olivLaw · US equity research
Hexcel Corporation HXL
Plastic Materials, Synth Resins & Nonvulcan Elastomers · SIC 2821 · Vertical: Plastic Materials, Synth Resins & Nonvulcan Elastomers (SIC 2821)
Hexcel is a global leader in lightweight composites, supplying carbon fiber, prepregs, honeycomb and composite structures, mainly for commercial aerospace. The business depends closely on aircraft production rates, and in 2026 demand stays strong, with sales guidance of 2.025 - 2.125 billion USD that the company has kept unchanged.
At the close of 04 Nov 2026, Hexcel Corporation (HXL) stock was 83.39 USD (+1.91% on the day), with market capitalisation 6.3 bn USD, P/E 219.4 on diluted EPS of 0.38 USD over the last 12 months, dividend yield 169.98%, beta 1.05, 52-week range 67.81–110.28 USD. Latest reported quarter (Q3 2026): revenue of 496.4 m USD (+8.8% YoY), net income of 38.6 m USD (+87.4% YoY).
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 47.7
- neutral
- Bollinger (20, 2)
- 75.02 – 93.29
- in the lower half of the band · %B 0.46 · band width 21.7%
- SMA 50 / 200
- 87.08 / 90.61
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -2.04 / -2.05
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −2.9% | −1.1% | −1.8 pp | — |
| 3 months | −20.1% | −0.5% | −19.6 pp | — |
| 6 months | −13.6% | +4.4% | −18.0 pp | — |
| Year to date | +12.8% | +12.3% | +0.5 pp | — |
| 1 year | +19.2% | +13.5% | +5.7 pp | +17.6% |
| 3 years | +31.2% | +76.4% | −45.3 pp | −20.5% |
| 5 years | +33.7% | +63.7% | −29.9 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 473.8 m | 456.5 m | 489.9 m | 456.2 m | 491.3 m | 501.5 m | 529.3 m | 496.4 m |
| Cost of revenue | 355.3 m | 354.1 m | 378.4 m | 356.3 m | 370.3 m | 366.8 m | 391.2 m | 380.9 m |
| Gross profit | 118.5 m | 102.4 m | 111.5 m | 99.9 m | 121.0 m | 134.7 m | 138.1 m | 115.5 m |
| Research & development | 13.5 m | 13.8 m | 14.3 m | 14.0 m | 14.3 m | 17.8 m | 17.3 m | 16.2 m |
| SG&A | 47.9 m | 43.3 m | 43.0 m | 41.1 m | 41.6 m | 49.4 m | 47.2 m | 44.9 m |
| Operating income | 8.9 m | 44.2 m | 30.0 m | 36.0 m | 61.4 m | 57.6 m | 72.6 m | 54.8 m |
| Depreciation & amortisation | 31.0 m | 29.8 m | 30.8 m | 30.9 m | 30.8 m | 30.4 m | 30.1 m | 30.0 m |
| Interest expense | 8.1 m | 7.8 m | 9.1 m | 9.2 m | 11.6 m | 11.8 m | 12.0 m | 12.1 m |
| Pre-tax income | 800.0 k | 36.0 m | — | — | — | 45.5 m | — | — |
| Income tax | -5.0 m | 7.1 m | 8.3 m | 6.2 m | 4.0 m | 8.3 m | 11.4 m | 4.1 m |
| Net income | 5.8 m | 28.9 m | 13.5 m | 20.6 m | 46.4 m | 37.2 m | 49.3 m | 38.6 m |
| Operating cash flow | 162.6 m | -28.5 m | 23.3 m ≈ | 110.2 m ≈ | 125.5 m | 19.0 m | 77.7 m ≈ | 74.4 m ≈ |
| Capex | 18.6 m | 26.1 m | 15.3 m ≈ | 13.7 m ≈ | 18.2 m | 25.2 m | 19.7 m ≈ | 23.7 m ≈ |
| Dividends paid | 12.1 m | 13.8 m | 13.7 m ≈ | 13.5 m ≈ | 12.9 m | 13.7 m | 13.6 m ≈ | 13.6 m ≈ |
| Share repurchases | 0 | 50.4 m | 50.5 m ≈ | 0 ≈ | 353.4 m | 0 | 0 ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 100 percentile of its own 17-quarter history (min 11.5, median 20.5, max 127.6; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 2.2 bn | 2.4 bn | 1.5 bn | 1.3 bn | 1.6 bn | 1.8 bn | 1.9 bn | 1.9 bn |
| Revenue YoY | +10.9% | +7.6% | −36.2% | −11.8% | +19.1% | +13.4% | +6.4% | −0.5% |
| Net income | 276.6 m | 306.6 m | 31.7 m | 16.1 m | 126.3 m | 105.7 m | 132.1 m | 109.4 m |
| Net income YoY | −2.6% | +10.8% | −89.7% | −49.2% | +684.5% | −16.3% | +25.0% | −17.2% |
| Diluted EPS | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| net % | 12.6% | 13.0% | 2.1% | 1.2% | 8.0% | 5.9% | 6.9% | 5.8% |
| Free cash flow | 237.3 m | 287.0 m | 213.7 m | 123.8 m | 96.8 m | 148.9 m | 202.9 m | 157.2 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 71.0 m USD
- Financial debt
- 993.0 m USD
- Net debt
- 922.0 m USD
- Equity
- 1.3 bn USD
- Total assets
- 2.7 bn USD
- Debt / equity
- 0.79x
- Current ratio
- 2.26x
- ROE
- 7.9%
- ROA
- 4.0%
- FCF margin
- 8.3%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.5 bn | 1.3 bn | 1.6 bn | 1.8 bn | 1.9 bn | 1.9 bn | SEC (XBRL)· 11 Feb 2026verified |
| Cost of revenue | 1.3 bn | 1.1 bn | 1.2 bn | 1.4 bn | 1.4 bn | 1.5 bn | SEC (XBRL)· 11 Feb 2026verified |
| Gross profit | 239.7 m | 250.1 m | 357.1 m | 433.2 m | 469.8 m | 434.8 m | SEC (XBRL)· 11 Feb 2026verified |
| Research & development | 46.6 m | 45.1 m | 45.8 m | 52.7 m | 57.1 m | 56.4 m | SEC (XBRL)· 11 Feb 2026verified |
| SG&A | 121.1 m | 135.0 m | 148.0 m | 163.8 m | 176.6 m | 169.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Operating income | 14.1 m | 51.8 m | 175.2 m | 215.3 m | 186.1 m | 171.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Depreciation & amortisation | 140.9 m | 138.0 m | 126.2 m | 124.8 m | 124.0 m | 122.3 m | SEC (XBRL)· 11 Feb 2026verified |
| EBITDA | 155.0 m ≈ | 189.8 m ≈ | 301.4 m ≈ | 340.1 m ≈ | 310.1 m ≈ | 293.9 m ≈ | SEC (XBRL)· 11 Feb 2026derived |
| Interest expense | 41.8 m | 38.3 m | 36.2 m | 34.0 m | 31.2 m | 37.7 m | SEC (XBRL)· 11 Feb 2026verified |
| Pre-tax income | -27.7 m | 22.0 m | 149.8 m | 109.7 m | 154.9 m | 135.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Income tax | -61.0 m | 5.9 m | 31.6 m | 12.1 m | 22.8 m | 25.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Net income | 31.7 m | 16.1 m | 126.3 m | 105.7 m | 132.1 m | 109.4 m | SEC (XBRL)· 11 Feb 2026verified |
| Weighted average diluted shares | 84.0 m | 84.6 m | 85.0 m | 85.5 m | 83.0 m | 80.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Dividend per share | 0.17 | — | 0.40 | 0.50 | 0.60 | 70.95 | SEC (XBRL)· 11 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 103.3 m | 127.7 m | 112.0 m | 227.0 m | 125.4 m | 71.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Receivables | 125.4 m | 160.3 m | 222.7 m | 234.7 m | 212.0 m | 249.3 m | SEC (XBRL)· 11 Feb 2026verified |
| Inventories | 213.5 m | 245.7 m | 319.3 m | 334.4 m | 356.2 m | 328.8 m | SEC (XBRL)· 11 Feb 2026verified |
| Current assets | 535.9 m | 616.3 m | 734.4 m | 864.2 m | 781.5 m | 730.7 m | SEC (XBRL)· 11 Feb 2026verified |
| Property, plant & equipment, net | 1.9 bn | 1.7 bn | 1.7 bn | 1.7 bn | 1.6 bn | 1.6 bn | SEC (XBRL)· 11 Feb 2026verified |
| Goodwill | 193.1 m | 190.5 m | 187.0 m | 188.7 m | 186.5 m | 191.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Intangibles (excl. goodwill) | 75.4 m | 72.7 m | 65.4 m | 58.5 m | 46.2 m | 41.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Total assets | 2.9 bn | 2.8 bn | 2.8 bn | 2.9 bn | 2.7 bn | 2.7 bn | SEC (XBRL)· 11 Feb 2026verified |
| Accounts payable | 70.0 m | 113.2 m | 155.5 m | 159.1 m | 142.3 m | 146.6 m | SEC (XBRL)· 11 Feb 2026verified |
| Short-term debt | 900.0 k | 900.0 k | 200.0 k | 100.0 k | 100.0 k | 0 | SEC (XBRL)· 11 Feb 2026verified |
| Long-term debt | 925.5 m | 822.4 m | 723.3 m | 699.4 m | 700.6 m | 993.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Current liabilities | 183.1 m | 247.6 m | 329.8 m | 315.9 m | 353.5 m | 322.7 m | SEC (XBRL)· 11 Feb 2026verified |
| Total liabilities | 1.4 bn | 1.3 bn | 1.3 bn | 1.2 bn | 1.2 bn | 1.5 bn | SEC (XBRL)· 11 Feb 2026verified |
| Equity | 1.5 bn † | 1.5 bn † | 1.6 bn † | 1.7 bn † | 1.5 bn † | 1.3 bn † | SEC (XBRL)· 11 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 264.3 m | 151.7 m | 173.1 m | 257.1 m | 289.9 m | 230.5 m | SEC (XBRL)· 11 Feb 2026verified |
| Capex | 50.6 m | 27.9 m | 76.3 m | 108.2 m | 87.0 m | 73.3 m | SEC (XBRL)· 11 Feb 2026verified |
| Free cash flow | 213.7 m ≈ | 123.8 m ≈ | 96.8 m ≈ | 148.9 m ≈ | 202.9 m ≈ | 157.2 m ≈ | SEC (XBRL)· 11 Feb 2026derived |
| Investing cash flow | -50.6 m | -27.9 m | -54.6 m | -50.7 m | -87.0 m | -76.0 m | SEC (XBRL)· 11 Feb 2026verified |
| Financing cash flow | -178.5 m | -96.8 m | -130.0 m | -92.6 m | -301.7 m | -212.3 m | SEC (XBRL)· 11 Feb 2026verified |
| Dividends paid | 14.2 m | 0 | 33.7 m | 42.2 m | 49.3 m | 53.9 m | SEC (XBRL)· 11 Feb 2026verified |
| Share repurchases | 24.6 m | 0 | 0 | 30.1 m | 252.2 m | 454.3 m | SEC (XBRL)· 11 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 57 / 100
A scoring methodology on indicators and valuation, not investment advice.
(margin_of_safety <= -0.25 & agreement in ['high', 'medium'])
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 6.3 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation26
- Returns95
- Quality76
- Balance sheet61
- Growth52
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 36.81 – 1,253.86 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)36.81 – 64.91 (Mid 47.49)WACC 8.7% · starting FCFF 248.2 m USD · terminal value share of EV 75%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 29.0%
- Peers: EV/EBITDAunavailable · not enough peers
- Peers: P/E47.91 – 115.38 (Mid 55.49)5 companies used · median multiple 24.5x · quartiles 21.1x – 50.9xALB, AVNT, DD, EMN, ROG
- Dividend discount (DDM)932.36 – 1,253.86 (Mid 1,069.47)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 57/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 9.0% | 54 (on a fixed band) | 11% |
| Net margin · Quality | 8.5% | 88 (vs peers) | 7% |
| FCF conversion · Quality | 122.3% | 100 (on a fixed band) | 7% |
| Revenue CAGR 3Y · Growth | 6.3% | 52 (on a fixed band) | 9% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | 2.3x | 48 (on a fixed band) | 11% |
| Interest coverage · Balance sheet | 5.2x | 57 (on a fixed band) | 7% |
| Current ratio · Balance sheet | 2.6x | 100 (on a fixed band) | 5% |
| P/E (TTM) · Valuation | 36.8x | 40 (vs peers) | 11% |
| EV/EBITDA · Valuation | 19.5x | 0 (on a fixed band) | 11% |
| FCF yield · Valuation | 3.3% | 42 (on a fixed band) | 9% |
| Shareholder yield (distributions) · Returns | 6.5% | 92 (on a fixed band) | 7% |
| Payout ratio (FCF) · Returns | 25.6% | 100 (on a fixed band) | 5% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet61/100 · 3/3 factors with a value
- Growth· partial52/100 · 1/2 factors with a value
- Quality76/100 · 3/3 factors with a value
- Returns95/100 · 2/2 factors with a value
- Valuation26/100 · 3/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Hexcel Corporation (HXL). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 1.9 bn USD in 2025; YoY growth -0.5%; net margin 8.5%; ROE 11.9%; net debt/EBITDA 2.3x.
The estimated value range is 47.91–115.38 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 55.49 USD, the price of 83.39 USD leaves a potential of -33.5% (value / price − 1) and a margin of safety of -50.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 57/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 8.5%
- FCF conversion: 122.3%
- Current ratio: 2.6x
- Shareholder yield (distributions): 6.5%
- Payout ratio (FCF): 25.6%
What contradicts it
- EV/EBITDA: 19.5x
Not assessed (insufficient data or a ratio without meaning): EPS CAGR 3Y.
Versus the vertical median
Plastic Materials, Synth Resins & Nonvulcan Elastomers (SIC 2821) · same industry (4-digit SIC) · compared with 8 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| DOWDow Inc. | 23.7 bn | — | -4.3% | -1.7% | −7.0% | +37% / −37% |
| DDDupont De Nemours, Inc. | 20.0 bn | 73.5 | 1.7% | 4.3% | +1.9% | +26% / +68% |
| ALBAlbemarle Corporation | 11.2 bn | 21.1 | 6.6% | 11.1% | −4.4% | −27% / −22% |
| EMNEastman Chemical Co | 7.7 bn | 12.4 | 10.4% | 6.9% | −6.7% | +9% / −19% |
| HXLHexcel Corporation | 6.3 bn | 36.8 | 11.9% | 8.5% | −0.5% | +19% / +31% |
| AVNTAvient Corporation | 4.4 bn | 24.5 | 7.5% | 5.3% | +0.6% | +56% / +39% |
| ROGRogers Corp | 2.3 bn | 50.9 | 3.7% | 5.3% | −2.3% | +54% / −1% |
| PCTPureCycle Technologies, Inc. | 560.8 m | — | -432.6% | -1,370.9% | unavailable | −68% / −31% |
| ASIXAdvanSix Inc. | 419.2 m | — | -2.8% | -1.4% | +0.3% | +1% / −41% |
1- and 3-year price returns: for HXL from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 50.17 Total return -40% · Per year -40% | 88.63 Total return 6% · Per year 6% | 133.39 Total return 60% · Per year 60% |
| 3 years | 50.45 Total return -40% · Per year -15% | 100.10 Total return 20% · Per year 6% | 165.18 Total return 98% · Per year 26% |
| 5 years | 50.73 Total return -39% · Per year -9% | 113.07 Total return 36% · Per year 6% | 204.54 Total return 145% · Per year 20% |
- Exit P/E± 25.03
- Net margin± 17.52
- Annual revenue growth± 14.14
- Annual dilution± 1.47
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Hexcel is a global leader in lightweight composites, supplying carbon fiber, prepregs, honeycomb and composite structures, mainly for commercial aerospace. The business depends closely on aircraft production rates, and in 2026 demand stays strong, with sales guidance of 2.025 - 2.125 billion USD that the company has kept unchanged.
SWOT
Strengths
- Leading position in lightweight composites, with a broad product range and a presence on Airbus and Boeing platforms.
- Rising operating margin in 2026 shows the ability to benefit from higher volume.
- Growing cash generation and commitment to reducing debt and repurchasing shares.
Weaknesses
- High dependence on a few aviation customers, especially Airbus and Boeing.
- Personnel and training costs rose, temporarily weighing on quarterly profitability.
- Defense and space sales declined in 2026 due to soft programs and divestments.
Opportunities
- Rising composite content in new generations of aircraft and engines.
- Growing defense budgets could support demand for new platforms.
- Lighter composite materials with a smaller environmental footprint may attract efficiency-minded customers.
Threats
- Delays in aircraft production caused by supply chain bottlenecks.
- Geopolitical tensions that could create cost and logistics pressures.
- Customer pressure for price cuts, which could compress margins.
Risks
- Concentration in commercial aviationhigh
Commercial aviation makes up most of sales, so a slowdown in demand would directly affect results.
- Dependence on Airbus and Boeinghigh
Losing or reducing business with these two customers could have a significant impact on the company.
- Production rates and supply chainmedium
Delays in aircraft production caused by supply or labor problems can postpone sales.
- Defense spendingmedium
Military budgets are hard to predict, and individual programs can be cancelled or reduced.
- Government procurement compliancelow
Failure to follow procurement and security rules could lead to fines and loss of contracts.
Investment thesis
What would need to be true (bull case)
- Rising commercial aviation sales and an improving operating margin could support a recovery in profitability if production keeps rising.
- Order backlogs near record levels give visibility on demand over several years.
- Better cash generation allows debt reduction and share repurchases, which could support shareholder value.
What would break the thesis
- Heavy dependence on a few aviation customers could expose the company to sudden drops if production slows.
- Defense and space sales declined, and a prolonged weakness in these programs could weigh on results.
- Cost and geopolitical pressures could compress margins if they are not offset by volume.
What to watch
- Delivery against 2026 sales and adjusted EPS guidance2026
- Return to the targeted leverage rangeend 2026
- Commercial aerospace sales trend and Airbus and Boeing production rates2027
- Defense, Space & Other sales and the soft programsnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Hexcel Corporation and its subsidiaries describe themselves as a global leader in advanced lightweight composites technology, with a range covering carbon fiber, specialty reinforcements, prepregs, resins, honeycomb and composite structures for commercial aerospace, defense and space, and industrial uses 1. The company operates in a single industry, Advanced Composites, and reports two segments: Composite Materials and Engineered Products 1. It serves international markets through facilities and sales offices in the Americas, Europe, Asia Pacific, India and Africa 1.
The Composite Materials segment includes HexTow carbon fibers, HexForce fabrics, HexPly prepregs, structural adhesives, HexWeb honeycomb and pultruded profiles, with key customers such as Airbus, Boeing, Safran and Leonardo 1. Its sales depend strongly on the number of commercial aircraft produced 1. The Engineered Products segment makes composite structures, precision machined honeycomb parts, RF interference control materials and HexAM 3D printed parts, mainly for aerospace 1.
The company focused its portfolio on carbon fiber and engineered composites, selling its Austrian operations and closing its Welkenraedt, Belgium facility during 2025 1. In the first nine months of 2026, sales rose and the gross margin reached 25.4% 2.
Segments
Composite Materials
The segment makes core materials such as carbon fiber, prepregs, adhesives and honeycomb used in aircraft, engines and defense applications. It represented about 80% of net sales in 2025 1. In the first nine months of 2026, segment sales grew faster than the company average, led by commercial aerospace 2.
Market context
Commercial aerospace is the company's largest market and accounted for 61% of 2025 sales 1. Demand for new aircraft is driven by passenger traffic and fleet replacement rates, and the combined Airbus and Boeing backlog stood at 15,474 aircraft at the end of 2025 1. The defense, space and other market depends on military budgets and individual programs, some of which were temporarily weaker in 2026 2.
Over the long term, the company points to the secular penetration of composites in new aircraft and a rising composite content in each new aircraft generation, which could lift average sales per airplane 1. Commercial aerospace sales in the first nine months of 2026 rose 19.1% 2.
Trends
- Aircraft production ratestailwind
Rising Airbus and Boeing production rates have supported aviation sales, and order backlogs are near record levels 1. If supply chain bottlenecks persist, delivery rates could remain below potential 1.
- Customer concentrationheadwind
Airbus and its subcontractors accounted for about 39% of 2025 sales, and Boeing for about 13% 1. A decline in business with either customer would significantly affect results 1.
- Defense and space budgetsmixed
Defense budgets are rising in several countries, yet individual programs have been soft and Defense, Space & Other sales declined in 2026 2. The short-term effect is mixed, with long-term potential if new platforms expand.
- Cost and geopolitical pressuresheadwind
The Middle East conflict and tariffs could create cost and logistics pressures if they prolong 2. The company has shown it can recover margin through higher volume 2.
Competitive position
The documents provided do not name direct competitors in detail, but they describe the market through aircraft manufacturers and subcontracting customers such as Safran, Toray and Syensqo, which appear as suppliers or customers in the supply chain 1. Competition rests on technological innovation, cost and the ability to develop new products on time 1.
The company's advantage depends on sustaining research and development investment, while the risk is that customer cost pressure could compress margins 1. In 2026 Hexcel reported sales growth that points to a solid competitive position, but no direct rivals are named in the supplied sources 2.
- Toray Industries
Named in the source as a key customer in the Composite Materials segment, relevant both as supplier and partner in the supply chain.
- Syensqo
Appears in the list of key customers of the Composite Materials segment, relevant to materials supply dynamics.
- Safran
Key customer of the Composite Materials segment, both partner and benchmark for demand in engines and nacelles.
- Leonardo
Listed among key customers, relevant to the defense and aerospace segment.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report21 Oct 2026
- Current report21 Oct 2026Results of operations · Regulation FD disclosure · Other events · Financial statements and exhibits
- Quarterly report29 Jul 2026
- Current report29 Jul 2026Results of operations · Regulation FD disclosure · Other events · Financial statements and exhibits
- Current report28 May 2026Termination of a material agreement
- Current report15 May 2026Departure or appointment of officers · Shareholder vote · Other events · Financial statements and exhibits
- Current report30 Apr 2026Other events · Financial statements and exhibits
- Quarterly report22 Apr 2026
- Current report22 Apr 2026Results of operations · Regulation FD disclosure · Other events · Financial statements and exhibits
- Proxy statement01 Apr 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Hexcel Corporation · 11 Feb 2026
- [2] Form 10-Q, quarter ended 2026-09-30 · SEC / Hexcel Corporation · 21 Oct 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Hexcel Corporation · 21 Oct 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.