Trex Company, Inc. (NYSE:TREX) Receives Consensus Recommendation of “Hold” from Analysts

Shares of Trex Company, Inc. (NYSE:TREX) have been assigned an average recommendation of “Hold” from the twenty-two ratings firms that are covering the company, Marketbeat.com reports. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating and eleven have given a buy rating to the company. The average 12-month price target among brokerages that have issued ratings on the stock in the last year is $46.6842.

Several brokerages recently issued reports on TREX. Wall Street Zen downgraded shares of Trex from a “hold” rating to a “sell” rating in a research note on Saturday, June 6th. Citigroup reissued a “neutral” rating and set a $43.00 price target (down from $46.00) on shares of Trex in a research report on Monday, May 11th. DA Davidson reaffirmed a “buy” rating and issued a $51.00 price objective on shares of Trex in a research report on Friday, June 5th. Barclays reaffirmed an “underweight” rating and issued a $36.00 price objective (up from $35.00) on shares of Trex in a research report on Monday, May 11th. Finally, Zelman & Associates upgraded Trex from a “neutral” rating to an “outperform” rating and set a $50.00 target price for the company in a research note on Monday, May 18th.

Trex Trading Down 2.6%

Shares of TREX opened at $45.89 on Thursday. The company’s fifty day simple moving average is $43.01 and its 200 day simple moving average is $40.85. Trex has a 1-year low of $29.77 and a 1-year high of $68.78. The company has a market cap of $4.77 billion, a price-to-earnings ratio of 25.64, a PEG ratio of 9.57 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 EPS for the quarter, beating analysts’ consensus estimates of $0.51 by $0.08. Trex had a net margin of 16.25% and a return on equity of 19.66%. The firm had revenue of $343.40 million during the quarter, compared to analysts’ expectations of $339.99 million. During the same quarter last year, the company posted $0.60 earnings per share. The company’s revenue for the quarter was up 1.0% compared to the same quarter last year. As a group, research analysts forecast that Trex will post 1.68 earnings per share for the current year.

Insider Buying and Selling

In other Trex news, SVP Jacob T. Rudolph sold 1,400 shares of Trex 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 transaction, the senior vice president directly owned 36,631 shares of the company’s stock, valued at $1,831,550. The trade was a 3.68% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, 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.

Institutional Trading of Trex

Hedge funds have recently modified their holdings of the stock. Aquatic Capital Management LLC raised its holdings in Trex by 194.4% in the 3rd quarter. Aquatic Capital Management LLC now owns 93,815 shares of the construction company’s stock valued at $4,847,000 after acquiring an additional 61,950 shares during the period. Allspring Global Investments Holdings LLC acquired a new stake in Trex during the fourth quarter worth approximately $4,748,000. M&T Bank Corp bought a new stake in shares of Trex during the fourth quarter worth approximately $917,000. CWM LLC boosted its holdings in shares of Trex by 182.0% during the fourth quarter. CWM LLC now owns 85,995 shares of the construction company’s stock worth $3,017,000 after acquiring an additional 55,495 shares during the period. Finally, Night Squared LP grew its position in shares of Trex by 213.4% in the third quarter. Night Squared LP now owns 69,827 shares of the construction company’s stock valued at $3,608,000 after purchasing an additional 47,546 shares during the last quarter. Institutional investors and hedge funds own 95.96% of the company’s stock.

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.