NEW YORK (TheStreet) -- CAE (CAE) shares closed trading down 1.53% to $12.20 on Tuesday after the Canadian civil and defense aviation simulation trainer reported its fourth quarter earnings results before the opening bell today.
The company reported fourth quarter earnings of $51.7 million, or 19 cents per diluted share, missing analysts' 20 cent per share estimates by one cent. Revenue for the period increased 9.7% to $509.7 million, topping analysts' $508.5 million expectations.
"We expect growth for the year across all business segments, with performance continuing to follow CAE's usual seasonal pattern, involving a stronger second half of the fiscal year than the first. With the majority of investments now complete to develop our global training centre footprint, capital expenditures are expected to be lower again in fiscal 2016 at $100 million," the company said.
TheStreet Ratings team rates CAE INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CAE INC (CAE) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, increase in net income, reasonable valuation levels and good cash flow from operations. We feel its strengths outweigh the fact that the company shows low profit margins."