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Hexcel Corporation (NYSE:HXL) announced the results of several key votes taken during its Annual Meeting of Stockholders held on May 8, 2025. The company, which specializes in advanced composites technology and maintains a "GOOD" financial health score according to InvestingPro, disclosed the outcomes of the stockholder’s decisions in a recent SEC filing. The company has seen its stock decline by about 14% year-to-date, though it maintains strong fundamentals with a current ratio of 2.59.
At the 2025 Annual Meeting, all of Hexcel’s nominees for director were elected. The detailed voting results for each director revealed strong support, with the majority of votes cast in favor. The directors elected include Thomas C. Gentile III, Jeffrey C. Campbell, James J. Cannon, Cynthia M. Egnotovich, Guy C. Hachey, Dr. Patricia A. Hubbard, David H. Li, Nick L. Stanage, and Catherine A. Suever. Under their oversight, the company has maintained consistent dividend growth, having raised its dividend for three consecutive years, as noted in InvestingPro’s analysis.
Additionally, stockholders approved, on an advisory and non-binding basis, the 2024 compensation of the company’s named executive officers. The vote reflects shareholder satisfaction with the executive compensation structure, coming at a time when 12 analysts have revised their earnings expectations downward for the upcoming period, according to InvestingPro data.
Moreover, the appointment of Ernst & Young LLP as Hexcel’s independent registered public accounting firm for the fiscal year 2025 was ratified by the stockholders, indicating continued trust in the firm’s auditing services.
Finally, the stockholders approved the amendment and restatement of the Hexcel Corporation 2016 Employee Stock Purchase Plan (ESPP), which included an increase in available shares. This approval allows Hexcel to continue offering its employees the opportunity to purchase stock in the company, potentially enhancing employee investment and interest in the company’s success. The company’s management has been actively engaged in share buybacks, demonstrating confidence in the company’s future prospects despite trading at a relatively high P/E ratio of 35.1x.
The SEC filing confirms the completion of all standard procedures for the annual meeting, with the report signed by Gail E. Lehman, Executive Vice President, Chief Legal and Sustainability Officer, and Secretary of Hexcel Corporation. The details shared in this article are based on the press release statement provided by Hexcel Corporation.
In other recent news, Hexcel Corporation reported its first-quarter 2025 financial results, showing an adjusted earnings per share (EPS) of $0.37, which was below the forecasted $0.43. The company’s revenue for the quarter was $456.5 million, falling short of the expected $480.53 million. Following these results, RBC Capital Markets and BMO Capital Markets adjusted their outlooks for Hexcel. RBC Capital reduced its price target for Hexcel to $62, while maintaining an Outperform rating, citing revised guidance and potential risks associated with the A350 aircraft deliveries. BMO Capital, on the other hand, lowered its price target to $52, maintaining a Market Perform rating due to concerns over supply chain issues affecting the company’s earnings.
Hexcel also revised its 2025 sales guidance downward by $85 million, anticipating flat growth in its commercial aerospace segment. Despite these challenges, the company is implementing cost control measures and aligning its workforce with current production levels to manage its financials. The company continues to face headwinds from reduced production rates for major aircraft models like the Boeing (NYSE:BA) 787 and Airbus A350, impacting its earnings targets. Hexcel is also taking steps such as stock buybacks and reducing capital expenditures to mitigate these effects.
Analysts from RBC Capital expressed confidence in Hexcel’s medium-term growth potential, anticipating improvements by the fourth quarter and into 2026. Meanwhile, BMO Capital highlighted the potential ongoing risks but acknowledged Hexcel’s proactive efforts to address these challenges. The company’s strategic initiatives aim to drive future cash flow as production rates increase in the coming years.
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