Hexcel (NYSE:HXL) Shares Gap Down on Disappointing Earnings

Shares of Hexcel Co. (NYSE:HXL - Get Free Report) gapped down before the market opened on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $50.50, but opened at $47.47. Hexcel shares last traded at $46.45, with a volume of 238,728 shares changing hands.

The aerospace company reported $0.37 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.06). Hexcel had a net margin of 6.94% and a return on equity of 10.66%. The company had revenue of $456.50 million during the quarter, compared to analyst estimates of $482.18 million. During the same quarter in the prior year, the company earned $0.44 EPS.

Hexcel Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 9th. Shareholders of record on Friday, May 2nd will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 1.35%. The ex-dividend date is Friday, May 2nd. Hexcel's dividend payout ratio is currently 45.03%.

Analyst Ratings Changes

Several analysts recently commented on the stock. UBS Group decreased their price target on shares of Hexcel from $53.00 to $51.00 and set a "neutral" rating for the company in a research note on Wednesday. Morgan Stanley decreased their target price on shares of Hexcel from $61.00 to $50.00 and set an "underperform" rating for the company in a research note on Friday, April 11th. BMO Capital Markets dropped their price target on Hexcel from $72.00 to $52.00 and set a "market perform" rating on the stock in a research report on Wednesday. Wells Fargo & Company decreased their price objective on Hexcel from $55.00 to $53.00 and set an "equal weight" rating for the company in a research report on Thursday. Finally, StockNews.com raised Hexcel from a "hold" rating to a "buy" rating in a report on Saturday, April 19th. One research analyst has rated the stock with a sell rating, seven have issued a hold rating and four have assigned a buy rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $61.20.

Hedge Funds Weigh In On Hexcel

Institutional investors and hedge funds have recently made changes to their positions in the stock. Barclays PLC grew its position in Hexcel by 32.1% during the third quarter. Barclays PLC now owns 70,023 shares of the aerospace company's stock worth $4,330,000 after buying an additional 17,011 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Hexcel by 2.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 1,084,860 shares of the aerospace company's stock worth $68,021,000 after acquiring an additional 24,133 shares in the last quarter. Kopion Asset Management LLC grew its holdings in shares of Hexcel by 11.2% in the 4th quarter. Kopion Asset Management LLC now owns 97,960 shares of the aerospace company's stock worth $6,142,000 after acquiring an additional 9,861 shares during the period. Merit Financial Group LLC purchased a new position in Hexcel in the 4th quarter valued at approximately $242,000. Finally, Oak Thistle LLC raised its holdings in Hexcel by 303.5% during the fourth quarter. Oak Thistle LLC now owns 19,169 shares of the aerospace company's stock worth $1,202,000 after purchasing an additional 14,418 shares during the last quarter. 95.47% of the stock is owned by institutional investors and hedge funds.

Hexcel Stock Performance

The company has a debt-to-equity ratio of 0.46, a current ratio of 2.21 and a quick ratio of 1.20. The company has a market capitalization of $4.04 billion, a PE ratio of 31.62, a P/E/G ratio of 1.72 and a beta of 1.08. The stock has a 50-day simple moving average of $55.68 and a 200 day simple moving average of $60.69.

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.