William Blair Issues Optimistic Outlook for Trex Earnings

Trex Company, Inc. (NYSE:TREX - Free Report) - Stock analysts at William Blair raised their Q1 2025 earnings per share (EPS) estimates for Trex in a report released on Monday, April 14th. William Blair analyst R. Merkel now expects that the construction company will earn $0.58 per share for the quarter, up from their previous estimate of $0.52. The consensus estimate for Trex's current full-year earnings is $2.04 per share. William Blair also issued estimates for Trex's Q3 2025 earnings at $0.62 EPS, Q4 2025 earnings at $0.25 EPS and FY2025 earnings at $2.23 EPS.

Trex (NYSE:TREX - Get Free Report) last issued its quarterly earnings data on Monday, February 24th. The construction company reported $0.09 EPS for the quarter, topping the consensus estimate of $0.04 by $0.05. Trex had a return on equity of 28.89% and a net margin of 20.23%. The business had revenue of $167.63 million for the quarter, compared to the consensus estimate of $160.54 million.

Other equities analysts also recently issued research reports about the company. DA Davidson reaffirmed a "neutral" rating and set a $74.00 price target on shares of Trex in a research report on Tuesday, February 25th. Barclays dropped their target price on Trex from $67.00 to $54.00 and set an "underweight" rating on the stock in a report on Tuesday, April 8th. Bank of America decreased their target price on Trex from $85.00 to $79.00 and set a "buy" rating on the stock in a report on Tuesday, February 25th. JPMorgan Chase & Co. dropped their price objective on shares of Trex from $79.00 to $73.00 and set a "neutral" rating on the stock in a research report on Wednesday, March 5th. Finally, Benchmark reissued a "buy" rating and issued a $80.00 price target on shares of Trex in a report on Monday, March 3rd. Two equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Hold" and an average price target of $77.18.

Trex Price Performance

TREX stock traded up $0.84 during trading hours on Thursday, reaching $54.50. 391,685 shares of the stock were exchanged, compared to its average volume of 1,653,118. The company has a market cap of $5.84 billion, a price-to-earnings ratio of 24.88, a PEG ratio of 2.51 and a beta of 1.62. The firm's 50-day moving average is $58.48 and its 200-day moving average is $66.41. Trex has a 12 month low of $49.01 and a 12 month high of $94.00.

Hedge Funds Weigh In On Trex

A number of hedge funds have recently modified their holdings of TREX. Alliancebernstein L.P. increased its stake in shares of Trex by 54.5% in the fourth quarter. Alliancebernstein L.P. now owns 10,819,326 shares of the construction company's stock valued at $746,858,000 after buying an additional 3,818,025 shares during the period. Wasatch Advisors LP grew its position in shares of Trex by 12.8% during the 4th quarter. Wasatch Advisors LP now owns 4,599,521 shares of the construction company's stock worth $317,505,000 after buying an additional 523,113 shares during the period. Price T Rowe Associates Inc. MD increased its stake in shares of Trex by 463.7% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 3,134,849 shares of the construction company's stock valued at $216,400,000 after acquiring an additional 2,578,734 shares in the last quarter. Bamco Inc. NY grew its holdings in Trex by 6.2% in the fourth quarter. Bamco Inc. NY now owns 2,153,133 shares of the construction company's stock worth $148,631,000 after purchasing an additional 126,441 shares during the period. Finally, Balyasny Asset Management L.P. increased its stake in Trex by 86.3% in the fourth quarter. Balyasny Asset Management L.P. now owns 2,029,034 shares of the construction company's stock valued at $140,064,000 after purchasing an additional 939,960 shares in the last quarter. Institutional investors and hedge funds own 95.96% of the company's stock.

Insider Buying and Selling

In other Trex news, Director Melkeya Mcduffie sold 1,420 shares of the business's stock in a transaction that occurred on Friday, February 28th. The shares were sold at an average price of $61.88, for a total transaction of $87,869.60. Following the sale, the director now directly owns 1,705 shares of the company's stock, valued at $105,505.40. The trade was a 45.44 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.71% of the stock is currently owned by corporate insiders.

About Trex

Trex Company, Inc manufactures and distributes composite decking, railing, and outdoor living products and accessories for residential and commercial markets in the United States. It offers decking products and accessories under the names Trex Transcend, Trex Select, Trex Signature, Trex Transcend Lineage, and Trex Enhance for protection against fading, staining, mold, and scratching; Trex Hideaway, a hidden fastening system; and Trex DeckLighting, a LED dimmable deck lighting for use on posts, floors, and steps.