B. Riley Has Bearish Forecast for Trex Q3 Earnings

Key Points

• B. Riley analysts have revised their Q3 2025 EPS estimate for Trex down to $0.55, compared to a prior forecast of $0.66, while maintaining a "Strong-Buy" rating on the stock.
• Trex's recent quarterly earnings showed an EPS of $0.60, exceeding the consensus estimate of $0.58, although revenue fell by 9.0% year-over-year.
• Insider trading activity includes significant stock sales by two senior vice presidents, indicating a decrease in ownership positions despite the company's overall market cap of $7.07 billion.

Trex Company, Inc. (NYSE:TREX - Free Report) - Equities research analysts at B. Riley decreased their Q3 2025 earnings per share estimates for shares of Trex in a note issued to investors on Tuesday, August 5th. B. Riley analyst R. Seth now expects that the construction company will post earnings of $0.55 per share for the quarter, down from their previous estimate of $0.66. B. Riley currently has a "Strong-Buy" rating on the stock. The consensus estimate for Trex's current full-year earnings is $2.04 per share. B. Riley also issued estimates for Trex's Q4 2025 earnings at $0.32 EPS, FY2025 earnings at $2.21 EPS, Q3 2026 earnings at $0.67 EPS, Q4 2026 earnings at $0.38 EPS, FY2026 earnings at $2.60 EPS and FY2027 earnings at $2.90 EPS.

Several other analysts have also commented on the company. BMO Capital Markets upgraded Trex from a "market perform" rating to an "outperform" rating and set a $72.00 price objective for the company in a report on Thursday, April 17th. UBS Group restated a "neutral" rating and set a $74.00 price objective (up previously from $72.00) on shares of Trex in a report on Tuesday. Loop Capital reiterated a "hold" rating and issued a $66.00 target price on shares of Trex in a research note on Tuesday. Citigroup cut their price target on shares of Trex from $78.00 to $60.00 and set a "neutral" rating on the stock in a research note on Friday, April 11th. Finally, Benchmark reaffirmed a "buy" rating and issued a $80.00 price target on shares of Trex in a report on Monday, May 12th. Two analysts have rated the stock with a sell rating, seven have given a hold rating, six have assigned a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat, Trex has an average rating of "Hold" and an average price target of $71.93.

Trex Stock Down 2.7%

Shares of NYSE TREX traded down $1.66 during trading hours on Wednesday, hitting $59.80. 1,548,672 shares of the stock were exchanged, compared to its average volume of 1,557,287. Trex has a 12 month low of $49.01 and a 12 month high of $80.74. The firm has a fifty day moving average price of $59.65 and a 200-day moving average price of $60.35. The company has a market cap of $6.41 billion, a PE ratio of 34.57, a PEG ratio of 2.56 and a beta of 1.51.

Trex (NYSE:TREX - Get Free Report) last posted its earnings results on Monday, August 4th. The construction company reported $0.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.72 by $0.02. The company had revenue of $387.80 million for the quarter, compared to analyst estimates of $377.49 million. Trex had a return on equity of 21.27% and a net margin of 16.53%. The firm's quarterly revenue was up 3.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.80 earnings per share.

Insider Activity

In related news, SVP Jacob T. Rudolph sold 1,500 shares of the company's stock in a transaction dated Thursday, May 15th. The stock was sold at an average price of $60.27, for a total value of $90,405.00. Following the completion of the transaction, the senior vice president owned 27,527 shares of the company's stock, valued at approximately $1,659,052.29. This represents a 5.17% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Amy M. Fernandez sold 1,538 shares of the stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $64.18, for a total value of $98,708.84. Following the transaction, the senior vice president owned 22,953 shares in the company, valued at $1,473,123.54. This represents a 6.28% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 5,404 shares of company stock worth $333,842. Corporate insiders own 0.71% of the company's stock.

Institutional Investors Weigh In On Trex

Several large investors have recently bought and sold shares of TREX. GAMMA Investing LLC grew its holdings in shares of Trex by 137.7% in the first quarter. GAMMA Investing LLC now owns 1,666 shares of the construction company's stock valued at $97,000 after purchasing an additional 965 shares during the period. Teacher Retirement System of Texas purchased a new stake in shares of Trex in the 1st quarter valued at approximately $911,000. State of Alaska Department of Revenue increased its holdings in shares of Trex by 2.7% during the 1st quarter. State of Alaska Department of Revenue now owns 12,546 shares of the construction company's stock worth $728,000 after buying an additional 330 shares during the last quarter. Janney Montgomery Scott LLC raised its position in shares of Trex by 26.0% during the 1st quarter. Janney Montgomery Scott LLC now owns 70,990 shares of the construction company's stock valued at $4,125,000 after buying an additional 14,670 shares during the period. Finally, Blue Trust Inc. raised its position in shares of Trex by 55.9% during the 1st quarter. Blue Trust Inc. now owns 1,138 shares of the construction company's stock valued at $66,000 after buying an additional 408 shares during the period. 95.96% of the stock is currently owned by hedge funds and other institutional investors.

Trex Company Profile

Trex Company, Inc manufactures and distributes composite decking, railing, and outdoor living products and accessories for residential and commercial markets in the United States. It offers decking products and accessories under the names Trex Transcend, Trex Select, Trex Signature, Trex Transcend Lineage, and Trex Enhance for protection against fading, staining, mold, and scratching; Trex Hideaway, a hidden fastening system; and Trex DeckLighting, a LED dimmable deck lighting for use on posts, floors, and steps.