Hexcel downgraded to Sector Perform from Outperform at RBC Capital

RBC Capital downgraded Hexcel to Sector Perform from Outperform with a price target of $68, down from $76. The firm says its confidence in the second half of 2024 pace of improvement in aircraft deliveries has softened. The analyst believes a slower than expected aircraft production ramp presents further downside risk to Hexcel’s mid-term guidance. In addition, there are higher quality suppliers better-positioned to outperform Hexcel in the event of a slower recovery, the analyst tells investors in a research note.