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Hexcel sets quarterly dividend at $0.15 per share

EditorAhmed Abdulazez Abdulkadir
Published 07/18/2024, 07:45 AM
HXL
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STAMFORD, Conn. – Hexcel Corporation (NYSE: NYSE:HXL), a company specializing in advanced lightweight composites technology, has declared a regular quarterly cash dividend of $0.15 per share. This dividend is payable to stockholders of record as of August 2, 2024, and will be distributed on August 9, 2024.

The announcement aligns with the company's history of providing dividends to its shareholders and reflects its ongoing financial policies. Hexcel Corporation's extensive product range serves various industries, including commercial aerospace, defense, and industrial applications, by offering materials such as carbon fiber and honeycomb structures that contribute to the creation of lighter and stronger products.

This financial update is based on a press release statement from Hexcel Corporation.

In other recent news, Hexcel Corporation has been the subject of multiple analyst adjustments. Stifel reduced its price target from $86 to $84 while maintaining a Buy rating, citing potential sales impacts due to revised delivery schedules from Airbus.

Despite this, Stifel remains positive about Hexcel's long-term growth prospects. Simultaneously, RBC Capital maintained an Outperform rating and a steady price target of $76.00, acknowledging a less confident outlook on short-term volume growth but emphasizing potential positive pricing opportunities.

UBS reaffirmed a Neutral rating with a stable price target of $73.00 as Hexcel's new CEO, Tom Gentile, reiterated the company's commitment to its 2026 objectives.

Wells Fargo continued its Overweight rating with a price target of $95.00, highlighting the company's ability to benefit from increased production volumes due to its high fixed-cost business model. Lastly, BMO Capital maintained a Market Perform rating with a steady price target of $73.00, noting an earnings recovery in its early phases.

InvestingPro Insights

Hexcel Corporation (NYSE: HXL) continues to demonstrate a commitment to shareholder returns with its latest dividend declaration. Beyond the headline dividend information, several key financial metrics and analyst insights from InvestingPro provide a deeper understanding of the company's financial health and market valuation.

An analysis of the company's financials shows that Hexcel is currently trading at a high earnings multiple, with a Price-to-Earnings (P/E) Ratio of 59.31 and an adjusted P/E Ratio for the last twelve months as of Q1 2024 at 54.96. This suggests that investors are willing to pay a premium for the company's earnings, possibly reflecting an optimistic outlook on its future growth.

Despite a high valuation, Hexcel's liquid assets have surpassed its short-term obligations, which could be a sign of financial stability. Additionally, the company operates with a moderate level of debt, which may provide it with the flexibility to navigate economic fluctuations while still investing in growth opportunities. These InvestingPro Tips indicate Hexcel's solid position to meet its financial commitments and potentially sustain dividend payments.

The company has also displayed a healthy revenue growth of 9.65% over the last twelve months as of Q1 2024, which is consistent with its position in the advanced lightweight composites industry. Moreover, analysts predict Hexcel will be profitable this year, as it has been over the last twelve months, which could further bolster investor confidence.

For more detailed analysis and additional InvestingPro Tips on Hexcel Corporation, including the total number of analyst recommendations and their implications for investors, visit Investing.com/pro/HXL. And remember, you can use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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