CAE INC. vs NOVANTA INC, two Electrical Equipment stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
CAE builds flight simulators and trains pilots, earning 8.34% on equity, twice Novanta's 4.1%. Novanta makes precision photonics and motion parts, and its earnings are temporarily depressed, which inflates the multiple to 113.01 times earnings rather than signaling rapid growth. Both run light balance sheets, CAE with no net debt and Novanta at 0.18 to equity. CAE converts more of its price into free cash, 4.88% against 1.06%. The market pays 4.93 times book for Novanta versus 2.22 for CAE, betting the photonics earnings snap back. CAE at $8.1B is larger than Novanta at $6.5B, and the steadier earner of the two at this point in their cycles.
Comparison updated 2026-07-11.
| Metric | CAE | NOVT |
|---|---|---|
| Price | $25.64 | $156.52 |
| Market cap | $8.2B | $6.4B |
| Sector | Electrical Equipment | Electrical Equipment |
| Stage | Growth | Mature |
| Implied growth (priced in) | +13.5% | — |
| P/E | — | 112.6 |
| P/B | 2.24 | 4.91 |
| P/S | 2.36 | 6.41 |
| EV/EBITDA | 9.5 | 41.5 |
| Revenue growth | +12.2% | +5.6% |
| Gross margin | 27.6% | 44.1% |
| Operating margin | 15.5% | 10.7% |
| Net margin | 8.8% | 5.3% |
| Return on equity | 8.3% | 4.1% |
| Return on assets | 3.7% | 3.0% |
| Return on invested capital | 11.8% | 4.6% |
| FCF yield | 4.9% | 1.1% |
| Debt / equity | 0.00 | 0.18 |
| Current ratio | 0.80 | 3.56 |
| Altman Z (solvency) | 1.91 | 7.25 |
| Piotroski F (quality) | 6 / 9 | 7 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.