CAE downgraded to Sector Perform from Outperform at RBC Capital

RBC Capital analyst James McGarragle downgraded CAE (CAE) to Sector Perform from Outperform with a price target of C$38, down from C$41. The shares trade most expensive in the sector, making the solid long-term trends in pilot training and defense spending appropriately reflected at current levels, the analyst tells investors in a research note. Further, RBC believes that following an “impressive turnaround” in CAE’s defense segment and some near-term macro headwinds that will weigh on its Civil results, the shares face less catalysts.