HEXCEL CORP (HXL) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:HXL • US4282911084
84.56 USD
+4.33 (+5.4%)
At close: Jan 29, 2026
84.75 USD
+0.19 (+0.22%)
Pre-Market: 1/30/2026, 4:24:46 AM
HXL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 73 industry peers in the Aerospace & Defense industry. HXL has only an average score on both its financial health and profitability. HXL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year HXL was profitable.
- In the past year HXL had a positive cash flow from operations.
- HXL had positive earnings in 4 of the past 5 years.
- HXL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 2.49%, HXL perfoms like the industry average, outperforming 52.05% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 4.39%, HXL is in line with its industry, outperforming 52.05% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 6.95%, HXL is in the better half of the industry, outperforming 61.64% of the companies in the same industry.
- HXL had an Average Return On Invested Capital over the past 3 years of 7.41%. This is in line with the industry average of 8.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 4.39% | ||
| ROIC | 6.95% |
ROA(3y)4.31%
ROA(5y)2.92%
ROE(3y)7.64%
ROE(5y)5.22%
ROIC(3y)7.41%
ROIC(5y)5.38%
1.3 Margins
- With a Profit Margin value of 3.67%, HXL perfoms like the industry average, outperforming 56.16% of the companies in the same industry.
- In the last couple of years the Profit Margin of HXL has declined.
- HXL's Operating Margin of 10.50% is fine compared to the rest of the industry. HXL outperforms 71.23% of its industry peers.
- HXL's Operating Margin has declined in the last couple of years.
- HXL's Gross Margin of 23.04% is in line compared to the rest of the industry. HXL outperforms 46.58% of its industry peers.
- In the last couple of years the Gross Margin of HXL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.5% | ||
| PM (TTM) | 3.67% | ||
| GM | 23.04% |
OM growth 3Y32.53%
OM growth 5Y-7.22%
PM growth 3Y78.75%
PM growth 5Y-11.81%
GM growth 3Y9.35%
GM growth 5Y-1.91%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HXL is destroying value.
- There is no outstanding debt for HXL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- HXL has an Altman-Z score of 5.68. This indicates that HXL is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of HXL (5.68) is better than 60.27% of its industry peers.
- HXL has a debt to FCF ratio of 3.91. This is a good value and a sign of high solvency as HXL would need 3.91 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 3.91, HXL is in the better half of the industry, outperforming 79.45% of the companies in the same industry.
- HXL has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
- HXL's Debt to Equity ratio of 0.48 is in line compared to the rest of the industry. HXL outperforms 50.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.91 | ||
| Altman-Z | 5.68 |
ROIC/WACC0.69
WACC10.05%
2.3 Liquidity
- HXL has a Current Ratio of 2.75. This indicates that HXL is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.75, HXL is in line with its industry, outperforming 52.05% of the companies in the same industry.
- HXL has a Quick Ratio of 1.50. This is a normal value and indicates that HXL is financially healthy and should not expect problems in meeting its short term obligations.
- With a Quick ratio value of 1.50, HXL perfoms like the industry average, outperforming 56.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.75 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
- The earnings per share for HXL have decreased strongly by -13.30% in the last year.
- HXL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 47.75% yearly.
EPS 1Y (TTM)-13.3%
EPS 3Y11.2%
EPS 5Y47.75%
EPS Q2Q%0%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%3.69%
3.2 Future
- Based on estimates for the next years, HXL will show a very strong growth in Earnings Per Share. The EPS will grow by 22.36% on average per year.
- HXL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.27% yearly.
EPS Next Y31.11%
EPS Next 2Y38.33%
EPS Next 3Y35.58%
EPS Next 5Y22.36%
Revenue Next Year9.82%
Revenue Next 2Y11.1%
Revenue Next 3Y10.76%
Revenue Next 5Y8.27%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 48.05, HXL can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, HXL is valued a bit cheaper than the industry average as 61.64% of the companies are valued more expensively.
- HXL is valuated expensively when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- HXL is valuated quite expensively with a Price/Forward Earnings ratio of 36.65.
- HXL's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HXL is cheaper than 65.75% of the companies in the same industry.
- HXL's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.05 | ||
| Fwd PE | 36.65 |
4.2 Price Multiples
- 65.75% of the companies in the same industry are more expensive than HXL, based on the Enterprise Value to EBITDA ratio.
- 84.93% of the companies in the same industry are more expensive than HXL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.72 | ||
| EV/EBITDA | 23.15 |
4.3 Compensation for Growth
- HXL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as HXL's earnings are expected to grow with 35.58% in the coming years.
PEG (NY)1.54
PEG (5Y)1.01
EPS Next 2Y38.33%
EPS Next 3Y35.58%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.90%, HXL is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.34, HXL pays a better dividend. On top of this HXL pays more dividend than 87.67% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, HXL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
5.2 History
- The dividend of HXL decreases each year by -1.49%.
- HXL has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of HXL decreased in the last 3 years.
Dividend Growth(5Y)-1.49%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- HXL pays out 77.18% of its income as dividend. This is not a sustainable payout ratio.
DP77.18%
EPS Next 2Y38.33%
EPS Next 3Y35.58%
HEXCEL CORP / HXL FAQ
What is the ChartMill fundamental rating of HEXCEL CORP (HXL) stock?
ChartMill assigns a fundamental rating of 5 / 10 to HXL.
Can you provide the valuation status for HEXCEL CORP?
ChartMill assigns a valuation rating of 4 / 10 to HEXCEL CORP (HXL). This can be considered as Fairly Valued.
What is the profitability of HXL stock?
HEXCEL CORP (HXL) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for HXL stock?
The Price/Earnings (PE) ratio for HEXCEL CORP (HXL) is 48.05 and the Price/Book (PB) ratio is 4.3.
What is the financial health of HEXCEL CORP (HXL) stock?
The financial health rating of HEXCEL CORP (HXL) is 6 / 10.