Royal Bank of Canada Increases Stock Position in Trex Company, Inc. $TREX

Key Points

• Royal Bank of Canada increased its holdings in Trex Company, Inc. by 534.0% during Q1, now owning 668,280 shares valued at approximately $38.83 million.
• Several institutional investors have significantly altered their stakes in Trex, with institutional ownership reaching 95.96% of the company's stock.
• Trex reported a quarterly EPS of $0.74, exceeding analysts' expectations, alongside a revenue increase of 3.0% year-over-year, totaling $387.80 million.

Royal Bank of Canada raised its holdings in Trex Company, Inc. (NYSE:TREX - Free Report) by 534.0% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 668,280 shares of the construction company's stock after acquiring an additional 562,877 shares during the period. Royal Bank of Canada owned approximately 0.62% of Trex worth $38,828,000 at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. Brooklyn Investment Group increased its holdings in shares of Trex by 35,733.3% during the 1st quarter. Brooklyn Investment Group now owns 1,075 shares of the construction company's stock worth $62,000 after buying an additional 1,072 shares during the last quarter. Blue Trust Inc. increased its holdings 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 worth $66,000 after buying an additional 408 shares during the last quarter. Quarry LP acquired a new stake in shares of Trex during the 1st quarter worth approximately $78,000. GAMMA Investing LLC increased its holdings in shares of Trex by 137.7% during the 1st quarter. GAMMA Investing LLC now owns 1,666 shares of the construction company's stock worth $97,000 after buying an additional 965 shares during the last quarter. Finally, State of Wyoming increased its holdings in shares of Trex by 13.7% during the 1st quarter. State of Wyoming now owns 3,365 shares of the construction company's stock worth $196,000 after buying an additional 406 shares during the last quarter. Institutional investors and hedge funds own 95.96% of the company's stock.

Insider Activity

In other news, SVP Amy M. Fernandez sold 1,538 shares of Trex stock in a transaction on Wednesday, August 6th. The shares were sold at an average price of $64.18, for a total transaction of $98,708.84. Following the completion of the sale, 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 position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 0.71% of the company's stock.

Wall Street Analyst Weigh In

TREX has been the subject of a number of recent analyst reports. Baird R W upgraded shares of Trex from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 10th. DA Davidson set a $65.00 target price on shares of Trex and gave the company a "neutral" rating in a report on Tuesday, August 5th. Robert W. Baird upgraded shares of Trex from a "neutral" rating to an "outperform" rating and lifted their target price for the company from $65.00 to $75.00 in a report on Thursday, July 10th. UBS Group reiterated a "neutral" rating and issued a $74.00 target price (up previously from $72.00) on shares of Trex in a report on Tuesday, August 5th. Finally, Wall Street Zen upgraded shares of Trex from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Two investment analysts have rated the stock with a Strong Buy rating, six have given a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, Trex has a consensus rating of "Moderate Buy" and a consensus target price of $71.93.

Trex Price Performance

Shares of Trex stock traded down $1.78 during trading on Friday, hitting $60.49. 908,637 shares of the stock were exchanged, compared to its average volume of 1,397,973. The stock has a market cap of $6.49 billion, a price-to-earnings ratio of 34.97, a price-to-earnings-growth ratio of 2.60 and a beta of 1.51. The firm's 50-day moving average price is $62.89 and its 200 day moving average price is $59.10. Trex Company, Inc. has a 12-month low of $49.01 and a 12-month high of $80.74.

Trex (NYSE:TREX - Get Free Report) last released its quarterly earnings data on Monday, August 4th. The construction company reported $0.74 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.72 by $0.02. The business had revenue of $387.80 million during the quarter, compared to analysts' expectations of $377.49 million. Trex had a net margin of 16.53% and a return on equity of 21.27%. The company's revenue for the quarter was up 3.0% on a year-over-year basis. During the same period in the previous year, the company earned $0.80 EPS. Trex has set its Q3 2025 guidance at EPS. As a group, research analysts forecast that Trex Company, Inc. will post 2.04 earnings per share for the current year.

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.