Trex (NYSE:TREX) Stock Price Passes Above Two Hundred Day Moving Average – Here’s Why

Trex Company, Inc. (NYSE:TREX)’s share price passed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $40.78 and traded as high as $48.46. Trex shares last traded at $47.1270, with a volume of 1,344,505 shares changing hands.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on the company. Wall Street Zen downgraded Trex from a “hold” rating to a “sell” rating in a research note on Saturday, June 6th. Zelman & Associates raised shares of Trex from a “neutral” rating to an “outperform” rating and set a $50.00 price target on the stock in a research note on Monday, May 18th. DA Davidson reissued a “buy” rating and issued a $51.00 price target on shares of Trex in a report on Friday, June 5th. UBS Group restated a “buy” rating and set a $59.00 price objective (up from $58.00) on shares of Trex in a research report on Friday, May 8th. Finally, Bank of America decreased their price objective on shares of Trex from $43.00 to $42.00 and set an “underperform” rating on the stock in a report on Monday, April 20th. Eleven investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $46.68.

Trex Stock Up 2.2%

The firm has a market cap of $4.87 billion, a PE ratio of 26.17, a P/E/G ratio of 9.57 and a beta of 1.46. The firm has a 50-day moving average price of $43.01 and a two-hundred day moving average price of $40.85.

Trex (NYSE:TREX) last issued its quarterly earnings results on Thursday, May 7th. The construction company reported $0.59 EPS for the quarter, topping the consensus estimate of $0.51 by $0.08. Trex had a return on equity of 19.66% and a net margin of 16.25%.The firm had revenue of $343.40 million during the quarter, compared to analysts’ expectations of $339.99 million. During the same period in the previous year, the business earned $0.60 earnings per share. The firm’s revenue for the quarter was up 1.0% on a year-over-year basis. Research analysts forecast that Trex Company, Inc. will post 1.68 earnings per share for the current fiscal year.

Insider Transactions at Trex

In other news, SVP Jacob T. Rudolph sold 1,400 shares of the company’s stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $50.00, for a total transaction of $70,000.00. Following the completion of the sale, the senior vice president owned 36,631 shares of the company’s stock, valued at $1,831,550. This represents a 3.68% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.93% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Trex

Hedge funds and other institutional investors have recently modified their holdings of the business. Wellington Management Group LLP grew its stake in Trex by 266.0% during the 4th quarter. Wellington Management Group LLP now owns 7,225,393 shares of the construction company’s stock valued at $253,467,000 after acquiring an additional 5,251,297 shares in the last quarter. AQR Capital Management LLC lifted its stake in Trex by 143.8% in the 4th quarter. AQR Capital Management LLC now owns 3,895,534 shares of the construction company’s stock worth $136,655,000 after purchasing an additional 2,297,533 shares in the last quarter. Norges Bank acquired a new position in shares of Trex during the 4th quarter worth approximately $62,904,000. Freestone Grove Partners LP acquired a new position in shares of Trex during the 4th quarter worth approximately $53,951,000. Finally, Jacobs Levy Equity Management Inc. grew its position in shares of Trex by 120.6% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 1,326,379 shares of the construction company’s stock valued at $46,529,000 after purchasing an additional 725,090 shares in the last quarter. 95.96% of the stock is owned by hedge funds and other institutional investors.

Trex Company Profile

Trex Company, Inc is a leading manufacturer of wood-alternative decking and railing systems designed for residential and commercial outdoor living environments. The company’s core offerings feature composite decking products made from a proprietary blend of recycled wood fibers and plastic film, which deliver enhanced durability, resistance to rot and insect damage, and low maintenance compared to traditional wood. Trex also provides matching railing, lighting, fencing and cladding solutions that allow customers to create cohesive, high-performance outdoor spaces.

Trex’s product portfolio is organized into multiple performance tiers, including premium, mid-range and value-oriented lines.