Trex (NYSE:TREX) Raised to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Trex (NYSE:TREX) from a hold rating to a buy rating in a report issued on Friday morning, Zacks.com reports. They currently have $99.00 price objective on the construction company’s stock.

According to Zacks, “Trex Company, Inc. is a manufacturer of wood-alternative decking and railing. Trex Company, Inc. is based in Winchester, United States. “

A number of other equities analysts also recently weighed in on TREX. William Blair started coverage on Trex in a research note on Thursday, August 22nd. They issued an outperform rating on the stock. ValuEngine downgraded Trex from a sell rating to a strong sell rating in a research note on Wednesday, October 2nd. SunTrust Banks boosted their target price on Trex from $70.00 to $90.00 and gave the stock a hold rating in a research note on Thursday, October 3rd. They noted that the move was a valuation call. Exane BNP Paribas started coverage on Trex in a research note on Wednesday, October 9th. They issued an underperform rating on the stock. Finally, DA Davidson set a $96.00 target price on Trex and gave the stock a buy rating in a research note on Thursday, August 29th. Three research analysts have rated the stock with a sell rating, five have assigned a hold rating and five have assigned a buy rating to the company. The stock currently has an average rating of Hold and a consensus price target of $82.56.

TREX stock opened at $90.23 on Friday. The company has a market capitalization of $5.17 billion, a P/E ratio of 38.40, a price-to-earnings-growth ratio of 3.75 and a beta of 1.97. The company has a debt-to-equity ratio of 0.09, a quick ratio of 2.99 and a current ratio of 3.51. Trex has a 52-week low of $50.88 and a 52-week high of $93.34. The business has a 50-day simple moving average of $87.65 and a two-hundred day simple moving average of $75.10.

Trex (NYSE:TREX) last announced its earnings results on Monday, July 29th. The construction company reported $0.64 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.64. Trex had a return on equity of 35.94% and a net margin of 17.61%. The firm had revenue of $206.45 million for the quarter, compared to the consensus estimate of $201.70 million. During the same quarter in the previous year, the business earned $0.73 EPS. The company’s revenue was down .1% compared to the same quarter last year. As a group, sell-side analysts forecast that Trex will post 2.36 earnings per share for the current fiscal year.

In related news, VP Christopher Paul Gerhard sold 9,724 shares of the company’s stock in a transaction that occurred on Wednesday, August 7th. The stock was sold at an average price of $81.10, for a total value of $788,616.40. Following the transaction, the vice president now owns 25,810 shares in the company, valued at $2,093,191. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Richard E. Posey sold 3,133 shares of the company’s stock in a transaction that occurred on Wednesday, August 7th. The shares were sold at an average price of $79.19, for a total value of $248,102.27. Following the completion of the transaction, the director now owns 18,840 shares in the company, valued at approximately $1,491,939.60. The disclosure for this sale can be found here. In the last quarter, insiders sold 40,572 shares of company stock worth $3,305,927. 0.93% of the stock is owned by company insiders.

Institutional investors have recently bought and sold shares of the stock. Polianta Ltd bought a new stake in Trex during the 3rd quarter valued at $1,154,000. TrimTabs Asset Management LLC bought a new stake in Trex during the 3rd quarter valued at $1,273,000. Nelson Van Denburg & Campbell Wealth Management Group LLC bought a new stake in Trex during the 3rd quarter valued at $447,000. State of Alaska Department of Revenue bought a new stake in Trex during the 3rd quarter valued at $943,000. Finally, Macquarie Group Ltd. raised its holdings in Trex by 94.1% during the 2nd quarter. Macquarie Group Ltd. now owns 921,042 shares of the construction company’s stock valued at $66,039,000 after acquiring an additional 446,444 shares during the period. Institutional investors and hedge funds own 96.86% of the company’s stock.

About Trex

Trex Co, Inc engages in the manufacture of wood-alternative decking and railing. Its products include deck framing and drainage, outdoor lighting, furniture, pergola and outdoor kitchens, fencing, collections, and accessory hardware. It operates through the following segments Trex Residential Products and Trex Commercial Products.

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