Wall Street Zen Upgrades Trex (NYSE:TREX) to “Hold”

Trex (NYSE:TREX) was upgraded by investment analysts at Wall Street Zen from a “sell” rating to a “hold” rating in a report released on Saturday.

Other research analysts also recently issued reports about the company. Citigroup lifted their target price on Trex from $39.00 to $46.00 and gave the stock a “neutral” rating in a report on Thursday. The Goldman Sachs Group set a $54.00 price objective on Trex and gave the stock a “buy” rating in a research report on Tuesday, December 16th. BMO Capital Markets reaffirmed an “outperform” rating and issued a $54.00 price objective on shares of Trex in a research note on Thursday, January 8th. Benchmark downgraded shares of Trex from a “buy” rating to a “hold” rating in a research report on Wednesday, February 11th. Finally, Wolfe Research upgraded shares of Trex from a “peer perform” rating to an “outperform” rating and set a $47.00 price target for the company in a report on Wednesday, January 7th. Ten research analysts have rated the stock with a Buy rating, ten have given a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $47.73.

Trex Price Performance

TREX opened at $41.44 on Friday. Trex has a fifty-two week low of $29.77 and a fifty-two week high of $68.78. The company’s 50 day moving average price is $40.68 and its two-hundred day moving average price is $45.46. The firm has a market capitalization of $4.38 billion, a price-to-earnings ratio of 23.41, a PEG ratio of 9.60 and a beta of 1.58.

Trex (NYSE:TREX) last issued its quarterly earnings results on Tuesday, February 24th. The construction company reported $0.04 EPS for the quarter, topping analysts’ consensus estimates of ($0.01) by $0.05. Trex had a net margin of 16.22% and a return on equity of 20.29%. The company had revenue of $161.13 million for the quarter, compared to analyst estimates of $144.39 million. During the same quarter in the previous year, the business earned $0.09 earnings per share. Trex’s revenue was down 3.9% compared to the same quarter last year. As a group, equities research analysts predict that Trex will post 2.04 EPS for the current year.

Institutional Investors Weigh In On Trex

A number of large investors have recently bought and sold shares of the stock. Wellington Management Group LLP raised its holdings in shares of Trex by 266.0% during the fourth quarter. Wellington Management Group LLP now owns 7,225,393 shares of the construction company’s stock valued at $253,467,000 after purchasing an additional 5,251,297 shares during the period. AQR Capital Management LLC increased its position 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 valued at $136,655,000 after buying an additional 2,297,533 shares in the last quarter. Norges Bank acquired a new position in Trex during the 4th quarter worth approximately $62,904,000. Freestone Grove Partners LP bought a new position in Trex in the fourth quarter worth approximately $53,951,000. Finally, Impax Asset Management Group plc grew its stake in Trex by 93.0% in the third quarter. Impax Asset Management Group plc now owns 1,934,581 shares of the construction company’s stock valued at $99,354,000 after acquiring an additional 932,247 shares during the period. 95.96% of the stock is currently owned by institutional investors and hedge funds.

Trex News Roundup

Here are the key news stories impacting Trex this week:

• Positive Sentiment: Q4 earnings beat and constructive commentary: Trex reported revenue and EPS above consensus, highlighted new product traction (24% of 2025 sales from new products), raised full‑year guidance ranges and emphasized innovation (fire‑resistant decking, railing growth) that supports a recovery narrative. Q4 Earnings Surprise Could Offer Trex Stock a Path to Recovery
• Positive Sentiment: Analyst upgrade: Loop Capital upgraded TREX to Buy, signaling increased confidence from at least one institutional analyst following the quarter. Loop Capital Upgrades Trex to Buy
• Positive Sentiment: Other bullish analyst commentary: UBS published commentary expecting upside for the stock, adding support to the post‑earnings optimism. Trex Stock Price Expected to Rise, UBS Group Analyst Says
• Positive Sentiment: Channel and brand strength: Trex celebrates 25 years of its TrexPro dealer program, which supports distribution and contractor relationships — a tailwind for commercial adoption and repeat remodel demand. Trex celebrates 25 years of its TrexPro Program
• Neutral Sentiment: Mixed analyst guidance: Citigroup raised its price target to $46 but kept a Neutral rating, reflecting upside potential tempered by near‑term demand risks. Citigroup raises TREX price target to $46
• Neutral Sentiment: Leadership transition acknowledged but orderly: Trex announced CEO Bryan Fairbanks will retire and COO Adam Zambanni will succeed him; management says the handoff is planned, which limits disruption but remains a watch item for investors. Trex announces leadership transition
• Negative Sentiment: Some analysts remain cautious: Barclays’ updated target to $39 is below the recent trading level, and commentary from independent analysts highlights that upside remains contingent on consumer willingness to spend on outdoor projects. Barclays Boosts Trex Price Target to $39
• Negative Sentiment: Durability concerns on near‑term upside: Analysts and commentary note year‑over‑year revenue declines, one‑time expansion/start‑up charges and exposure to a soft remodel market — factors that keep upside “wobbly” despite operational resilience. Trex Company: Resilience Is Well‑Founded, But Upside Is Wobbly

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.