Trex (NYSE:TREX) Sees Large Volume Increase on Strong Earnings

Trex Company, Inc. (NYSE:TREX) shares saw unusually-strong trading volume on Monday following a better than expected earnings announcement. Approximately 2,821,216 shares were traded during mid-day trading, an increase of 132% from the previous session’s volume of 1,214,726 shares.The stock last traded at $61.44 and had previously closed at $60.58.

The construction company reported $0.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.04 by $0.05. Trex had a net margin of 20.23% and a return on equity of 28.89%.

Analyst Upgrades and Downgrades

TREX has been the topic of a number of recent analyst reports. Citigroup cut their price target on shares of Trex from $84.00 to $78.00 and set a “neutral” rating on the stock in a report on Monday, January 6th. DA Davidson raised their price target on Trex from $70.00 to $74.00 and gave the stock a “neutral” rating in a research note on Tuesday, October 29th. StockNews.com lowered shares of Trex from a “hold” rating to a “sell” rating in a report on Tuesday, October 29th. Barclays dropped their target price on shares of Trex from $68.00 to $67.00 and set an “underweight” rating for the company in a research report on Tuesday, October 29th. Finally, Robert W. Baird increased their price objective on Trex from $70.00 to $78.00 and gave the stock a “neutral” rating in a report on Tuesday, October 29th. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating and six have issued a buy rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $79.81.

Hedge Funds Weigh In On Trex

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TREX. Blue Trust Inc. lifted its stake in Trex by 134.6% during the 3rd quarter. Blue Trust Inc. now owns 1,769 shares of the construction company’s stock valued at $118,000 after acquiring an additional 1,015 shares during the period. Raymond James & Associates raised its holdings in shares of Trex by 6.0% during the third quarter. Raymond James & Associates now owns 210,145 shares of the construction company’s stock worth $13,991,000 after purchasing an additional 11,922 shares during the last quarter. International Assets Investment Management LLC lifted its position in Trex by 7,363.6% during the third quarter. International Assets Investment Management LLC now owns 2,463 shares of the construction company’s stock valued at $164,000 after purchasing an additional 2,430 shares during the period. Ballentine Partners LLC boosted its holdings in Trex by 15.5% in the third quarter. Ballentine Partners LLC now owns 3,139 shares of the construction company’s stock valued at $209,000 after purchasing an additional 422 shares during the last quarter. Finally, State of Alaska Department of Revenue grew its position in Trex by 7.3% during the 3rd quarter. State of Alaska Department of Revenue now owns 12,636 shares of the construction company’s stock worth $841,000 after purchasing an additional 855 shares during the period. Hedge funds and other institutional investors own 95.96% of the company’s stock.

Trex Stock Performance

The firm has a market cap of $6.61 billion, a PE ratio of 28.18, a price-to-earnings-growth ratio of 2.51 and a beta of 1.51. The stock has a 50 day simple moving average of $70.15 and a two-hundred day simple moving average of $68.73.

Trex Company Profile

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.