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

Trex Company, Inc. (NYSE:TREX) has earned a consensus recommendation of “Hold” from the twenty-two analysts that are presently covering the stock, Marketbeat.com reports. Two analysts have rated the stock with a sell rating, nine have given a hold rating and eleven have assigned a buy rating to the company. The average twelve-month price objective among brokerages that have covered the stock in the last year is $46.4211.

TREX has been the subject of several research reports. Stifel Nicolaus upped their price target on shares of Trex from $40.00 to $44.00 and gave the company a “hold” rating in a research report on Monday, May 11th. DA Davidson reaffirmed a “buy” rating and set a $51.00 price target on shares of Trex in a research report on Friday, June 5th. Weiss Ratings raised shares of Trex from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Monday, May 11th. Barclays reissued an “underweight” rating and issued a $36.00 target price (up from $35.00) on shares of Trex in a report on Monday, May 11th. Finally, Bank of America reduced their target price on shares of Trex from $43.00 to $42.00 and set an “underperform” rating for the company in a report on Monday, April 20th.

Trex Stock Up 3.7%

NYSE TREX opened at $47.13 on Friday. Trex has a 52 week low of $29.77 and a 52 week high of $68.78. The firm has a market capitalization of $4.90 billion, a P/E ratio of 26.33, a PEG ratio of 9.21 and a beta of 1.51. The company has a 50-day moving average price of $41.05 and a 200-day moving average price of $39.54.

Trex (NYSE:TREX) last released its quarterly earnings results on Thursday, May 7th. The construction company reported $0.59 EPS for the quarter, beating the consensus estimate 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 analyst estimates of $339.99 million. During the same quarter in the prior year, the firm earned $0.60 EPS. The business’s revenue for the quarter was up 1.0% compared to the same quarter last year. As a group, equities research analysts anticipate that Trex will post 1.68 EPS for the current year.

Institutional Investors Weigh In On Trex

Several hedge funds and other institutional investors have recently added to or reduced their stakes in TREX. Wellington Management Group LLP increased its holdings in Trex by 266.0% in the 4th quarter. Wellington Management Group LLP now owns 7,225,393 shares of the construction company’s stock worth $253,467,000 after acquiring an additional 5,251,297 shares in the last quarter. AQR Capital Management LLC increased its holdings 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 acquiring an additional 2,297,533 shares in the last quarter. Norges Bank purchased a new stake in Trex in the 4th quarter worth approximately $62,904,000. Freestone Grove Partners LP purchased a new stake in Trex in the 4th quarter worth approximately $53,951,000. Finally, Jacobs Levy Equity Management Inc. increased its holdings in Trex by 120.6% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,326,379 shares of the construction company’s stock worth $46,529,000 after acquiring 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.