What is DA Davidson's Forecast for Trex FY2026 Earnings?

Key Points

• DA Davidson has lowered its FY2026 earnings estimate for Trex from $2.44 to $2.43 per share, maintaining a "Neutral" rating with a price objective of $65.00.
• Trex reported a quarterly earnings per share (EPS) of $0.74, surpassing analysts’ expectations of $0.72, and achieved a net revenue of $387.80 million, up 3.0% year-over-year.
• The stock currently has a wide range of ratings with two sell ratings, seven holds, seven buys, and two strong buys, leading to an average price target of $74.31.

Trex Company, Inc. (NYSE:TREX - Free Report) - DA Davidson dropped their FY2026 EPS estimates for shares of Trex in a report released on Tuesday, August 5th. DA Davidson analyst K. Yinger now forecasts that the construction company will post earnings per share of $2.43 for the year, down from their previous forecast of $2.44. DA Davidson has a "Neutral" rating and a $65.00 price objective on the stock. The consensus estimate for Trex's current full-year earnings is $2.04 per share.

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

A number of other equities analysts have also commented on TREX. JPMorgan Chase & Co. dropped their price target on shares of Trex from $73.00 to $71.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 6th. Stephens lowered their price target on Trex from $73.00 to $65.00 and set an "equal weight" rating for the company in a research note on Monday, May 12th. UBS Group reissued a "neutral" rating and issued a $74.00 price objective (up previously from $72.00) on shares of Trex in a report on Tuesday, August 5th. Loop Capital restated a "hold" rating and issued a $66.00 price target on shares of Trex in a research report on Tuesday, August 5th. Finally, Robert W. Baird upgraded Trex from a "neutral" rating to an "outperform" rating and lifted their target price for the stock from $65.00 to $75.00 in a report on Thursday, July 10th. One research analyst has rated the stock with a sell rating, eight have issued a hold rating, six have issued a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $71.93.

Trex Price Performance

Shares of TREX traded down $1.03 during mid-day trading on Thursday, hitting $58.75. The company's stock had a trading volume of 672,119 shares, compared to its average volume of 1,603,276. Trex has a fifty-two week low of $49.01 and a fifty-two week high of $80.74. The firm has a 50-day moving average price of $59.65 and a 200 day moving average price of $60.16. The stock has a market capitalization of $6.30 billion, a price-to-earnings ratio of 33.99, a PEG ratio of 2.50 and a beta of 1.51.

Institutional Trading of Trex

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. CWM LLC increased its stake in shares of Trex by 16.8% during the 2nd quarter. CWM LLC now owns 1,141 shares of the construction company's stock worth $62,000 after purchasing an additional 164 shares during the last quarter. Bessemer Group Inc. lifted its position in shares of Trex by 9.1% during the fourth quarter. Bessemer Group Inc. now owns 2,034 shares of the construction company's stock valued at $140,000 after purchasing an additional 170 shares in the last quarter. AQR Capital Management LLC raised its position in Trex by 3.2% in the first quarter. AQR Capital Management LLC now owns 5,642 shares of the construction company's stock worth $320,000 after acquiring an additional 177 shares during the period. ProShare Advisors LLC grew its stake in Trex by 4.1% during the second quarter. ProShare Advisors LLC now owns 4,754 shares of the construction company's stock valued at $259,000 after acquiring an additional 189 shares in the last quarter. Finally, State of Michigan Retirement System grew its stake in Trex by 0.8% in the 1st quarter. State of Michigan Retirement System now owns 25,622 shares of the construction company's stock worth $1,489,000 after buying an additional 200 shares in the last quarter. Institutional investors and hedge funds own 95.96% of the company's stock.

Insider Activity at Trex

In other news, SVP Jacob T. Rudolph sold 1,500 shares of Trex stock in a transaction dated Thursday, May 15th. The stock was sold at an average price of $60.27, for a total transaction of $90,405.00. Following the transaction, the senior vice president directly owned 27,527 shares of the company's stock, valued at $1,659,052.29. The trade was a 5.17% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Amy M. Fernandez sold 1,538 shares of the business's stock in a transaction 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 completion of the transaction, the senior vice president directly owned 22,953 shares of the company's stock, valued at approximately $1,473,123.54. The trade was a 6.28% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.71% of the company's stock.

About Trex

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.