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Trex

TREX on NYSE. Trex sells composite decking and railing to homeowners. Market value $4.5bn.

Watch this stockFree. We tell you when something changes.

Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to December 2025.

We can't read total debt from the filing, so debt is left out.

Should I look at this?

Worth a closer look

Why it could be worth it

What to watch out for

Read what could go wrong

This is not advice. Check the numbers below.

Compare with another stock

Cash yield
past 12 months to June 2026
4.6%fair

For every $100 of what the whole company costs, it produced $4.55 of spare cash in the past 12 months. A savings account pays about $4.

Price to profit
past 12 months to June 2026
n/a

The filings do not give us enough to work this out.

Return on capital
five annual reports to December 2025
n/a

The filings do not give us enough to work this out.

Quality score: 76 of 100. Price score: 63 of 100. Our list needs 70 on quality and 60 on price.

$44.86 a share, 51% above its 1-year low

Over the past year the price has ranged from $29.77 to $54.30.

Pays no dividend

Prices from Tuesday’s close (6 October).

Five years of cash, in billions

0.1
0.0
0.2
-0.1
0.1
0.2
2021202220232024202512 monthsto Jun '26

Spare cash swings from quarter to quarter here: $208 million in the past 12 months, $135 million in the year to December 2025.

Revenue
$1.2bn$1.1bn$1.1bn$1.2bn$1.2bn
Operating margin
23.0%22.3%25.1%28.0%22.0%
Debt to equity
n/an/an/an/an/a
Shares outstanding
0.11bn0.11bn0.11bn0.11bn0.10bn

Health checks

  • Free cash flow positive4 of 5 years
  • Accounting looks honest (Beneish)Not enough data
  • Financial strength (Piotroski)6 of 8 checks we could run
  • Profit backed by cash (accruals)No
  • DebtUnknown
  • Revenue growth, five yearsSlow, 5.9% a year
  • Buying back its own sharesYes, 7% fewer since 2021

The quarter to June 2026

How the business did, compared with the same quarter a year earlier.

  • Sales: $418 million last quarter, up 8% on a year ago.
  • Profit: $62 million, down 18% on a year ago.
  • It keeps 20 cents of each $1 of sales as operating profit, down from 24 cents a year earlier.
  • Spare cash over the past 12 months: $208 million. A year earlier it spent $65 million more than it brought in.
  • 5% fewer shares than a year ago. Each share owns a bit more of the company.
  • Sales grew on a year ago in 3 of the last 4 quarters.
Sales by quarter
Sales by quarter
Quarter toAmount
September 2024$234m
December 2024$168m
March 2025$340m
June 2025$388m
September 2025$285m
December 2025$161m
March 2026$343m
June 2026$418m
Profit by quarter
Profit by quarter
Quarter toAmount
September 2024$41m
December 2024$22m
March 2025$60m
June 2025$76m
September 2025$52m
December 2025Not reported
March 2026$61m
June 2026$62m

From the company's quarterly reports to the SEC.

Dates

Next results (estimated)
n/a
Last annual report (10-K)
25 February 2026
Next quarterly (estimated, 10-Q)
3 November 2026

Who owns it

6 long-term investors we follow own it, unchanged from 6 last quarter. 470 funds in all.

Jun '25
Dec '25
Jun '26
Largest holders overall

From 13F filings for the quarter ended 30 June 2026.

Big holders and activists

4 investors own more than 5%.

From Schedule 13D and 13G filings: anyone owning more than 5% must file one.

What insiders did

In the last 12 months, 3 insiders bought $984,982 of shares on the open market. 2 sold $122,572, $70,000 of it under preset trading plans.

  • Fernandez Amy M.
    SVP, CLO and Secretary
    Sold
    Date
    7 August 2026
    Shares
    1,050
    Price
    $50.07
    Value
    $52,572
  • Rudolph Jacob T.
    SVP, CHRO
    Sold
    under a preset trading plan
    Date
    25 June 2026
    Shares
    1,400
    Price
    $50.00
    Value
    $70,000
  • ROSE B ANDREW
    Director
    Bought
    Date
    3 March 2026
    Shares
    12,008
    Price
    $40.69
    Value
    $488,614
  • ROSE B ANDREW
    Director
    Bought
    Date
    2 March 2026
    Shares
    372
    Price
    $40.26
    Value
    $14,977
  • Gandhi Prithvi
    SVP, Chief Financial Officer
    Bought
    Date
    14 November 2025
    Shares
    15,000
    Price
    $31.92
    Value
    $478,800
  • Rudolph Jacob T.
    SVP, CHRO
    Bought
    Date
    10 October 2025
    Shares
    59
    Price
    $43.92
    Value
    $2,591

From Form 4 filings: insiders must report trades in their own company's shares within two days.

What could go wrong

Cheap for a reason is the question the numbers cannot answer.

Whether the price already reflects the risks is what the deep dive is for.

What changed in the risks this year

Companies must list what could hurt them each year. These are the parts that changed since last year’s report.

  • Risks Related to the Availability of Capital

    Could happen
    While we are currently using AI and machine learning in various areas of our business, technical and regulatory limitations may impact our ability to utilize AI and machine learning across other areas of our business. Failure to adopt AI and machine learning in other areas could cause advancements in our business and production process to fall behind our competitors, impacting our ability to compete effectively.
    Read more

  • Risks Related to the Availability of Capital

    Could happen
    Technical and regulatory limitations may impact our ability to effectively and timely adopt Artificial Intelligence (AI) and machine learning solutions.

  • Risks Related to the Availability of Capital

    Could happen
    Our ability to continue to adopt AI and machine learning depends, in part, on the resources available to develop, deploy, and monitor these systems. Accordingly, our organization has adopted guiding principles, as well as a governance policy for AI and machine learning. Our guiding principles focus on the risks and consideration associated with AI and machine learning and help support the Company's responsible use of these technologies. Our AI governance policy provides a structured approach to identifying, assessing, and prioritizing use cases anticipated to yield optimal business value while simultaneously minimizing business risks.
    Read more

  • Risks Related to the Availability of Capital

    Could happen
    While the Company has adopted the use of AI and machine learning in various areas of the organization and intends to adopt AI and machine learning in other areas, adoption does not guarantee efficiencies, optimizations, or innovations are made throughout the organization.

  • Risks Related to the Availability of Capital

    Could happen
    Our Information Technology department, in partnership with our Legal department, and other business leaders, are responsible for monitoring the use of AI and machine learning within the organization, along with the regulatory environment in which AI and machine learning operate.

Read it in the annual report

The deep dive

Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.

  • What the business is worth, as a range, and the margin of safety at today’s price
  • Prices to start buying, buy, and buy hard
  • The three things that would make this a mistake
  • Every number footnoted to the filing it came from
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What a finished deep dive looks like

Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.