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TREX logo TREX
Upturn stock ratingUpturn stock rating
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Trex Company Inc (TREX)

Upturn stock ratingUpturn stock rating
$59.88
Last Close (24-hour delay)
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PASS
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Upturn Stock infoUpturn Stock info Stock price based on last close
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Upturn Advisory Summary

09/15/2025: TREX (2-star) is currently NOT-A-BUY. Pass it for now.

Upturn Star Rating

rating

Below Average Performance

These Stocks/ETFs, based on Upturn Advisory, often underperform the market, warranting careful consideration before investing.

Number of Analysts

rating

18 Analysts rated it

Moderately tracked stock, growing coverage, gaining market and investor attention.

1 Year Target Price $72

1 Year Target Price $72

Analysts Price Target For last 52 week
$72 Target price
52w Low $49.01
Current$59.88
52w High $80.74

Analysis of Past Performance

Type Stock
Historic Profit 30.03%
Avg. Invested days 49
Today’s Advisory PASS
Upturn Star Rating Upturn stock ratingUpturn stock rating
Upturn Advisory Performance Upturn Advisory Performance 3.0
Stock Returns Performance Upturn Returns Performance 3.0
Upturn Profits based on simulationUpturn Profits based on simulation Profits based on simulation
Upturn Profits based on simulationUpturn Profits based on simulation Last Close 09/15/2025

Key Highlights

Company Size Mid-Cap Stock
Market Capitalization 6.48B USD
Price to earnings Ratio 34.81
1Y Target Price 72
Price to earnings Ratio 34.81
1Y Target Price 72
Volume (30-day avg) 18
Beta 1.52
52 Weeks Range 49.01 - 80.74
Updated Date 09/15/2025
52 Weeks Range 49.01 - 80.74
Updated Date 09/15/2025
Dividends yield (FY) -
Basic EPS (TTM) 1.72

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 16.53%
Operating Margin (TTM) 26.41%

Management Effectiveness

Return on Assets (TTM) 11.3%
Return on Equity (TTM) 19.81%

Valuation

Trailing PE 34.81
Forward PE 23.31
Enterprise Value 6771259644
Price to Sales(TTM) 5.74
Enterprise Value 6771259644
Price to Sales(TTM) 5.74
Enterprise Value to Revenue 6
Enterprise Value to EBITDA 21.78
Shares Outstanding 107234000
Shares Floating 106629518
Shares Outstanding 107234000
Shares Floating 106629518
Percent Insiders 0.66
Percent Institutions 108.98

ai summary icon Upturn AI SWOT

Trex Company Inc

stock logo

Company Overview

overview logo History and Background

Trex Company, Inc. was founded in 1996 as a subsidiary of Mobil Corporation, later becoming an independent company. It pioneered the wood-alternative decking industry, offering a sustainable and low-maintenance alternative to traditional wood decking.

business area logo Core Business Areas

  • Residential Products: Manufactures and distributes composite decking, railing, and outdoor lighting solutions for residential applications. It also includes Trex Outdoor Kitchens and Trex Pergola.
  • Commercial Products: Offers composite decking and railing for commercial and architectural projects.

leadership logo Leadership and Structure

Bryan Fairbanks serves as the President and CEO. The company operates with a functional organizational structure, including departments for sales, marketing, operations, finance, and research & development.

Top Products and Market Share

overview logo Key Offerings

  • Trex Decking: Composite decking made from recycled plastic film and reclaimed wood fibers. Trex holds a significant market share in the composite decking industry, estimated at over 50% of the composite market. Competitors include AZEK Building Products, Fiberon (Fortune Brands), and TimberTech (Westlake Chemical). Revenue for Trex Decking constitutes the majority of the company's overall revenue.
  • Trex Railing: Composite railing systems designed to complement Trex decking. Competitors include AZEK Building Products, Fiberon (Fortune Brands), and TimberTech (Westlake Chemical). Market share data is not readily available, though significant growth is seen with Trex product expansions.

Market Dynamics

industry overview logo Industry Overview

The decking and railing market is growing, driven by increasing demand for low-maintenance and sustainable building products. Growth is expected in both new construction and remodeling markets.

Positioning

Trex is the leading brand in the composite decking market, known for its high-quality products, strong brand recognition, and extensive distribution network. Its competitive advantages lie in its brand reputation, product innovation, and sustainability focus.

Total Addressable Market (TAM)

The global decking and railing market is estimated at $40 billion, with the composite segment making up a significant portion. Trex is positioned to capture a large share of this TAM, particularly in the residential segment.

Upturn SWOT Analysis

Strengths

  • Strong brand recognition
  • Leading market share in composite decking
  • Sustainable product offerings
  • Extensive distribution network
  • Product innovation

Weaknesses

  • Reliance on raw material prices (recycled plastic and wood)
  • Sensitivity to housing market fluctuations
  • Potential impact from new competitors entering the market
  • Premium pricing compared to traditional wood decking

Opportunities

  • Expansion into new geographic markets
  • Development of new product lines (e.g., outdoor living products)
  • Increased adoption of composite decking in commercial applications
  • Growing demand for sustainable building materials
  • Strategic acquisitions

Threats

  • Economic downturn impacting housing and construction
  • Increased competition from other composite decking manufacturers
  • Fluctuations in raw material prices
  • Changes in building codes and regulations
  • Negative publicity related to product defects

Competitors and Market Share

competitor logo Key Competitors

  • AZEK (AZEK)
  • Fortune Brands Innovations (FBIN)
  • Westlake Chemical (WLK)

Competitive Landscape

Trex's advantages include brand recognition, scale, and sustainability focus. Disadvantages include premium pricing and potential supply chain vulnerabilities.

Growth Trajectory and Initiatives

Historical Growth: Trex has experienced significant growth over the past decade, driven by increased adoption of composite decking and the company's strong market position.

Future Projections: Analysts expect continued growth for Trex, driven by the long-term trend towards low-maintenance and sustainable building materials. Specific growth rates will depend on market conditions and company execution.

Recent Initiatives: Recent strategic initiatives include expanding manufacturing capacity, developing new product lines (Trex Outdoor Kitchens), and focusing on direct-to-consumer marketing.

Summary

Trex Company Inc. is the dominant player in the composite decking market, driven by its strong brand and sustainable products. Its financial performance is tied to the housing market, but its product innovation strengthens its market position. Trex must manage raw material costs and competitive pressures to maintain its growth trajectory.

Peer Comparison

Sources and Disclaimers

Data Sources:

  • Trex Company Inc. Investor Relations
  • SEC Filings (10-K, 10-Q)
  • Industry reports
  • Analyst estimates

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Market share data and other estimates may vary based on different sources and methodologies.

Upturn AI SummarizationUpturn AI Summarization AI Summarization is directionally correct and might not be accurate.

Upturn AI SummarizationUpturn AI Summarization Summarized information shown could be a few years old and not current.

Upturn AI SummarizationUpturn AI Summarization Fundamental Rating based on AI could be based on old data.

Upturn AI SummarizationUpturn AI Summarization AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.

About Trex Company Inc

Exchange NYSE
Headquaters Winchester, VA, United States
IPO Launch date 1999-04-08
President, CEO & Director Mr. Bryan Horix Fairbanks
Sector Industrials
Industry Building Products & Equipment
Full time employees 1838
Full time employees 1838

Trex Company, Inc. manufactures and sells composite decking and railing products in the United States. The company offers decking products and accessories that can be used for protection against fading, staining, mold, and scratching, including Trex Transcend, which are decking products that can also be used as cladding; Trex Signature; Trex Transcend Lineage; Trex Select; Trex Enhance; Trex Hideaway fastener collection; and Trex DeckLighting, an outdoor lighting system that includes a post cap, deck rail, riser, a soffit, and a recessed deck lights. It also offers railing products, such as Trex Signature X-Series Railing, Trex Signature aluminum railing, Trex Transcend Railing, Trex Select Railing, Trex Select T-Rail, Trex Enhance Railing; and fencing products, which includes Trex Seclusions that consists of structural posts, bottom rails, pickets, top rails, and decorative post caps. In addition, the company acts as a licensor in various licensing agreements with third parties to manufacture and sell products under the Trex name, including Trex Outdoor Furniture; Trex RainEscape, an above joist deck drainage system; Trex Protect joist, beam and rim tape, a self-adhesive butyl tape that protects wooden deck framing/substructure elements; Trex RainEscape Soffit Light, a plug-and-play LED Soffit light that is installed in the under-deck ceiling of a two-story deck; Trex Seal Ledger Flashing Tape, butyl flashing tape with an aluminum liner; Trex Pergola, Pergolas made from low maintenance cellular PVC and all-aluminum product; Trex Lattice outdoor boards; Trex Cornhole boards; Trex Blade, a specialty saw blade for wood-alternative composite decking; Trex SpiralStairs; and Trex Outdoor Kitchen cabinetry. It sells its products through wholesale distributors, retail lumber dealers, and Home Depot and Lowe's stores. Trex Company, Inc. was founded in 1996 and is headquartered in Winchester, Virginia.