Confluence Investment Management LLC Decreases Position in Trex Company, Inc. $TREX

Confluence Investment Management LLC reduced its stake in shares of Trex Company, Inc. (NYSE:TREX) by 9.3% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 354,325 shares of the construction company’s stock after selling 36,316 shares during the quarter. Confluence Investment Management LLC’s holdings in Trex were worth $17,730,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently bought and sold shares of the stock. Wellington Management Group LLP increased its stake in Trex by 266.0% in 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 in the last quarter. AQR Capital Management LLC boosted its position in Trex by 143.8% during the fourth quarter. AQR Capital Management LLC now owns 3,895,534 shares of the construction company’s stock worth $136,655,000 after purchasing an additional 2,297,533 shares in the last quarter. Morgan Stanley boosted its position in Trex by 44.6% during the fourth quarter. Morgan Stanley now owns 2,313,285 shares of the construction company’s stock worth $81,150,000 after purchasing an additional 713,054 shares in the last quarter. Geode Capital Management LLC grew its holdings in Trex by 1.3% in the fourth quarter. Geode Capital Management LLC now owns 1,913,263 shares of the construction company’s stock valued at $67,132,000 after purchasing an additional 24,892 shares during the last quarter. Finally, Norges Bank acquired a new stake in Trex in the fourth quarter valued at $62,904,000. 95.96% of the stock is owned by hedge funds and other institutional investors.

Trex Price Performance

Trex stock opened at $44.69 on Tuesday. The company has a market cap of $4.64 billion, a price-to-earnings ratio of 24.96, a price-to-earnings-growth ratio of 4.98 and a beta of 1.48. Trex Company, Inc. has a 12 month low of $29.77 and a 12 month high of $66.36. The stock’s 50-day moving average is $44.93 and its 200-day moving average is $41.78.

Trex (NYSE:TREX) last released its quarterly earnings data on Thursday, May 7th. The construction company reported $0.59 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.51 by $0.08. Trex had a net margin of 16.25% and a return on equity of 19.66%. The company had revenue of $343.40 million during the quarter, compared to analyst estimates of $339.99 million. During the same quarter in the prior year, the business earned $0.60 earnings per share. The business’s quarterly revenue was up 1.0% compared to the same quarter last year. Research analysts anticipate that Trex Company, Inc. will post 1.78 EPS for the current year.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on TREX. Truist Financial lifted their price objective on Trex from $55.00 to $60.00 and gave the stock a “buy” rating in a research report on Tuesday, July 14th. Barclays reissued an “underweight” rating and set a $42.00 price target (up from $36.00) on shares of Trex in a research report on Tuesday, July 14th. Bank of America boosted their price target on Trex from $42.00 to $44.00 and gave the stock an “underperform” rating in a report on Tuesday, July 14th. UBS Group restated a “buy” rating and issued a $61.00 price objective (up from $59.00) on shares of Trex in a research report on Tuesday, July 14th. Finally, Stifel Nicolaus increased their price objective on Trex from $44.00 to $47.00 and gave the company a “hold” rating in a research note on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Trex presently has an average rating of “Hold” and a consensus price target of $49.15.

Insider Transactions at Trex

In other news, SVP Jacob T. Rudolph sold 1,400 shares of the business’s stock in a transaction dated Thursday, June 25th. The shares were 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 of the company’s stock, valued at approximately $1,831,550. The trade was a 3.68% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.93% of the stock is owned by corporate insiders.

Trex 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.