Trex (NYSE:TREX) Upgraded by Zacks Research to “Strong-Buy” Rating

Zacks Research upgraded shares of Trex (NYSE:TREX) from a hold rating to a strong-buy rating in a report released on Wednesday morning,Zacks.com reports.

A number of other research analysts have also commented on the company. Weiss Ratings raised Trex from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, May 11th. UBS Group reaffirmed a “buy” rating and issued a $61.00 price objective (up from $59.00) on shares of Trex in a report on Tuesday. Bank of America increased their target price on shares of Trex from $42.00 to $44.00 and gave the company an “underperform” rating in a research report on Tuesday. The Goldman Sachs Group reissued a “buy” rating and set a $56.00 target price (up from $49.00) on shares of Trex in a research note on Friday, July 10th. Finally, Stifel Nicolaus boosted their price target on shares of Trex from $44.00 to $47.00 and gave the stock a “hold” rating in a research report on Tuesday. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the company. Based on 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 TREX stock opened at $45.73 on Wednesday. Trex has a 12-month low of $29.77 and a 12-month high of $68.78. The firm has a market capitalization 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 business has a 50 day simple moving average of $43.74 and a 200 day simple moving average of $41.28.

Trex (NYSE:TREX) last announced its earnings results on Thursday, May 7th. The construction company reported $0.59 earnings per share for the quarter, beating the consensus estimate of $0.51 by $0.08. Trex had a return on equity of 19.66% and a net margin of 16.25%.The firm had revenue of $343.40 million for the quarter, compared to the consensus estimate of $339.99 million. During the same quarter in the previous year, the business earned $0.60 EPS. The firm’s revenue for the quarter was up 1.0% on a year-over-year basis. On average, equities analysts anticipate that Trex will post 1.77 EPS for the current fiscal year.

Insider Activity at Trex

In other news, SVP Jacob T. Rudolph sold 1,400 shares of the company’s stock in a transaction on Thursday, June 25th. The stock was sold at an average price of $50.00, for a total value of $70,000.00. Following the completion of the sale, the senior vice president owned 36,631 shares in the company, valued at $1,831,550. This represents a 3.68% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.93% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of TREX. V Square Quantitative Management LLC bought a new stake in Trex in the fourth quarter worth about $27,000. Clearstead Trust LLC bought a new position in shares of Trex during the 4th quarter valued at about $33,000. Ascentis Independent Advisors bought a new position in shares of Trex during the 1st quarter valued at about $44,000. Eurizon Capital SGR S.p.A. acquired a new position in shares of Trex in the 4th quarter worth approximately $47,000. Finally, Empowered Funds LLC acquired a new position in shares of Trex in the 4th quarter worth approximately $50,000. 95.96% of the stock is owned by institutional investors and hedge funds.

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.