Fred Alger Management LLC Reduces Stock Holdings in Trex Company, Inc. $TREX

Key Points

• Fred Alger Management LLC decreased its holdings in Trex Company, Inc. by 32.5%, selling 103,622 shares and retaining approximately 0.20% ownership, valued at $12.5 million.
• Several large investors, including Mercer Global Advisors and Deutsche Bank AG, have recently increased their stakes in Trex, indicating a trend of growing institutional interest in the company.
• The stock's target prices have been modified by various analysts, with Stephens lowering it to $65.00, while Robert W. Baird upgraded it to $75.00, showing mixed sentiments among market analysts.

Fred Alger Management LLC decreased its position in Trex Company, Inc. (NYSE:TREX - Free Report) by 32.5% during the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 215,079 shares of the construction company's stock after selling 103,622 shares during the quarter. Fred Alger Management LLC owned approximately 0.20% of Trex worth $12,496,000 at the end of the most recent quarter.

A number of other institutional investors also recently bought and sold shares of TREX. Price T Rowe Associates Inc. MD lifted its holdings in Trex by 132.8% in the first quarter. Price T Rowe Associates Inc. MD now owns 7,297,863 shares of the construction company's stock valued at $424,007,000 after acquiring an additional 4,163,014 shares during the period. Madison Asset Management LLC bought a new position in shares of Trex in the first quarter worth about $109,852,000. Point72 Asset Management L.P. raised its stake in shares of Trex by 87.4% in the fourth quarter. Point72 Asset Management L.P. now owns 1,916,134 shares of the construction company's stock worth $132,271,000 after buying an additional 893,675 shares during the period. American Century Companies Inc. raised its stake in shares of Trex by 66.1% in the first quarter. American Century Companies Inc. now owns 1,972,125 shares of the construction company's stock worth $114,580,000 after buying an additional 784,820 shares during the period. Finally, Wellington Management Group LLP bought a new position in shares of Trex in the first quarter worth about $39,646,000. Institutional investors own 95.96% of the company's stock.

Analyst Ratings Changes

Several research firms have recently commented on TREX. Baird R W raised Trex from a "hold" rating to a "strong-buy" rating in a research note on Thursday, July 10th. DA Davidson set a $65.00 price objective on Trex and gave the stock a "neutral" rating in a research note on Tuesday, August 5th. B. Riley raised Trex to a "strong-buy" rating in a research note on Monday, July 21st. Loop Capital reaffirmed a "hold" rating and issued a $66.00 price objective on shares of Trex in a research note on Tuesday, August 5th. Finally, UBS Group reaffirmed a "neutral" rating and issued a $74.00 price objective (up previously from $72.00) on shares of Trex in a research note on Tuesday, August 5th. Two investment analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $71.93.

Trex Trading Down 2.9%

TREX traded down $1.78 on Friday, hitting $60.49. 908,637 shares of the company's stock traded hands, compared to its average volume of 1,375,213. The company's 50 day simple moving average is $62.89 and its 200-day simple moving average is $59.08. The firm has a market cap of $6.49 billion, a price-to-earnings ratio of 34.97, a P/E/G ratio of 2.53 and a beta of 1.51. Trex Company, Inc. has a one year low of $49.01 and a one year high of $80.74.

Trex (NYSE:TREX - Get Free Report) last issued 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 the consensus estimate 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% on a year-over-year basis. During the same quarter last year, the company earned $0.80 EPS. Trex has set its Q3 2025 guidance at EPS. As a group, equities analysts anticipate that Trex Company, Inc. will post 2.04 EPS for the current fiscal year.

Insiders Place Their Bets

In other Trex news, SVP Amy M. Fernandez sold 1,538 shares of the firm's stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $64.18, for a total transaction of $98,708.84. Following the completion of the transaction, the senior vice president owned 22,953 shares in the company, valued at $1,473,123.54. This trade represents a 6.28% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. 0.74% of the stock is owned by corporate insiders.

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.