Trex Company, Inc. (NYSE:TREX) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Trex Company, Inc. has received a consensus rating of "Moderate Buy" from 16 analysts, with a 12-month target price averaging $71.93.
• Insider Amy M. Fernandez sold 1,538 shares at $64.18, reducing her stake by 6.28% and maintaining a total of 22,953 shares.
• The company reported earnings of $0.74 per share for the last quarter, exceeding estimates and showing a 3.0% revenue increase compared to the previous year.

Shares of Trex Company, Inc. (NYSE:TREX - Get Free Report) have received a consensus recommendation of "Moderate Buy" from the sixteen research firms that are covering the company, MarketBeat Ratings reports. One analyst has rated the stock with a sell recommendation, seven have issued a hold recommendation, six have issued a buy recommendation and two have given a strong buy recommendation to the company. The average 1-year target price among brokers that have covered the stock in the last year is $71.9286.

TREX has been the topic of several research reports. Loop Capital restated a "hold" rating and set a $66.00 price target on shares of Trex in a research note on Tuesday, August 5th. UBS Group restated a "neutral" rating and set a $74.00 price target (up previously from $72.00) on shares of Trex in a research note on Tuesday, August 5th. Robert W. Baird upgraded Trex from a "neutral" rating to an "outperform" rating and raised their price target for the company from $65.00 to $75.00 in a research note on Thursday, July 10th. Baird R W upgraded Trex from a "hold" rating to a "strong-buy" rating in a research note on Thursday, July 10th. Finally, B. Riley upgraded Trex to a "strong-buy" rating in a research note on Monday, July 21st.

Trex Price Performance

Shares of NYSE:TREX traded down $1.78 on Friday, hitting $60.49. 908,637 shares of the company's stock were exchanged, compared to its average volume of 1,397,973. Trex has a 12 month low of $49.01 and a 12 month high of $80.74. The stock has a market capitalization 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 business's 50 day simple moving average is $62.89 and its two-hundred day simple moving average is $59.08.

Trex (NYSE:TREX - Get Free Report) last announced its quarterly earnings results on Monday, August 4th. The construction company reported $0.74 EPS for the quarter, beating the consensus estimate of $0.72 by $0.02. The firm 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 business's revenue for the quarter was up 3.0% on a year-over-year basis. During the same quarter last year, the firm posted $0.80 earnings per share. Trex has set its Q3 2025 guidance at EPS. Equities analysts forecast that Trex will post 2.04 EPS for the current fiscal year.

Insider Transactions at Trex

In other Trex news, SVP Amy M. Fernandez sold 1,538 shares of Trex stock in a transaction dated 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. The trade was a 6.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.71% of the stock is owned by company insiders.

Hedge Funds Weigh In On Trex

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Armstrong Advisory Group Inc. purchased a new position in Trex in the second quarter valued at about $31,000. Parallel Advisors LLC grew its stake in Trex by 28.4% in the second quarter. Parallel Advisors LLC now owns 1,049 shares of the construction company's stock valued at $57,000 after purchasing an additional 232 shares during the last quarter. Brooklyn Investment Group boosted its holdings in Trex by 35,733.3% in the first quarter. Brooklyn Investment Group now owns 1,075 shares of the construction company's stock worth $62,000 after acquiring an additional 1,072 shares in the last quarter. Caitong International Asset Management Co. Ltd acquired a new stake in Trex in the second quarter worth about $60,000. Finally, Blue Trust Inc. boosted its holdings 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 acquiring an additional 408 shares in the last quarter. Hedge funds and other institutional investors own 95.96% 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.