Core Insights - Trex Company, Inc. (TREX) is experiencing growth due to increased investments in product innovation, strategic partnerships for distribution expansion, and a focus on shareholder value [1] Financial Performance - The Zacks Consensus Estimate for TREX's 2025 earnings per share (EPS) remains at $2.20, indicating a year-over-year growth of 7.7%. The 2024 EPS estimate has increased from $2.03 to $2.05, reflecting a growth of 10.2% [2] - TREX has consistently surpassed earnings expectations over the last four quarters, with an average surprise of 9% [2] Strategic Initiatives - TREX is expanding its distribution network through strategic partnerships, aiming to reach new customers and enhance sales revenues [4][10] - The company has returned $100 million to shareholders by repurchasing 1.6 million shares during the first nine months of 2024, demonstrating a balanced capital allocation strategy [5] Product Innovation - Moving into 2025, TREX plans to launch new and enhanced products, including various railing systems and new decking colors, aiming to increase its market share in the residential railing market from 6% to 12% over the next five years [9] - Recent product launches within the last 36 months contributed approximately 18% to TREX's net sales of $984 million in the first nine months of 2024, showcasing the strength of its diversified product portfolio [18] Market Position and Efficiency - TREX's trailing 12-month return on equity (ROE) stands at 28.9%, significantly higher than the industry average of 13.4%, indicating efficient use of shareholders' funds [20] Challenges - The company faces rising selling, general, and administrative expenses, which increased by 5.2% year-over-year to $140.7 million due to various factors including branding and personnel-related costs [21]

Core Viewpoint - Trex Company, Inc. has partnered with Weyerhaeuser Company to enhance its distribution network in the Southwest, aiming to increase market share in the residential railing segment and meet growing demand for sustainable outdoor living solutions [1][2][4]. Group 1: Partnership and Distribution Expansion - The partnership with Weyerhaeuser will allow Trex to stock its full range of high-performance decking and railing products at key distribution hubs in California and Arizona [3]. - Weyerhaeuser will exclusively distribute Trex products in these regions, reinforcing Trex's focus on premium outdoor living solutions [3]. - This collaboration is part of Trex's strategy to leverage Weyerhaeuser's extensive distribution network to reach more customers [4]. Group 2: Market Position and Growth Strategy - Trex aims to increase its share in the $3.3 billion residential railing market from 6% to 12% within the next five years [5]. - The updated product portfolio includes diverse materials such as steel, aluminum, cable, glass, and composite systems to cater to various customer preferences [6]. - The strategic partnership with Weyerhaeuser marks a significant step in Trex's growth strategy, enhancing its offerings in the railing segment [6]. Group 3: Recent Developments and Performance - Trex has expanded its distribution network in Canada through a partnership with Alexandria Moulding, enhancing access to its products [7]. - The company has also strengthened its partnership with Boise Cascade Company, becoming the exclusive brand of composite decking and railings sold through participating locations nationwide [7]. - Trex's stock has gained 20.1% in the past three months, outperforming the Zacks Building Products - Wood industry's growth of 10.7% [9].

Trex Company, Inc. (TREX) has expanded its distribution network in Canada through a strategic partnership with Alexandria Moulding.The collaboration aims to bring Trex’s premium outdoor living solutions to a broader audience of Canadian retailers, homeowners, and contractors.Enhancing Canadian Outdoor LivingThe partnership represents a significant milestone for Trex as it continues to grow its presence in Canada. By leveraging Alexandria Moulding’s extensive distribution capabilities, Trex will be better po ...

Core Insights - Trex Company, Inc. has strengthened its partnership with Boise Cascade Company, becoming the exclusive brand of composite decking and railings sold through participating Boise locations nationwide [1] - The company has significantly expanded its product offerings, filling product gaps and developing a well-structured portfolio to enhance competitiveness in key decking and railing categories [2] - Trex's distribution network is robust, with products available in over 6,700 retail outlets across six continents [2] Product Development - Trex has expanded its decking portfolio with new products such as Trex Signature and Trex Transcend Lineage, along with a full collection of Trex-branded deck fasteners [3] - The company has introduced a wide range of new railing profiles and materials, making its collection the largest and most diverse in the category [3] - Recent innovations include steel, mesh, and aluminum railing systems, as well as heat-mitigating technology in new decking colors, aligning with consumer preferences [5] Financial Performance - Trex's stock has gained 11.3% in the past month, outperforming the Zacks Building Products - Wood industry's growth of 4.3% [4] - The Zacks Consensus Estimate for 2024 indicates a 4.3% growth in sales and a 10.2% growth in earnings per share (EPS) year-over-year [5] - The company has delivered a trailing four-quarter earnings surprise of 9% on average [5] Market Position - Trex aims to double its share of the railing market within five years, supported by its product expansion strategy [5] - The company currently holds a Zacks Rank of 3 (Hold) [6]

Core Insights - Trex's stock has experienced significant volatility over the past year, fluctuating from $60 to $100 and back to around $70 [1] Group 1: Stock Performance - The stock price of Trex has seen a notable increase and decrease, indicating a rollercoaster ride for investors [1] Group 2: Investment Philosophy - The investment strategy focuses on achieving returns that exceed the historical S&P return of 7-8% per year, emphasizing a GARP (Growth at a Reasonable Price) approach [2] - The analysis is primarily centered on consumer discretionary stocks, with occasional coverage of tech stocks when the business model is understood [2] - The process of researching companies includes analyzing financial statements, listening to earnings calls, and reviewing Investor Relations websites to develop a comprehensive investment thesis [2]

For Immediate Release Chicago, IL – October 30, 2024 – Today, Zacks Equity Research like Trex Company, Inc. (TREX) , LouisianaPacific Corp. (LPX) and JELD-WEN Holding, Inc. (JELD) . Industry: Building Products - Wood Link: https://www.zacks.com/commentary/2359424/3-wood-stocks-to-navigate-challenging-industry-landscape Spending on home repair and remodel (R&R) activities has decreased from the peaks seen during the pandemic, given high rates. Higher mortgage rates have resulted in a substantial number of po ...

Trex Company, Inc. (NYSE:TREX) Q3 2024 Earnings Call Transcript October 28, 2024 5:00 PM ET Company Participants Casey Kotary - IR Amy Fernandez - SVP, CLO and Secretary Bryan Fairbanks - President and CEO Brenda Lovcik - SVP and CFO Conference Call Participants Ryan Merkel - William Blair Rafe Jadrosich - Bank of America Keith Hughes - Truist Reuben Garner - The Benchmark Company Susan Maklari - Goldman Sachs John Lovallo - UBS Michael Rehaut - JPMorgan Tim Wojs - Baird Phil Ng - Jefferies Jeffrey Stevenso ...

Trex (TREX) came out with quarterly earnings of $0.37 per share, beating the Zacks Consensus Estimate of $0.32 per share. This compares to earnings of $0.57 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 15.63%. A quarter ago, it was expected that this maker of fencing and decking products would post earnings of $0.79 per share when it actually produced earnings of $0.80, delivering a surprise of 1.27%. Over the last four qua ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-14649 Trex Company, Inc. (Exact name of registrant as specified in its charter) Delaware 54-1910453 (State or other jurisdiction of in ...

NEWS RELEASE TREX COMPANY REPORTS THIRD QUARTER 2024 RESULTS Continued Strength in Consumer Demand for Premium Products New Railing Product Introductions to Accelerate Market Share Gains Provides Update on New Arkansas Facility Reaffirms Full Year 2024 Sales Guidance and Expects to Achieve High End of EBITDA Guidance Range WINCHESTER, Va. –October 28, 2024– Trex Company, Inc. (NYSE:TREX), the world's largest manufacturer of wood-alternative decking and railing, and a leader in high-performance, lowmaintenan ...