TREX CO INC (TREX) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does TREX CO INC Do?
Trex Company, Inc. manufactures and distributes decking, railing, and outdoor living products and accessories for residential and commercial markets in the United States. The company operates in two segments, Trex Residential and Trex Commercial. It offers decking products under the names Trex Transcend, Trex Select, 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. The company also provides Trex Transcend Railing products that are used in Trex decking products and other decking materials; Trex Select Railing products for a simple clean finished look; Trex Enhance Railing system; and Trex Signature aluminum railing for a contemporary look. In addition, it offers Trex Seclusions, a fencing product that includes structural posts, bottom and top rails, pickets, and decorative post caps. In addition, it designs, engineers, and markets architectural and aluminum railing systems, and staging equipment and accessories for the commercial market, as well as sports stadiums and performing arts venues. Further, 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 Pergola, a cellular PVC product; Trex Latticeworks outdoor lattice boards; Trex Cornhole boards; Diablo Trex Blade, a saw blade for wood-alternative composite decking; Trex SpiralStairs and structural steel posts; and Trex Outdoor Kitchens, Cabinetry, and Storage products. It sells its products through wholesale distributors, retail lumber dealers, and Home Depot and Lowe's stores, as well as through its direct sales staff, independent sales representatives, and bidding on projects. Trex Company, Inc. was founded in 1996 and is headquartered in Winchester, Virginia. TREX CO INC (TREX) is classified as a mid-cap stock in the Materials sector, specifically within the Construction Materials industry. The company is led by CEO Bryan H. Fairbanks and employs approximately 1,640 people, headquartered in WINCHESTER, Virginia. With a market capitalization of $3.8B, TREX is one of the notable companies in the Materials sector.
TREX CO INC (TREX) Stock Rating — Reduce (April 2026)
As of April 2026, TREX CO INC receives a Reduce rating with a composite score of 41.9/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.TREX ranks #2,266 out of 4,446 stocks in our coverage universe. Within the Materials sector, TREX CO INC ranks #159 of 284 stocks, placing it in the lower half of its Materials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
TREX Stock Price and 52-Week Range
TREX CO INC (TREX) currently trades at $39.05. The stock lost $0.19 (0.5%) in the most recent trading session. The 52-week high for TREX is $68.78, which means the stock is currently trading -43.2% from its annual peak. The 52-week low is $29.77, putting the stock 31.2% above its annual trough. Recent trading volume was 1.8M shares, reflecting moderate market activity.
Is TREX Overvalued or Undervalued? — Valuation Analysis
TREX CO INC (TREX) carries a value factor score of 65/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 16.11x, compared to the Materials sector average of 26.50x — a discount of 39%. The price-to-book ratio stands at 3.56x, versus the sector average of 2.83x. The price-to-sales ratio is 2.95x, compared to 0.74x for the average Materials stock. On an enterprise value basis, TREX trades at 11.42x EV/EBITDA, versus 6.01x for the sector.
Overall, TREX's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
TREX CO INC Profitability — ROE, Margins, and Quality Score
TREX CO INC (TREX) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 22.1%, compared to the Materials sector average of 3.3%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 15.7% versus the sector average of 0.6%.
On a margin basis, TREX CO INC reports gross margins of 40.4%, compared to 29.8% for the sector. The operating margin is 24.6% (sector: 6.0%). Net profit margin stands at 18.2%, versus 3.0% for the average Materials stock. Revenue growth is running at -24.2% on a trailing basis, compared to 1.8% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
TREX Debt, Balance Sheet, and Financial Health
TREX CO INC has a debt-to-equity ratio of 41.0%, compared to the Materials sector average of 41.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 1.24x, suggesting adequate working capital coverage. Total debt on the balance sheet is $111M. Cash and equivalents stand at $11M.
TREX has a beta of 1.25, meaning it is more volatile than the broader market — a $10,000 investment in TREX would be expected to move 25.3% more than the S&P 500 on any given day. The stability factor score for TREX CO INC is 48/100, reflecting average volatility within the normal range for its sector.
TREX CO INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, TREX CO INC reported revenue of $1.25B and earnings per share (EPS) of $1.78. Net income for the quarter was $229M. Gross margin was 40.4%. Operating income came in at $309M.
In FY 2025, TREX CO INC reported revenue of $1.17B and earnings per share (EPS) of $1.78. Net income for the quarter was $190M. Gross margin was 39.2%. Revenue grew 2.0% year-over-year compared to FY 2024. Operating income came in at $258M.
In Q3 2025, TREX CO INC reported revenue of $285M and earnings per share (EPS) of $0.48. Net income for the quarter was $52M. Gross margin was 40.5%. Revenue grew 22.1% year-over-year compared to Q3 2024. Operating income came in at $70M.
In Q2 2025, TREX CO INC reported revenue of $388M and earnings per share (EPS) of $0.71. Net income for the quarter was $76M. Gross margin was 40.8%. Revenue grew 3.0% year-over-year compared to Q2 2024. Operating income came in at $102M.
Over the past 8 quarters, TREX CO INC has demonstrated a growth trajectory, with revenue expanding from $376M to $1.25B. Investors analyzing TREX stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
TREX Dividend Yield and Income Analysis
TREX CO INC (TREX) does not currently pay a dividend. This is common among smaller companies in the Construction Materials industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Materials dividend stocks may want to explore other Materials stocks or use the stock screener to filter by dividend yield.
TREX Momentum and Technical Analysis Profile
TREX CO INC (TREX) has a momentum factor score of 27/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 38/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 19/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
TREX vs Competitors — Materials Sector Ranking and Peer Comparison
Within the Materials sector, TREX CO INC (TREX) ranks #159 out of 284 stocks based on the Blank Capital composite score. This places TREX in the lower half of all Materials stocks in our coverage universe. Key competitors and sector peers include CF Industries Holdings, Inc. (CF) with a score of 56.6/100, Nutrien Ltd. (NTR) with a score of 56.6/100, CVR PARTNERS, LP (UAN) with a score of 55.6/100, LSB INDUSTRIES, INC. (LXU) with a score of 53.6/100, and ACME UNITED CORP (ACU) with a score of 51.2/100.
Comparing TREX against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full TREX vs S&P 500 (SPY) comparison to assess how TREX CO INC stacks up against the broader market across all factor dimensions.
TREX Next Earnings Date
No upcoming earnings date has been announced for TREX CO INC (TREX) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy TREX? — Investment Thesis Summary
The quantitative profile for TREX CO INC suggests caution. The value score of 65/100 suggests attractive pricing relative to fundamentals. Momentum is weak at 27/100, a headwind for near-term performance.
In summary, TREX CO INC (TREX) earns a Reduce rating with a composite score of 41.9/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on TREX stock.
Related Resources for TREX Investors
Explore more research and tools: TREX vs S&P 500 comparison, top Materials stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare TREX head-to-head with peers: TREX vs CF, TREX vs NTR, TREX vs UAN.