Trex’s (TREX) “Buy” Rating Reiterated at DA Davidson

DA Davidson reissued their buy rating on shares of Trex (NYSE:TREX) in a report published on Tuesday, MarketBeat Ratings reports. DA Davidson currently has a $55.00 price target on the construction company’s stock.

A number of other brokerages also recently issued reports on TREX. The Goldman Sachs Group reaffirmed a “buy” rating and set a $56.00 price target (up from $49.00) on shares of Trex in a report on Friday, July 10th. Bank of America decreased their target price on Trex from $43.00 to $42.00 and set an “underperform” rating for the company in a research note on Monday, April 20th. Citigroup restated a “neutral” rating and set a $43.00 price objective (down from $46.00) on shares of Trex in a research report on Monday, May 11th. Barclays reiterated an “underweight” rating and set a $42.00 price target (up from $36.00) on shares of Trex in a research note on Tuesday. Finally, Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $51.00 price target (up from $41.00) on shares of Trex in a research report on Tuesday. Ten analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $49.00.

Trex Price Performance

Shares of NYSE TREX opened at $45.73 on Tuesday. Trex has a 1-year low of $29.77 and a 1-year high of $68.78. The company has a market cap of $4.75 billion, a price-to-earnings ratio of 25.55, a price-to-earnings-growth ratio of 5.05 and a beta of 1.46. The stock’s 50-day moving average is $43.74 and its two-hundred day moving average is $41.28.

Trex (NYSE:TREX) last released its earnings results on Thursday, May 7th. The construction company reported $0.59 earnings per share for the quarter, topping 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 for the quarter, compared to analyst estimates of $339.99 million. During the same period in the prior year, the firm earned $0.60 earnings per share. The business’s quarterly revenue was up 1.0% compared to the same quarter last year. Equities research analysts anticipate that Trex will post 1.77 earnings per share for the current fiscal year.

Insider Activity

In other news, SVP Jacob T. Rudolph sold 1,400 shares of the firm’s stock in a transaction that occurred 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 transaction, the senior vice president directly owned 36,631 shares in the company, valued at approximately $1,831,550. This trade represents a 3.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.93% of the company’s stock.

Hedge Funds Weigh In On Trex

Hedge funds and other institutional investors have recently made changes to their positions in the stock. V Square Quantitative Management LLC purchased a new stake in Trex during the 4th quarter valued at approximately $27,000. Clearstead Trust LLC acquired a new stake in shares of Trex during the fourth quarter worth $33,000. Ascentis Independent Advisors acquired a new stake in shares of Trex during the first quarter worth $44,000. Eurizon Capital SGR S.p.A. purchased a new position in Trex in the 4th quarter valued at $47,000. Finally, Empowered Funds LLC acquired a new position in Trex in the 4th quarter valued at $50,000. Hedge funds and other institutional investors 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.