UPDATE: Topeka Capital Markets Raises PT on Hexcel on Improved Demand

In a report published on Wednesday, Topeka Capital Markets analyst Chris Kapsch raised the price target on Hexcel HXL from $38 to $40 and reiterated a rating of Buy on the company.

In the report, Topeka Capital Markets stated, "We are increasing our price target on HXL to reflect increased visibility regarding the multi-year secular growth story and our enhanced confidence in the Company's ability to capitalize on the sustainably-favorable commercial aerospace end-market backdrop. Several fundamental considerations—most underscored by news flow emanating from the ongoing Paris Airshow—should continue to help HXL deliver continued attractive double-digit EPS growth, including ramping 787, A350 and A400M production schedules, the expansion of the Dreamliner product offering into larger variants, and forthcoming commercial introductions/ ramps of the A320neo and 737max variants."

Hexcel closed on Tuesday at $35.32.