TREX COMPANY INC (TREX) Stock Fundamental Analysis

NYSE:TREX • US89531P1057

41.7 USD
+0.25 (+0.6%)
At close: Feb 25, 2026
41.6 USD
-0.1 (-0.24%)
After Hours: 2/25/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

TREX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 42 industry peers in the Building Products industry. While TREX belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TREX does not seem to be growing, but still is valued expensively.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year TREX was profitable.
  • In the past year TREX had a positive cash flow from operations.
  • Of the past 5 years TREX 4 years were profitable.
  • TREX had a positive operating cash flow in 4 of the past 5 years.
TREX Yearly Net Income VS EBIT VS OCF VS FCFTREX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M

1.2 Ratios

  • TREX has a Return On Assets of 13.62%. This is amongst the best in the industry. TREX outperforms 83.33% of its industry peers.
  • Looking at the Return On Equity, with a value of 18.98%, TREX is in the better half of the industry, outperforming 73.81% of the companies in the same industry.
  • TREX has a better Return On Invested Capital (16.07%) than 83.33% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for TREX is significantly above the industry average of 11.90%.
  • The 3 year average ROIC (21.94%) for TREX is well above the current ROIC(16.07%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 13.62%
ROE 18.98%
ROIC 16.07%
ROA(3y)19.63%
ROA(5y)20.87%
ROE(3y)30.3%
ROE(5y)29.91%
ROIC(3y)21.94%
ROIC(5y)24.11%
TREX Yearly ROA, ROE, ROICTREX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40 50

1.3 Margins

  • With an excellent Profit Margin value of 16.76%, TREX belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
  • In the last couple of years the Profit Margin of TREX has remained more or less at the same level.
  • TREX has a Operating Margin of 23.50%. This is amongst the best in the industry. TREX outperforms 97.62% of its industry peers.
  • TREX's Operating Margin has been stable in the last couple of years.
  • Looking at the Gross Margin, with a value of 39.69%, TREX is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
  • TREX's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 23.5%
PM (TTM) 16.76%
GM 39.69%
OM growth 3Y-0.33%
OM growth 5Y1.01%
PM growth 3Y4.08%
PM growth 5Y0.25%
GM growth 3Y3.11%
GM growth 5Y0.51%
TREX Yearly Profit, Operating, Gross MarginsTREX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • TREX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • TREX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
TREX Yearly Shares OutstandingTREX Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
TREX Yearly Total Debt VS Total AssetsTREX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

  • TREX has an Altman-Z score of 9.72. This indicates that TREX is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of TREX (9.72) is better than 100.00% of its industry peers.
  • The Debt to FCF ratio of TREX is 10.60, which is on the high side as it means it would take TREX, 10.60 years of fcf income to pay off all of its debts.
  • TREX has a worse Debt to FCF ratio (10.60) than 69.05% of its industry peers.
  • A Debt/Equity ratio of 0.11 indicates that TREX is not too dependend on debt financing.
  • TREX has a better Debt to Equity ratio (0.11) than 80.95% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF 10.6
Altman-Z 9.72
ROIC/WACC1.79
WACC9%
TREX Yearly LT Debt VS Equity VS FCFTREX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M

2.3 Liquidity

  • TREX has a Current Ratio of 1.20. This is a normal value and indicates that TREX is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Current ratio value of 1.20, TREX is not doing good in the industry: 88.10% of the companies in the same industry are doing better.
  • TREX has a Quick Ratio of 1.20. This is a bad value and indicates that TREX is not financially healthy enough and could expect problems in meeting its short term obligations.
  • TREX has a worse Quick ratio (0.67) than 90.48% of its industry peers.
Industry RankSector Rank
Current Ratio 1.2
Quick Ratio 0.67
TREX Yearly Current Assets VS Current LiabilitesTREX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

1

3. Growth

3.1 Past

  • The earnings per share for TREX have decreased by -9.13% in the last year.
  • The Earnings Per Share has been growing slightly by 4.05% on average over the past years.
EPS 1Y (TTM)-9.13%
EPS 3Y5.06%
EPS 5Y4.05%
EPS Q2Q%-55.56%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-3.88%

3.2 Future

  • Based on estimates for the next years, TREX will show a decrease in Earnings Per Share. The EPS will decrease by -0.13% on average per year.
  • Based on estimates for the next years, TREX will show a small growth in Revenue. The Revenue will grow by 5.32% on average per year.
EPS Next Y-11.69%
EPS Next 2Y-0.13%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.64%
Revenue Next 2Y5.32%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
TREX Yearly Revenue VS EstimatesTREX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M 1B
TREX Yearly EPS VS EstimatesTREX Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.5 1 1.5 2

More info and screens

Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 22.06, which indicates a rather expensive current valuation of TREX.
  • Compared to the rest of the industry, the Price/Earnings ratio of TREX is on the same level as its industry peers.
  • When comparing the Price/Earnings ratio of TREX to the average of the S&P500 Index (27.05), we can say TREX is valued inline with the index average.
  • A Price/Forward Earnings ratio of 24.98 indicates a rather expensive valuation of TREX.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of TREX is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.03, TREX is valued at the same level.
Industry RankSector Rank
PE 22.06
Fwd PE 24.98
TREX Price Earnings VS Forward Price EarningsTREX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TREX is on the same level as its industry peers.
  • TREX's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. TREX is more expensive than 69.05% of the companies in the same industry.
Industry RankSector Rank
P/FCF 425.94
EV/EBITDA 13.24
TREX Per share dataTREX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • TREX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)5.45
EPS Next 2Y-0.13%
EPS Next 3YN/A

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • TREX does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

TREX COMPANY INC

NYSE:TREX (2/25/2026, 8:04:00 PM)

After market: 41.6 -0.1 (-0.24%)

41.7

+0.25 (+0.6%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)02-24
Earnings (Next)05-06
Inst Owners106.94%
Inst Owner Change-0.67%
Ins Owners0.67%
Ins Owner Change5.51%
Market Cap4.47B
Revenue(TTM)N/A
Net Income(TTM)197.88M
Analysts72.86
Price Target46.34 (11.13%)
Short Float %7.65%
Short Ratio4.33
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.54%
Min EPS beat(2)-11.93%
Max EPS beat(2)0.85%
EPS beat(4)3
Avg EPS beat(4)21.26%
Min EPS beat(4)-11.93%
Max EPS beat(4)95.34%
EPS beat(8)7
Avg EPS beat(8)14.34%
EPS beat(12)10
Avg EPS beat(12)9.07%
EPS beat(16)13
Avg EPS beat(16)8.58%
Revenue beat(2)1
Avg Revenue beat(2)-3.15%
Min Revenue beat(2)-6.93%
Max Revenue beat(2)0.63%
Revenue beat(4)3
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-6.93%
Max Revenue beat(4)2.48%
Revenue beat(8)4
Avg Revenue beat(8)-0.81%
Revenue beat(12)7
Avg Revenue beat(12)0.52%
Revenue beat(16)8
Avg Revenue beat(16)0.21%
PT rev (1m)0.96%
PT rev (3m)-33.12%
EPS NQ rev (1m)-1.72%
EPS NQ rev (3m)-122.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.75%
Valuation
Industry RankSector Rank
PE 22.06
Fwd PE 24.98
P/S 3.79
P/FCF 425.94
P/OCF 15.74
P/B 4.29
P/tB 4.42
EV/EBITDA 13.24
EPS(TTM)1.89
EY4.53%
EPS(NY)1.67
Fwd EY4%
FCF(TTM)0.1
FCFY0.23%
OCF(TTM)2.65
OCFY6.35%
SpS11.01
BVpS9.72
TBVpS9.44
PEG (NY)N/A
PEG (5Y)5.45
Graham Number20.33
Profitability
Industry RankSector Rank
ROA 13.62%
ROE 18.98%
ROCE 23.71%
ROIC 16.07%
ROICexc 16.21%
ROICexgc 16.61%
OM 23.5%
PM (TTM) 16.76%
GM 39.69%
FCFM 0.89%
ROA(3y)19.63%
ROA(5y)20.87%
ROE(3y)30.3%
ROE(5y)29.91%
ROIC(3y)21.94%
ROIC(5y)24.11%
ROICexc(3y)22.08%
ROICexc(5y)26.54%
ROICexgc(3y)22.55%
ROICexgc(5y)28.02%
ROCE(3y)34.9%
ROCE(5y)35.69%
ROICexgc growth 3Y-18.02%
ROICexgc growth 5Y-16.48%
ROICexc growth 3Y-17.77%
ROICexc growth 5Y-12.92%
OM growth 3Y-0.33%
OM growth 5Y1.01%
PM growth 3Y4.08%
PM growth 5Y0.25%
GM growth 3Y3.11%
GM growth 5Y0.51%
F-Score5
Asset Turnover0.81
Health
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF 10.6
Debt/EBITDA 0.33
Cap/Depr 459.77%
Cap/Sales 23.18%
Interest Coverage 250
Cash Conversion 84.31%
Profit Quality 5.31%
Current Ratio 1.2
Quick Ratio 0.67
Altman-Z 9.72
F-Score5
WACC9%
ROIC/WACC1.79
Cap/Depr(3y)387.2%
Cap/Depr(5y)514.08%
Cap/Sales(3y)17.22%
Cap/Sales(5y)16.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.13%
EPS 3Y5.06%
EPS 5Y4.05%
EPS Q2Q%-55.56%
EPS Next Y-11.69%
EPS Next 2Y-0.13%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-3.88%
Revenue Next Year3.64%
Revenue Next 2Y5.32%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-12.82%
EBIT growth 3Y-1.61%
EBIT growth 5Y10.19%
EBIT Next Year10.71%
EBIT Next 3Y5.65%
EBIT Next 5YN/A
FCF growth 1Y-86.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.27%
OCF growth 3Y-17.69%
OCF growth 5Y-1.65%

TREX COMPANY INC / TREX FAQ

Can you provide the ChartMill fundamental rating for TREX COMPANY INC?

ChartMill assigns a fundamental rating of 4 / 10 to TREX.


What is the valuation status for TREX stock?

ChartMill assigns a valuation rating of 2 / 10 to TREX COMPANY INC (TREX). This can be considered as Overvalued.


What is the profitability of TREX stock?

TREX COMPANY INC (TREX) has a profitability rating of 8 / 10.


What is the financial health of TREX COMPANY INC (TREX) stock?

The financial health rating of TREX COMPANY INC (TREX) is 4 / 10.


What is the expected EPS growth for TREX COMPANY INC (TREX) stock?

The Earnings per Share (EPS) of TREX COMPANY INC (TREX) is expected to decline by -11.69% in the next year.