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CAE (CAE) Q2 Earnings Preview: What You Should Know Beyond the Headline Estimates

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Wall Street analysts expect CAE (CAE - Free Report) to post quarterly earnings of $0.14 per share in its upcoming report, which indicates a year-over-year decline of 22.2%. Revenues are expected to be $823.11 million, down 1.2% from the year-ago quarter.

Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 0.8% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.

Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.

While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.

With that in mind, let's delve into the average projections of some CAE metrics that are commonly tracked and projected by analysts on Wall Street.

The combined assessment of analysts suggests that 'Civil Aviation - Simulator equivalent unit (SEU)' will likely reach 300 . Compared to the current estimate, the company reported 276 in the same quarter of the previous year.

The collective assessment of analysts points to an estimated 'Civil Aviation - FFS deliveries' of 13 . Compared to the present estimate, the company reported 18 in the same quarter last year.

Analysts forecast 'Civil Aviation - Utilization rate' to reach 68.7%. Compared to the present estimate, the company reported 70.0% in the same quarter last year.

Based on the collective assessment of analysts, 'Civil Aviation - FFSs in CAE's network' should arrive at 369 . Compared to the present estimate, the company reported 355 in the same quarter last year.

View all Key Company Metrics for CAE here>>>

Over the past month, CAE shares have recorded returns of -3.8% versus the Zacks S&P 500 composite's +1.3% change. Based on its Zacks Rank #4 (Sell), CAE will likely underperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .


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