UBS Group Forecasts Strong Price Appreciation for Trex (NYSE:TREX) Stock

Trex (NYSE:TREX) had its target price hoisted by stock analysts at UBS Group from $52.00 to $58.00 in a note issued to investors on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the construction company’s stock. UBS Group’s price objective would suggest a potential upside of 38.65% from the stock’s previous close.

TREX has been the topic of several other research reports. Zelman & Associates cut shares of Trex from an “outperform” rating to a “neutral” rating in a research report on Wednesday, November 5th. Benchmark downgraded Trex from a “buy” rating to a “hold” rating in a research report on Wednesday, February 11th. Robert W. Baird set a $48.00 price target on Trex in a research note on Monday, January 12th. William Blair lowered Trex from an “outperform” rating to a “market perform” rating in a research report on Wednesday, November 5th. Finally, Weiss Ratings restated a “sell (d+)” rating on shares of Trex in a research report on Monday, December 29th. Ten equities 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 company. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $47.38.

Trex Price Performance

Shares of NYSE:TREX traded up $0.38 on Wednesday, hitting $41.83. The company’s stock had a trading volume of 3,170,369 shares, compared to its average volume of 2,051,033. The company has a market capitalization of $4.49 billion, a PE ratio of 22.76 and a beta of 1.58. The company has a 50-day simple moving average of $40.29 and a 200 day simple moving average of $45.64. Trex has a 1 year low of $29.77 and a 1 year high of $68.78.

Trex (NYSE:TREX) last posted its quarterly earnings data on Tuesday, February 24th. The construction company reported $0.04 earnings per share for the quarter, topping the consensus estimate of ($0.01) by $0.05. The company had revenue of $161.13 million for the quarter, compared to analysts’ expectations of $144.39 million. Trex had a net margin of 16.76% and a return on equity of 21.90%. During the same period in the prior year, the business earned $0.09 earnings per share. Trex’s revenue for the quarter was down 3.9% compared to the same quarter last year. On average, equities research analysts expect that Trex will post 2.04 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Trex

Several institutional investors have recently added to or reduced their stakes in the company. Alliancebernstein L.P. increased its position in shares of Trex by 1.9% in the third quarter. Alliancebernstein L.P. now owns 7,543,925 shares of the construction company’s stock valued at $389,795,000 after acquiring an additional 142,215 shares during the period. Wellington Management Group LLP increased its holdings in Trex by 266.0% during the 4th 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 holdings in Trex by 143.8% during 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 purchasing an additional 2,297,533 shares during the period. Morgan Stanley raised its position in Trex by 44.6% during the 4th quarter. Morgan Stanley now owns 2,313,285 shares of the construction company’s stock valued at $81,150,000 after purchasing an additional 713,054 shares during the last quarter. Finally, American Century Companies Inc. grew its position in shares of Trex by 2.5% in the 3rd quarter. American Century Companies Inc. now owns 2,191,472 shares of the construction company’s stock worth $113,233,000 after buying an additional 53,554 shares during the last quarter. Hedge funds and other institutional investors own 95.96% of the company’s stock.

Trending Headlines about Trex

Here are the key news stories impacting Trex this week:

• Positive Sentiment: Q4 results beat estimates: Trex reported Q4 revenue of $161.1M (vs. ~$144M consensus) and EPS of $0.04 (vs. -$0.01 est.), with ~30% gross margin — a clear catalyst for the rally. Earnings Release
• Positive Sentiment: Management set a FY2026 sales target (~$1.185B–$1.23B) and highlighted railing momentum — guidance that supports revenue recovery expectations. Sales Target Article
• Positive Sentiment: Planned CEO succession: long-time CEO Bryan Fairbanks will retire in April and COO Adam Zambanini will be named CEO — an internal, orderly transition that investors often view as continuity-positive. CEO Succession Press Release
• Positive Sentiment: Analyst upgrade: Loop Capital upgraded TREX from Hold to Buy and raised its price target to $53, signaling bullish conviction from at least one broker. Loop Capital Upgrade
• Neutral Sentiment: Earnings call coverage and transcript provide detail on margin drivers and inventory/price actions — useful for modeling but not an immediate binary catalyst. Earnings Call Transcript
• Negative Sentiment: Large institutional selling: Wasatch Advisors disclosed selling ~1.56M TREX shares (~$63M), a sizable block that can pressure the stock or signal reallocation by a major holder. Wasatch Sale Report
• Negative Sentiment: Smaller fund sell-off: another filing shows ~107K shares sold (~$4.3M), adding to near-term selling pressure. SEC Filing: Fund Sale
• Negative Sentiment: Mixed analyst signal: Barclays raised its target to $39 but kept an “underweight” rating (implying downside vs. current levels), a cautionary take that could limit upside. Barclays Note

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.