Stock Price & Analysis

HXL stock is currently showing bearish momentum with negative MACD and Stochastic indicators, suggesting caution. It may be better to sell or hold until more bullish signals emerge.

Price Prediction for HXL Stock in 2025

Based on technical analysis and recent earnings performance, HXL stock is expected to reach $63.30 - $65.24 in Q2 2025.

• Technical Indicators: HXL is currently oversold with RSI at 28.66 and Stochastic %K at 5.91, suggesting a potential rebound.
• Fibonacci Levels: The stock is approaching a key pivot point at $60.18, with resistance levels at $63.30 and $65.24.
• Earnings Momentum: Q4 earnings showed a profit of $5.8 million, up from a loss of $18.2 million last year, indicating improving fundamentals.

The S1 support level for HXL Stock is $55.64 ,The R1 resistant level for HXL Stock is $62.49.

As of the end of day on 2025-03-14, the price of HXL Stock was $56.

The target price for HXL Stock according to analyst rating is 72.36, with the highest price target at 87.00 and the lowest at 60.00. Analysts have a Hold rating on HXL Stock overall.

The market cap of HXL is $4.6B.

Analysis and Insights

To determine if Hexcel Corp (HXL) is overvalued, we analyze its valuation metrics, financial performance, and market sentiment.

Valuation Metrics:

Hexcel's valuation metrics suggest potential overvaluation:

• P/E Ratio: 47.44 (Q3 '24) and 39.40 (Q4 '24), higher than industry averages.
• EV/EBITDA: 16.27 (Q3 '24) and 15.69 (Q4 '24), indicating a premium.
• P/S Ratio: 2.74 (consistent across both quarters).
• P/B Ratio: 3.15 (Q3 '24) and 3.32 (Q4 '24), reflecting a higher market value relative to book value.

Financial Performance:

• Revenue Growth: Increased from $456.5M (Q3 '24) to $473.8M (Q4 '24), showing positive growth.
• Net Income Decline: Dropped from $39.8M to $5.8M, raising profitability concerns.
• Net Margin: Decreased from 8.72% to 1.22%, indicating margin compression.

Market Sentiment and Analyst Ratings:

Analysts have mixed views, with some raising targets due to positive outlooks and others maintaining due to valuation concerns. The average price target is $82, with a current price of $56.59, suggesting upside potential.

Conclusion:

While HXL shows revenue growth and positive analyst sentiment, high valuation metrics and declining net income raise overvaluation concerns. Investors should exercise caution and consider waiting for a price dip or clearer profitability signs.

Hexcel Corporation is engaged in providing advanced lightweight composites technology. The Company's product range includes carbon fiber, specialty reinforcements, prepregs and other fiber-reinforced matrix materials, honeycomb, resins, engineered core and composite structures for use in commercial aerospace, space and defense, and industrial applications. The Company operates through two segments: Composite Materials and Engineered Products. The Composite Materials segment comprises its carbon fiber, specialty reinforcements, resin systems, prepregs and other fiber-reinforced matrix materials, and honeycomb core product lines and pultruded profiles. The Engineered Products segment consists of lightweight high strength composite structures, radio frequency/electromagnetic interference (RF/EMI) and microwave absorbing materials, engineered core and specialty machined honeycomb products with added functionality and thermoplastic additive manufacturing.

HXL stock is predicted to reach $120 by 2030, driven by strong aerospace demand and Hexcel's leadership in lightweight composite materials. The stock is currently undervalued with a low RSI of 19.61, indicating potential upside. Analysts have set price targets up to $87, supporting long-term growth.

HXL has a total of 5590 employees.