CAE (NYSE: CAE) Rating Reduced to 'Hold' by CIBC World Markets

On December 7th, 2024, CIBC World Markets downgraded the shares of CAE (NYSE: CAE – Free Report) (TSE: CAE) from a strong-buy rating to a hold rating. This decision was made in a research report released to investors early Wednesday morning, as reported by Zacks.com.

Other investment firms have also recently reviewed CAE's performance. On August 16th, Morgan Stanley decreased its rating on the stock from "overweight" to "equal weight." Meanwhile, StockNews.com upgraded CAE’s rating from "hold" to "buy" on November 14th. Royal Bank of Canada also raised its rating on August 15th from "hold" to "moderate buy." Currently, seven analysts have assigned a hold rating to CAE, while two have rated the stock as a buy. According to MarketBeat.com, the consensus rating remains at "Hold," with an average price target set at $25.00.

CAE Stock Performance

As of Wednesday, CAE's shares opened at $23.51. The company has a market capitalization of $7.49 billion. Its P/E ratio stands at -30.53, and the P/E/G ratio is 1.73, with a beta of 1.74. The stock's 50-day moving average is $20.17, while the 200-day moving average is positioned at $18.86. Over the past year, CAE has recorded a 12-month low of $15.95 and a high of $24.02. The company exhibits a quick ratio of 0.59, a current ratio of 0.84, and a debt-to-equity ratio of 0.62.

Institutional Activity

Recently, several hedge funds have adjusted their holdings in CAE. Bank of Montreal Can increased its stake in the company by 1.6% during the third quarter, now holding 5,057,860 shares valued at approximately $93,446,000 after adding 77,489 shares. Similarly, Canada Pension Plan Investment Board increased its holdings by 9.5% in the second quarter, owning 1,033,296 shares worth about $19,188,000 following an acquisition of 89,800 shares. Additionally, Stanley Laman Group Ltd. raised their position in CAE by 20.1%, now holding 210,223 shares valued at $3,906,000 after acquiring an extra 35,222 shares. Clearline Capital LP entered a new position in CAE in the second quarter valued at $2,290,000. Intech Investment Management LLC also purchased a new stake during the third quarter, valued at $2,432,000. Overall, hedge funds and institutional investors control about 67.36% of CAE's equity.

About CAE

CAE Inc, along with its subsidiaries, provides simulation training and crucial operations support solutions across various global regions, including Canada, the United States, the United Kingdom, Europe, Asia, Oceania, Africa, and the Rest of the Americas. The company operates through two main divisions: Civil Aviation and Defense & Security. The Civil Aviation segment offers training solutions for commercial, business, and helicopter aviation, including flight simulators, maintenance training, and crew sourcing services, alongside aircraft flight operations solutions.

CAE, CIBC, Securities