Truist analyst Michael Ciarmoli raised the firm’s price target on Hexcel to $59 from $53 but keeps a Hold rating on the shares after its Q4 earnings beat and in-line FY23 guidance. The cost environment is tighter on all fronts – labor, raw materials, and energy – while the management’s mid-teens margin goal at revenue of $1.8B-$1.9B is also being pressured, the analyst tells investors in a research note. While execution remains solid at Hexcel against the aero recovery, the stock’s 27-times expected forward earnings multiple "feels a bit stretched", the firm added.
Published first on TheFly
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