Trex (NYSE:TREX) Raised to “Buy” at Loop Capital

Trex (NYSE:TREX) was upgraded by stock analysts at Loop Capital from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Wednesday,Finviz reports. The brokerage currently has a $53.00 price target on the construction company’s stock. Loop Capital’s price target points to a potential upside of 27.88% from the company’s previous close.

Several other equities research analysts also recently weighed in on the company. DA Davidson raised Trex from a “neutral” rating to a “buy” rating and raised their price target for the stock from $45.00 to $50.00 in a report on Monday, January 12th. Stifel Nicolaus set a $37.50 price objective on Trex and gave the company a “hold” rating in a report on Monday. UBS Group set a $52.00 price target on Trex and gave the company a “buy” rating in a research report on Tuesday, January 6th. Zelman & Associates cut shares of Trex from an “outperform” rating to a “neutral” rating in a research note on Wednesday, November 5th. Finally, Citigroup reduced their target price on Trex from $52.00 to $39.00 and set a “neutral” rating for the company in a report on Monday, December 15th. Ten investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, Trex has an average rating of “Hold” and an average target price of $46.73.

Trex Trading Up 2.9%

Trex stock opened at $41.45 on Wednesday. Trex has a 12 month low of $29.77 and a 12 month high of $68.78. The firm has a market cap of $4.44 billion, a price-to-earnings ratio of 22.52 and a beta of 1.58. The stock has a fifty day simple moving average of $40.29 and a two-hundred day simple moving average of $45.64.

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

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. CWM LLC grew its holdings in shares of Trex by 16.8% during the 2nd quarter. CWM LLC now owns 1,141 shares of the construction company’s stock worth $62,000 after purchasing an additional 164 shares during the period. AQR Capital Management LLC lifted its position in Trex by 3.2% in the first quarter. AQR Capital Management LLC now owns 5,642 shares of the construction company’s stock valued at $320,000 after buying an additional 177 shares during the last quarter. ProShare Advisors LLC boosted its stake in Trex by 4.1% during the second quarter. ProShare Advisors LLC now owns 4,754 shares of the construction company’s stock worth $259,000 after buying an additional 189 shares during the period. State of Michigan Retirement System increased its position in shares of Trex by 0.8% during the second quarter. State of Michigan Retirement System now owns 25,822 shares of the construction company’s stock valued at $1,404,000 after acquiring an additional 200 shares during the last quarter. Finally, Benjamin Edwards Inc. increased its position in shares of Trex by 1.9% during the second quarter. Benjamin Edwards Inc. now owns 11,240 shares of the construction company’s stock valued at $611,000 after acquiring an additional 214 shares during the last quarter. 95.96% of the stock is currently owned by hedge funds and other institutional investors.

More Trex News

Here are the key news stories impacting Trex this week:

• Positive Sentiment: Q4 results beat estimates: Trex reported $0.04 EPS vs. a consensus loss of $0.01 and revenue of $161.13M vs. $144.39M expected; gross margin remained healthy (~30%). The beat and margin resilience are driving optimism around near‑term profitability. Q4 Results
• Positive Sentiment: Management transition appears orderly: long‑time CEO Bryan Fairbanks will retire in April and COO Adam Zambanini is named CEO — an internal successor that markets often view as continuity rather than disruption. CEO Succession
• Neutral Sentiment: FY‑2026 sales target set near $1.185B–$1.23B with management citing railing momentum — guidance that roughly lines up with consensus but leaves room for execution risk. Investors will watch how margins and volumes track to that range. 2026 Sales Target
• Neutral Sentiment: Management commentary (earnings call/transcript) emphasized navigating near‑term headwinds while pointing to product/railing momentum — useful context but not definitive upside until follow‑through. Earnings Call Transcript
• Negative Sentiment: Top‑line softness vs. prior year: Q4 revenue was down ~3.9% year‑over‑year and EPS is lower than the prior year, highlighting ongoing demand variability in decking and railing. That tempers enthusiasm from the beat. Q4 YoY Trends
• Negative Sentiment: Large institutional selling: Wasatch Advisors disclosed selling ~1.56M shares (~$63M) in Q4, which could continue to apply selling pressure and weigh on the stock until buying demand absorbs supply. Wasatch Sale

About Trex

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.