Bank of America analyst Rafe Jadrosich has revised the price target for Trex Company (TREX, Financial), bringing it down from $79 to $67. Despite this adjustment, the analyst maintains a Buy rating on the stock.
The decision to lower the target price stems from anticipated challenges in the building products sector, including a projected decline in renovation and remodeling activities, which could impact forecasts for 2025 and 2026. On average, these forecasts have been reduced by approximately 4% and 6%, respectively.
Additionally, the slowdown in new construction projects and the looming possibility of tariffs are contributing factors to this cautious outlook. Overall, BofA has adjusted price targets for companies within this sector downward by roughly 17% on average, reflecting these market challenges.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 17 analysts, the average target price for Trex Co Inc (TREX, Financial) is $70.71 with a high estimate of $90.00 and a low estimate of $54.00. The average target implies an upside of 31.13% from the current price of $53.93. More detailed estimate data can be found on the Trex Co Inc (TREX) Forecast page.
Based on the consensus recommendation from 19 brokerage firms, Trex Co Inc's (TREX, Financial) average brokerage recommendation is currently 2.5, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Trex Co Inc (TREX, Financial) in one year is $73.21, suggesting a upside of 35.76% from the current price of $53.925. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Trex Co Inc (TREX) Summary page.
