UPDATE: Bank of America Upgrades Hexcel; Raises PO

According to a research report published this morning, Bank of America has upgraded Hexcel

from Neutral to Buy, and has increased PO from $27 to $34. Bank of America mentioned in the report, "We are upgrading HXL to Buy from Neutral because: 1) HXL is a pure commercial aero original equipment (OE) play and the company is a direct beneficiary of Boeing and Airbus production increases. 2) Record volumes should drive margin expansion and unlock greater earnings upside. 3) More than half of Space and Defense is rotorcraft which is experiencing a secular trend to composite materials. 4) Wind energy has stabilized and we expect modest growth in 2012." Hexcel closed yesterday at $27.63.