Trex (NYSE:TREX) Releases Earnings Results

Trex (NYSE:TREX) posted its quarterly earnings results on Tuesday. The construction company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.57 by ($0.06), Zacks reports. Trex had a return on equity of 21.27% and a net margin of 16.53%. Trex updated its FY 2025 guidance to EPS and its Q4 2025 guidance to EPS.

Trex Stock Down 1.9%

NYSE TREX traded down $0.90 on Tuesday, reaching $47.04. The company had a trading volume of 3,120,762 shares, compared to its average volume of 1,637,524. Trex has a 12 month low of $46.31 and a 12 month high of $80.74. The firm’s 50 day moving average price is $54.49 and its 200 day moving average price is $57.74. The stock has a market capitalization of $5.04 billion, a PE ratio of 27.19, a price-to-earnings-growth ratio of 2.02 and a beta of 1.49.

Insider Activity at Trex

In related news, SVP Amy M. Fernandez sold 1,538 shares of the company’s stock in a transaction dated Wednesday, August 6th. The shares were sold at an average price of $64.18, for a total transaction of $98,708.84. Following the transaction, the senior vice president directly owned 22,953 shares in the company, valued at approximately $1,473,123.54. This represents a 6.28% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.71% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. State of Wyoming increased its stake in shares of Trex by 31.2% during the second quarter. State of Wyoming now owns 4,416 shares of the construction company’s stock valued at $240,000 after buying an additional 1,051 shares during the period. Hudson Bay Capital Management LP purchased a new stake in Trex during the second quarter valued at approximately $218,000. Geneos Wealth Management Inc. boosted its stake in Trex by 190.2% in the second quarter. Geneos Wealth Management Inc. now owns 5,171 shares of the construction company’s stock valued at $281,000 after acquiring an additional 3,389 shares in the last quarter. Tower Research Capital LLC TRC grew its holdings in Trex by 183.2% in the second quarter. Tower Research Capital LLC TRC now owns 12,488 shares of the construction company’s stock worth $679,000 after purchasing an additional 8,078 shares during the last quarter. Finally, Captrust Financial Advisors increased its position in shares of Trex by 17.1% during the second quarter. Captrust Financial Advisors now owns 15,569 shares of the construction company’s stock worth $847,000 after purchasing an additional 2,278 shares in the last quarter. Institutional investors own 95.96% of the company’s stock.

Analysts Set New Price Targets

TREX has been the subject of a number of recent analyst reports. Vertical Research initiated coverage on Trex in a research report on Monday, October 20th. They issued a “buy” rating for the company. Baird R W upgraded shares of Trex from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 10th. JPMorgan Chase & Co. decreased their target price on shares of Trex from $73.00 to $71.00 and set a “neutral” rating for the company in a research note on Wednesday, August 6th. Wall Street Zen upgraded Trex from a “sell” rating to a “hold” rating in a research note on Saturday, August 9th. Finally, Zelman & Associates reduced their price objective on Trex from $74.00 to $66.00 and set an “outperform” rating for the company in a research report on Friday, October 17th. Two research analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $70.71.

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.