Trex slumps as Q3 results miss estimates, brokerages downgrade rating

Trex

05/11/2025 12:28

** Shares of decking and railing products maker Trex Company TREX.N plummets 34% to about $31 premarket

** Co missed Q3 sales and profit estimates on Tuesday, due to weaker-than-expected demand in repair and remodel segment

** TREX posted quarterly adj. profit of 51 cents, below Wall Street estimates of 57 cents, according to data compiled by LSEG

     ** Reports Q3 revenue of $285.35 mln vs analysts' estimates of $300.59 mln

** Several brokerages cut PT and rating on co citing margin pressure and reduced earnings visibility

** BofA cuts rating to "underperform" from "buy", Deutsche Bank downgrades to "hold" from "buy"

** 8 of 22 brokerages rate the stock "buy" or higher, 12 "hold" and 2 "sell"; their median PT is $56.50- data compiled by LSEG

** Stock down 31.9% YTD, as of last close

Brokerages
New PT
Old PT
BofA
$36
$67
Jefferies
$39
$58
Truist
$50
$75
Deutsche
$40
$92
Benchmark
$40
$80

 (Reporting by Apratim Sarkar in Bengaluru)

 ((Apratim.Sarkar@thomsonreuters.com))