Investors interested in stocks from the Aerospace - Defense Equipment sector have probably already heard of CAE (CAE) and AeroVironment (AVAV). But which of these two companies is the best option for those looking for undervalued stocks?
Although the revenue and EPS for CAE (CAE) give a sense of how its business performed in the quarter ended December 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
CAE (CAE) came out with quarterly earnings of $0.24 per share, beating the Zacks Consensus Estimate of $0.22 per share. This compares to earnings of $0.21 per share a year ago.
Beyond analysts' top-and-bottom-line estimates for CAE (CAE), evaluate projections for some of its key metrics to gain a better insight into how the business might have performed for the quarter ended December 2025.
CAE (CAE) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
CAE offers a compelling re-entry point after a 10% pullback, with 23% upside to 2027 price target. Recent share weakness is driven by US-Canada friction over aircraft certification, not by fundamental deterioration in CAE's outlook. CAE's margin profile and leverage are set to improve as legacy defense contracts are replaced by higher-margin opportunities.
Investors need to pay close attention to CAE stock based on the movements in the options market lately.
CAE remains a "Buy," with long-term growth supported by commercial aviation and defense demand despite recent stock underperformance. Q2 results showed civil aviation softness, with lower simulator utilization and margin pressure, but a strong $8.5 billion backlog. Defense segment restructuring is yielding higher-margin contracts and improved profitability, with legacy contract risks diminishing.
The headline numbers for CAE (CAE) give insight into how the company performed in the quarter ended September 2025, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
CAE (CAE) came out with quarterly earnings of $0.17 per share, beating the Zacks Consensus Estimate of $0.14 per share. This compares to earnings of $0.18 per share a year ago.
Beyond analysts' top-and-bottom-line estimates for CAE (CAE), evaluate projections for some of its key metrics to gain a better insight into how the business might have performed for the quarter ended September 2025.
CAE (CAE) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.