Hexcel Corporation (NYSE:HXL) Receives Consensus Rating of "Hold" from Brokerages

Key Points

• Hexcel Corporation has received a consensus rating of "Hold" from eleven brokerage firms, with one sell, seven hold, and three buy recommendations.
• BMO Capital Markets raised its price target for Hexcel from $52.00 to $67.00, while UBS Group increased its target from $65.00 to $80.00 and upgraded its rating to "Buy."
• The company's recent quarterly earnings report revealed a net margin of 4.69% and revenue of $489.90 million, exceeding analyst expectations.

Shares of Hexcel Corporation (NYSE:HXL - Get Free Report) have earned a consensus recommendation of "Hold" from the eleven ratings firms that are presently covering the stock, Marketbeat reports. One analyst has rated the stock with a sell recommendation, seven have issued a hold recommendation and three have given a buy recommendation to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $65.00.

Several research firms have recently commented on HXL. BMO Capital Markets upped their price objective on Hexcel from $52.00 to $67.00 and gave the stock a "market perform" rating in a research note on Tuesday, July 29th. Zacks Research upgraded Hexcel from a "strong sell" rating to a "hold" rating in a research report on Thursday, September 4th. UBS Group raised Hexcel from a "neutral" rating to a "buy" rating and lifted their price objective for the company from $65.00 to $80.00 in a research report on Tuesday, September 2nd. Royal Bank Of Canada reissued an "outperform" rating and issued a $70.00 target price (up from $65.00) on shares of Hexcel in a report on Monday, July 28th. Finally, Morgan Stanley lifted their price target on shares of Hexcel from $50.00 to $55.00 and gave the company an "underweight" rating in a report on Thursday, July 17th.

Insider Activity

In related news, insider Gina Fitzsimons sold 911 shares of the business's stock in a transaction that occurred on Tuesday, September 2nd. The stock was sold at an average price of $65.00, for a total value of $59,215.00. Following the transaction, the insider directly owned 4,283 shares of the company's stock, valued at approximately $278,395. The trade was a 17.54% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Thierry Merlot sold 8,897 shares of the company's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $63.86, for a total value of $568,162.42. Following the completion of the transaction, the insider owned 51,308 shares of the company's stock, valued at $3,276,528.88. The trade was a 14.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.39% of the stock is owned by insiders.

Hedge Funds Weigh In On Hexcel

Several hedge funds have recently modified their holdings of the stock. Sumitomo Mitsui Trust Group Inc. grew its stake in Hexcel by 10.4% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 5,205 shares of the aerospace company's stock valued at $285,000 after acquiring an additional 492 shares in the last quarter. Principal Financial Group Inc. lifted its position in shares of Hexcel by 0.5% in the first quarter. Principal Financial Group Inc. now owns 186,680 shares of the aerospace company's stock worth $10,223,000 after buying an additional 937 shares in the last quarter. Russell Investments Group Ltd. boosted its stake in Hexcel by 32.4% during the first quarter. Russell Investments Group Ltd. now owns 57,266 shares of the aerospace company's stock valued at $3,136,000 after buying an additional 14,002 shares during the last quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. boosted its stake in Hexcel by 2.8% during the first quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 817,388 shares of the aerospace company's stock valued at $44,760,000 after buying an additional 22,396 shares during the last quarter. Finally, GAMMA Investing LLC grew its holdings in Hexcel by 95.3% during the 1st quarter. GAMMA Investing LLC now owns 2,306 shares of the aerospace company's stock valued at $126,000 after buying an additional 1,125 shares in the last quarter. Hedge funds and other institutional investors own 95.47% of the company's stock.

Hexcel Price Performance

NYSE HXL opened at $63.43 on Friday. The company has a 50-day moving average price of $62.15 and a 200-day moving average price of $56.98. Hexcel has a 52 week low of $45.28 and a 52 week high of $71.05. The company has a quick ratio of 1.50, a current ratio of 2.69 and a debt-to-equity ratio of 0.53. The firm has a market capitalization of $5.05 billion, a P/E ratio of 58.74, a PEG ratio of 1.94 and a beta of 1.38.

Hexcel (NYSE:HXL - Get Free Report) last announced its earnings results on Thursday, July 24th. The aerospace company reported $0.50 earnings per share (EPS) for the quarter, beating 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 company had revenue of $489.90 million during the quarter, compared to analyst estimates of $482.20 million. During the same period in the previous year, the business posted $0.60 earnings per share. The firm's quarterly revenue was down 2.1% compared to the same quarter last year. Hexcel has set its FY 2025 guidance at 1.850-2.050 EPS. Equities research analysts anticipate that Hexcel will post 2.14 earnings per share for the current year.

Hexcel Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, August 15th. Shareholders of record on Friday, August 8th were issued a dividend of $0.17 per share. The ex-dividend date of this dividend was Friday, August 8th. This represents a $0.68 dividend on an annualized basis and a yield of 1.1%. Hexcel's dividend payout ratio (DPR) is currently 62.96%.

Hexcel Company Profile

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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