Which Industrial Stock To Buy

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Which Industrial Stock To Buy

Loar Vs. Hexcel: Which Industrial Stock To Buy?

When we talk about industrial stocks, the two big names are Loar and Hexcel. On the one hand, Loar is expanding rapidly. On the other hand, Hexcel has been around for so many years and is an established player.

So, if you had to buy an industrial stock in 2026, should you buy Hexcel or Loar? Today, we will look at both of these industrial stocks to find out which is the better option.

Hexcel is a market leader when it comes to advanced composite materials. These materials are used to make airplanes lighter and more fuel-efficient. Loar mainly focuses on the design and manufacture of different components for military and commercial aviation.

Hexcel

The products made by Hexcel are essential for modern aircraft. Around 39% of Hexcel's sales came from Airbus and around 13% from Boeing. So, one key risk for Hexcel is that it has a concentrated customer base.

The FY2025 revenue of Hexcel was $1.9 billion. This was around 0.5% lower than last year. But despite the weakness in sales, the net income was still around $109.4 million.

Loar

If we look at Loar, it makes components for business jets, commercial aviation, and military platforms. One good thing about Loar is that it has a very diversified customer base. No single customer accounts for more than 12% of net sales.

The FY2025 revenue of Loar was $496.3 million. This means an increase of almost 23.2% when compared to last year. The net income of Loar was $72.1 million.

Which Industrial Stock To Buy?

So, which industrial stock is the better buy? If you want a stock that has a dominant position in the market, go for Hexcel. However, don't expect the Hexcel stock to give you multibagger returns. Loar stock is a better option for those who are willing to buy a smaller company in hopes of multibagger returns.

But if you really have to choose, then Hexcel is the better buy. It has big-name customers and a massive backlog that promises years of steady revenue.

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