CAE (NYSE:CAE) Shares Gap Up – What’s Next?

CAE Inc. (NYSE:CAE) (TSE:CAE)’s share price gapped up before the market opened on Wednesday . The stock had previously closed at $19.33, but opened at $21.11. CAE shares last traded at $20.95, with a volume of 115,363 shares traded.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. Royal Bank of Canada raised CAE from a “hold” rating to a “moderate buy” rating in a research note on Thursday, August 15th. StockNews.com downgraded CAE from a “buy” rating to a “hold” rating in a report on Friday, October 4th. Finally, Morgan Stanley lowered CAE from an “overweight” rating to an “equal weight” rating in a research report on Friday, August 16th. One investment analyst has rated the stock with a sell rating, seven have given a hold rating and one has issued a buy rating to the company. According to data from MarketBeat, CAE presently has an average rating of “Hold” and a consensus target price of $28.00.

CAE Stock Performance

The company has a current ratio of 0.89, a quick ratio of 0.61 and a debt-to-equity ratio of 0.67. The firm has a fifty day simple moving average of $18.37 and a 200 day simple moving average of $18.53. The stock has a market cap of $6.66 billion, a price-to-earnings ratio of -27.50, a PEG ratio of 1.43 and a beta of 1.67.

CAE (NYSE:CAE) (TSE:CAE) last announced its quarterly earnings data on Tuesday, August 13th. The aerospace company reported $0.21 EPS 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 positive return on equity of 5.96% and a negative net margin of 7.38%. The business’s quarterly revenue was up 6.0% compared to the same quarter last year. During the same period last year, the company earned $0.18 EPS. As a group, sell-side analysts expect that CAE Inc. will post 0.85 earnings per share for the current year.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the company. Brandes Investment Partners LP boosted its stake in shares of CAE by 103.8% during the second quarter. Brandes Investment Partners LP now owns 11,071,485 shares of the aerospace company’s stock valued at $206,027,000 after purchasing an additional 5,640,269 shares in the last quarter. Earnest Partners LLC purchased a new position in CAE in the second quarter worth $82,597,000. National Bank of Canada FI lifted its position in shares of CAE by 36.4% during the 2nd quarter. National Bank of Canada FI now owns 5,498,732 shares of the aerospace company’s stock valued at $101,559,000 after buying an additional 1,466,880 shares during the last quarter. American Century Companies Inc. lifted its position in shares of CAE by 67.9% during the 2nd quarter. American Century Companies Inc. now owns 1,624,656 shares of the aerospace company’s stock valued at $30,176,000 after buying an additional 657,227 shares during the last quarter. Finally, Clearbridge Investments LLC raised its stake in shares of CAE by 17.1% during the 1st quarter. Clearbridge Investments LLC now owns 3,710,044 shares of the aerospace company’s stock valued at $76,575,000 after purchasing an additional 541,066 shares during the period. Institutional investors own 67.36% of the company’s stock.

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, the Oceania, Africa, and Rest of the Americas. It operates through two segments, Civil Aviation; and Defense and Security. The Civil Aviation segment offers training solutions for flight, cabin, maintenance, and ground personnel in commercial, business, and helicopter aviation; a range of flight simulation training devices; and ab initio pilot training and crew sourcing services, as well as aircraft flight operations solutions.