Trex (NYSE:TREX) Given Buy Rating at DA Davidson

DA Davidson reaffirmed their buy rating on shares of Trex (NYSE:TREX) in a report released on Tuesday morning, MarketBeat reports. They currently have a $55.00 price objective on the construction company’s stock.

TREX has been the topic of a number of other research reports. Weiss Ratings raised Trex from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday, May 11th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $51.00 price target (up from $41.00) on shares of Trex in a research report on Tuesday. Bank of America reduced their price objective on Trex from $43.00 to $42.00 and set an “underperform” rating on the stock in a research report on Monday, April 20th. Wall Street Zen raised Trex from a “sell” rating to a “hold” rating in a research note on Sunday. Finally, Zelman & Associates upgraded Trex from a “neutral” rating to an “outperform” rating and set a $50.00 price objective for the company in a research report on Monday, May 18th. Ten research 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. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $48.53.

Trex Trading Down 4.2%

NYSE:TREX opened at $43.97 on Tuesday. The firm has a 50-day moving average price of $43.53 and a two-hundred day moving average price of $41.15. Trex has a twelve month low of $29.77 and a twelve month high of $68.78. The company has a market capitalization of $4.57 billion, a P/E ratio of 24.56, a price-to-earnings-growth ratio of 9.32 and a beta of 1.46.

Trex (NYSE:TREX) last announced its quarterly earnings results on Thursday, May 7th. The construction company reported $0.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.51 by $0.08. The company had revenue of $343.40 million for the quarter, compared to the consensus estimate of $339.99 million. Trex had a net margin of 16.25% and a return on equity of 19.66%. The company’s revenue for the quarter was up 1.0% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.60 earnings per share. On average, equities research analysts predict that Trex will post 1.68 earnings per share for the current year.

Insider Buying and Selling

In related news, SVP Jacob T. Rudolph sold 1,400 shares of the stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $50.00, for a total transaction of $70,000.00. Following the transaction, the senior vice president directly owned 36,631 shares in the company, valued at approximately $1,831,550. This represents a 3.68% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.93% of the company’s stock.

Institutional Trading of Trex

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Aquatic Capital Management LLC increased its position in shares of Trex by 194.4% in the third quarter. Aquatic Capital Management LLC now owns 93,815 shares of the construction company’s stock worth $4,847,000 after acquiring an additional 61,950 shares in the last quarter. Allspring Global Investments Holdings LLC acquired a new position in shares of Trex during the 4th quarter valued at $4,748,000. M&T Bank Corp purchased a new stake in Trex during the 4th quarter worth $917,000. CWM LLC increased its holdings in Trex by 182.0% in the 4th quarter. CWM LLC now owns 85,995 shares of the construction company’s stock valued at $3,017,000 after purchasing an additional 55,495 shares in the last quarter. Finally, Mairs & Power Inc. acquired a new stake in Trex in the 3rd quarter valued at $3,273,000. Hedge funds and other institutional investors own 95.96% of the company’s stock.

Key Trex News

Here are the key news stories impacting Trex this week:

• Positive Sentiment: Trex announced a major distribution-network realignment, naming Specialty Building Products as its sole national distributor for decking and railing products across North America. The company also said the change comes with higher guidance for Q2 2026 and full-year 2026, suggesting stronger near-term revenue expectations and improved operating efficiency. Trex Company Upgrades Distribution Network; Raises Full Year Guidance
• Positive Sentiment: Several Wall Street firms raised price targets after the update, including Truist, Stifel, and DA Davidson. While Bank of America kept an underperform rating, the broader analyst response indicates the guidance and distribution changes may be better than expected.
• Neutral Sentiment: Trex also released a transcript discussing its strategic distribution changes and preliminary quarterly results, which investors may be parsing for details on margins, channel inventory, and execution risk. Trex Company, Inc. (TREX) Discusses Strategic Distribution Network Changes and Preliminary Quarterly Results Transcript
• Neutral Sentiment: Two articles about a T. rex fossil selling for $50 million are not related to Trex Company’s fundamentals and are unlikely to affect the stock.

About Trex

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.