Trex Company, Inc. (NYSE:TREX) Shares Sold by Federated Hermes Inc.

Key Points

• Federated Hermes Inc. reduced its stake in Trex Company, Inc. by 26.7%, selling 334,090 shares and owning 915,927 shares worth approximately $53.2 million as of the end of the first quarter.
• Institutional investors collectively own 95.96% of Trex's stock, with several hedge funds increasing their positions significantly, including Huntington National Bank boosting holdings by 227.2% in the last quarter.
• Despite mixed analyst ratings, Trex's stock maintains a consensus rating of "Moderate Buy" with an average target price of $74.88, indicating some optimism for its future performance.

Federated Hermes Inc. reduced its position in Trex Company, Inc. (NYSE:TREX - Free Report) by 26.7% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 915,927 shares of the construction company's stock after selling 334,090 shares during the period. Federated Hermes Inc. owned 0.85% of Trex worth $53,215,000 at the end of the most recent quarter.

Other hedge funds also recently made changes to their positions in the company. Huntington National Bank grew its stake in Trex by 227.2% in the fourth quarter. Huntington National Bank now owns 566 shares of the construction company's stock worth $39,000 after purchasing an additional 393 shares in the last quarter. Blue Trust Inc. grew its stake in Trex by 55.9% in the first quarter. Blue Trust Inc. now owns 1,138 shares of the construction company's stock worth $66,000 after purchasing an additional 408 shares in the last quarter. GAMMA Investing LLC grew its stake in Trex by 137.7% in the first quarter. GAMMA Investing LLC now owns 1,666 shares of the construction company's stock worth $97,000 after purchasing an additional 965 shares in the last quarter. Resona Asset Management Co. Ltd. bought a new position in Trex in the fourth quarter worth approximately $122,000. Finally, Bessemer Group Inc. grew its stake in Trex by 9.1% in the fourth quarter. Bessemer Group Inc. now owns 2,034 shares of the construction company's stock worth $140,000 after purchasing an additional 170 shares in the last quarter. 95.96% of the stock is currently owned by hedge funds and other institutional investors.

Trex Stock Up 1.4%

Shares of TREX stock traded up $0.89 on Monday, hitting $64.31. The company had a trading volume of 590,830 shares, compared to its average volume of 1,587,307. The firm has a market cap of $6.90 billion, a P/E ratio of 35.33, a price-to-earnings-growth ratio of 2.67 and a beta of 1.51. The company has a 50-day moving average price of $59.07 and a 200-day moving average price of $60.52. Trex Company, Inc. has a twelve month low of $49.01 and a twelve month high of $80.74.

Trex (NYSE:TREX - Get Free Report) last issued its quarterly earnings data on Thursday, May 8th. The construction company reported $0.60 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.58 by $0.02. The business had revenue of $339.99 million during the quarter, compared to analysts' expectations of $329.11 million. Trex had a return on equity of 22.78% and a net margin of 17.69%. The company's revenue for the quarter was down 9.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.82 EPS. Equities research analysts expect that Trex Company, Inc. will post 2.04 EPS for the current year.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on TREX shares. Citigroup dropped their price objective on Trex from $78.00 to $60.00 and set a "neutral" rating on the stock in a research note on Friday, April 11th. Stephens dropped their target price on Trex from $73.00 to $65.00 and set an "equal weight" rating on the stock in a research report on Monday, May 12th. UBS Group dropped their target price on Trex from $74.00 to $72.00 and set a "neutral" rating on the stock in a research report on Friday, May 9th. Baird R W raised Trex from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 10th. Finally, B. Riley raised Trex to a "strong-buy" rating in a research report on Monday, July 21st. Two equities research analysts have rated the stock with a sell rating, seven have issued a hold rating, seven have assigned a buy rating and two have given a strong buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $74.88.

Insider Activity

In related 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 value of $90,405.00. Following the completion of the transaction, the senior vice president owned 27,527 shares in the company, valued at $1,659,052.29. The trade was a 5.17% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Amy M. Fernandez sold 2,366 shares of the business's stock in a transaction that occurred on Monday, May 12th. The stock was sold at an average price of $61.17, for a total value of $144,728.22. Following the sale, the senior vice president owned 24,569 shares of the company's stock, valued at approximately $1,502,885.73. This trade represents a 8.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.74% of the stock is owned by insiders.

Trex 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.