nd. The Goldman Sachs Group lifted their target price on shares of CAE from $25.00 to $29.00 and gave the stock a “buy” rating in a research report on Tuesday, April 16th. Royal Bank of Canada lowered shares of CAE from a “moderate buy” rating to a “hold” rating in a report on Tuesday, July 2nd. Desjardins downgraded shares of CAE from a “buy” rating to a “hold” rating in a research note on Tuesday, May 21st. Finally, Canaccord Genuity Group reissued a “hold” rating on shares of CAE in a research note on Wednesday, May 22nd. One research analyst has rated the stock with a sell rating, seven have given a hold rating and one has assigned a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average price target of $30.25.

Institutional Investors Weigh In On CAE

Several large investors have recently modified their holdings of the company. Hillsdale Investment Management Inc. boosted its holdings in shares of CAE by 45.5% during the 4th quarter. Hillsdale Investment Management Inc. now owns 1,600 shares of the aerospace company’s stock worth $35,000 after buying an additional 500 shares in the last quarter. Spire Wealth Management increased its stake in CAE by 52.8% in the first quarter. Spire Wealth Management now owns 2,018 shares of the aerospace company’s stock valued at $42,000 after purchasing an additional 697 shares in the last quarter. Massmutual Trust Co. FSB ADV raised its holdings in shares of CAE by 142.8% during the first quarter. Massmutual Trust Co. FSB ADV now owns 1,202 shares of the aerospace company’s stock valued at $25,000 after purchasing an additional 707 shares during the period. DekaBank Deutsche Girozentrale boosted its position in shares of CAE by 2.6% during the 4th quarter. DekaBank Deutsche Girozentrale now owns 31,621 shares of the aerospace company’s stock worth $678,000 after purchasing an additional 790 shares in the last quarter. Finally, Confluence Investment Management LLC grew its stake in shares of CAE by 3.5% in the 2nd quarter. Confluence Investment Management LLC now owns 25,098 shares of the aerospace company’s stock valued at $466,000 after buying an additional 857 shares during the period. 67.36% of the stock is currently owned by institutional investors and hedge funds.

CAE Price Performance

The business has a 50-day moving average of $18.25 and a 200 day moving average of $19.18. The company has a current ratio of 0.85, a quick ratio of 0.61 and a debt-to-equity ratio of 0.64. The firm has a market capitalization of $5.55 billion, a P/E ratio of -24.15, a price-to-earnings-growth ratio of 1.25 and a beta of 1.67.

CAE Company Profile

CAE Inc, together with its subsidiaries, provides simulation training and critical operations support solutions in Canada, the United States, the United Kingdom, Europe, Asia, Oceania and Africa, and Rest of Americas. It operates through three segments: Civil Aviation, Defense and Security, and Healthcare.