Hexcel (NYSE:HXL) Announces Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Key Points

• Hexcel reported an earnings per share (EPS) of $0.50 for the quarter, exceeding analysts' expectations by $0.04, with total revenue of $489.90 million.
• The company lowered its earnings guidance for FY 2025 to a range of $1.850 to $2.050 EPS, amid a 2.1% decline in revenue compared to the same quarter last year.
• Hexcel declared a quarterly dividend of $0.17, resulting in an annual yield of 1.11%, with the ex-dividend date set on August 8th.

Hexcel (NYSE:HXL - Get Free Report) announced its quarterly earnings data on Thursday. The aerospace company reported $0.50 earnings per share for the quarter, beating the consensus estimate of $0.46 by $0.04, Zacks reports. Hexcel had a return on equity of 9.76% and a net margin of 4.69%. The business 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 firm posted $0.60 earnings per share. The company's revenue was down 2.1% on a year-over-year basis. Hexcel updated its FY 2025 guidance to 1.850-2.050 EPS.

Hexcel Stock Up 0.3%

Shares of NYSE HXL traded up $0.19 during midday trading on Wednesday, reaching $61.55. 437,871 shares of the company's stock traded hands, compared to its average volume of 1,209,887. The company has a market cap of $4.90 billion, a price-to-earnings ratio of 56.97, a P/E/G ratio of 2.09 and a beta of 1.28. Hexcel has a one year low of $45.28 and a one year 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 stock's 50 day simple moving average is $56.69 and its 200-day simple moving average is $57.55.

Hexcel Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Friday, August 8th will be given a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.10%. The ex-dividend date is Friday, August 8th. Hexcel's dividend payout ratio (DPR) is presently 62.96%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in HXL. Geneos Wealth Management Inc. boosted its holdings in shares of Hexcel by 138.7% in the 1st quarter. Geneos Wealth Management Inc. now owns 759 shares of the aerospace company's stock valued at $42,000 after buying an additional 441 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in shares of Hexcel by 7.9% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 6,360 shares of the aerospace company's stock worth $348,000 after purchasing an additional 468 shares during the last quarter. Caxton Associates LLP purchased a new stake in Hexcel in the first quarter valued at approximately $234,000. Royal Bank of Canada lifted its position in Hexcel by 12.6% during the first quarter. Royal Bank of Canada now owns 119,501 shares of the aerospace company's stock valued at $6,544,000 after buying an additional 13,374 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Hexcel by 14.5% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 274,522 shares of the aerospace company's stock worth $15,033,000 after purchasing an additional 34,822 shares in the last quarter. Hedge funds and other institutional investors own 95.47% of the company's stock.

Analyst Ratings Changes

Several research firms recently weighed in on HXL. Morgan Stanley upped their price target on Hexcel from $50.00 to $55.00 and gave the company an "underweight" rating in a research report on Thursday, July 17th. UBS Group lifted their target price on Hexcel from $60.00 to $65.00 and gave the stock a "neutral" rating in a report on Monday. Truist Financial lowered their target price on Hexcel from $73.00 to $67.00 and set a "buy" rating on the stock in a research note on Wednesday, April 23rd. Wall Street Zen lowered Hexcel from a "buy" rating to a "hold" rating in a research note on Sunday, April 27th. Finally, Wells Fargo & Company reduced their price target on Hexcel from $55.00 to $53.00 and set an "equal weight" rating on the stock in a research report on Thursday, April 24th. One analyst has rated the stock with a sell rating, eight have assigned a hold rating and two have assigned a buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $63.33.

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.