Cubist Systematic Strategies LLC Makes New Investment in Hexcel Corporation $HXL

Key Points

• Cubist Systematic Strategies LLC acquired 140,178 shares of Hexcel Corporation (HXL), valued at approximately $7.68 million, representing about 0.17% of the company's stock at the end of Q1.
• Hexcel's shares experienced an increase in holdings by several large investors, with Jennison Associates LLC increasing its stake by a staggering 10,767.3% during the same quarter.
• The company's recent quarterly earnings showed an EPS of $0.50, exceeding expectations, while revenue decreased 2.1% compared to the previous year.

Cubist Systematic Strategies LLC purchased a new position in Hexcel Corporation (NYSE:HXL - Free Report) during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund purchased 140,178 shares of the aerospace company's stock, valued at approximately $7,676,000. Cubist Systematic Strategies LLC owned about 0.17% of Hexcel at the end of the most recent quarter.

A number of other large investors have also recently made changes to their positions in the stock. TimesSquare Capital Management LLC lifted its position in Hexcel by 416.9% during the first quarter. TimesSquare Capital Management LLC now owns 1,166,489 shares of the aerospace company's stock valued at $63,877,000 after purchasing an additional 940,839 shares during the period. Price T Rowe Associates Inc. MD raised its holdings in Hexcel by 32.4% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 3,314,702 shares of the aerospace company's stock valued at $181,514,000 after acquiring an additional 812,026 shares during the last quarter. Jennison Associates LLC raised its holdings in Hexcel by 10,767.3% in the 1st quarter. Jennison Associates LLC now owns 392,091 shares of the aerospace company's stock valued at $21,471,000 after acquiring an additional 388,483 shares during the last quarter. Nuveen LLC acquired a new stake in Hexcel in the 1st quarter valued at about $13,929,000. Finally, Citigroup Inc. grew its stake in shares of Hexcel by 214.3% in the 1st quarter. Citigroup Inc. now owns 359,067 shares of the aerospace company's stock valued at $19,663,000 after buying an additional 244,828 shares during the period. 95.47% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Hexcel news, insider Thierry Merlot sold 8,897 shares of the firm's stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $63.86, for a total transaction of $568,162.42. Following the completion of the transaction, the insider directly owned 51,308 shares of the company's stock, valued at $3,276,528.88. This trade represents a 14.78% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 2.03% of the stock is currently owned by corporate insiders.

Hexcel Stock Performance

Shares of HXL opened at $64.79 on Wednesday. Hexcel Corporation has a 1 year low of $45.28 and a 1 year high of $71.05. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.50 and a current ratio of 2.69. The company's 50 day simple moving average is $60.53 and its 200 day simple moving average is $56.82. The company has a market capitalization of $5.15 billion, a price-to-earnings ratio of 59.99, a PEG ratio of 2.09 and a beta of 1.38.

Hexcel (NYSE:HXL - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The aerospace company reported $0.50 EPS for the quarter, topping the consensus estimate of $0.46 by $0.04. Hexcel had a net margin of 4.69% and a return on equity of 9.76%. The firm had revenue of $489.90 million during the quarter, compared to analyst estimates of $482.20 million. During the same quarter in the prior year, the business posted $0.60 earnings per share. Hexcel's revenue for the quarter was down 2.1% compared to the same quarter last year. Hexcel has set its FY 2025 guidance at 1.850-2.050 EPS. On average, sell-side analysts predict that Hexcel Corporation will post 2.14 EPS for the current year.

Hexcel Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Friday, August 8th were paid a dividend of $0.17 per share. The ex-dividend date of this dividend was Friday, August 8th. This represents a $0.68 annualized dividend and a yield of 1.0%. Hexcel's payout ratio is 62.96%.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on HXL. UBS Group raised shares of Hexcel from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $65.00 to $80.00 in a research report on Tuesday. BMO Capital Markets raised their price target on shares of Hexcel from $52.00 to $67.00 and gave the company a "market perform" rating in a research report on Tuesday, July 29th. Royal Bank Of Canada restated an "outperform" rating and issued a $70.00 price objective (up from $65.00) on shares of Hexcel in a report on Monday, July 28th. Finally, Morgan Stanley raised their price objective on shares of Hexcel from $50.00 to $55.00 and gave the company an "underweight" rating in a report on Thursday, July 17th. Three analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, Hexcel currently has an average rating of "Hold" and an average target price of $65.00.

About Hexcel

Hexcel Corporation develops, manufactures, and markets carbon fibers, structural reinforcements, honeycomb structures, resins, and composite materials and parts for use in commercial aerospace, space and defense, and industrial applications. It operates through two segments, Composite Materials and Engineered Products.

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