Trex Company, Inc. Investigated by the Portnoy Law Firm

Core Viewpoint - The Portnoy Law Firm has initiated an investigation into Trex Company, Inc. for possible securities fraud, potentially leading to a class action lawsuit on behalf of investors [1][2]. Financial Performance - Trex reported disappointing Q3 2025 financial results with net sales of $285 million, which was 5% below the mid-point of its guidance and a sequential decline of approximately 26% [4]. - The company also experienced a 12% decline in net income per share for the nine months ended September 30, 2025, compared to the prior year [4]. Sales Guidance and Market Reaction - Trex revised its FY 2025 sales growth guidance down to roughly 0% compared to 2024, citing expectations of "muted" performance in Q4 due to pro channel partners lowering their inventories [5]. - Following the disappointing results and revised guidance, Trex's share price fell significantly on November 5, 2025 [5]. Company Statements - In August 2025, Trex had assured investors that its revised inventory strategy would reduce volatility associated with channel stocking and de-stocking, and projected sales growth of 5% to 7% for FY 2025 [3].