TREX

$43.02

Public overview and default valuation.

Log in to track this stock.

Valuation Details
Default assumptions: 10Y forecast, 9% market return, 2.5% terminal growth, 7.61% trendline growth.
Want to create your own valuation? Create a free account.
$50.66

With 20% Margin of Safety (MoS):

$40.53
-5.79% downside
Capital Efficiency
Average Quarterly ROIC
4.02%
Cost of Capital (estimated)8%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.
Fundamental Score
57
NeutralWeighted across 6 signals
DCF Discount
5.8% premium to price
40
FCF Yield
8.0% trailing FCF yield
100
ROIC vs WACC
ROIC 4.0% vs WACC 8.0% (0.5x)
25
Net Debt / FCF
0.3x net debt to FCF
94
Buybacks
Share count growing
30
FCF CAGR (5Y)
10.6% 5Y FCF CAGR
78
Strengths: FCF Yield, Net Debt / FCF. Concerns: ROIC vs WACC, Buybacks.
Narrative Score
57
Weak
Weighted across 4 recent drivers · Last 30 daysVs 6-Month Baseline: High (85th pct)
Trend: Improving upConfidence: 55%Updated: 3h ago
Sources: 20 (News 20)
Drivers
6 regulatory scrutiny+0.6
Upgrade headlines+0.1
5 legal risk-0.1
8 news sentiment+0.1
Other Metrics
P/E23.3
Profit Margin16.8%
Owner Earnings$342.57m
One Dollar Premise0.00%
Debt/Equity0.57
Current Ratio1.03
PEG3.667
Free Cash Flow (in millions)
20052006200720082009201020112012201320142015201620172018201920202021202220232024
$62$24$23$42$42$29$41$68$58$72$86$100$117$172$224$360$417$392$556$369
How Intrinziq Estimates Fair Value

Intrinziq estimates Trex Company, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

Trex Company, Inc.Industrials

Trex Company, Inc. manufactures and distributes decking, railing, and outdoor living products and accessories for residential and commercial markets in the United States. The company operates in two segments, Trex Residential and Trex Commercial. It offers decking products under the names Trex Transcend, Trex Select, and Trex Enhance for protection against fading, staining, mold, and scratching; Trex Hideaway, a hidden fastening system; and Trex DeckLighting, a LED dimmable deck lighting for use on posts, floors, and steps. The company also provides Trex Transcend Railing products that are used in Trex decking products and other decking materials; Trex Select Railing products for a simple clean finished look; Trex Enhance Railing system; and Trex Signature aluminum railing for a contemporary look. In addition, it offers Trex Seclusions, a fencing product that includes structural posts, bottom and top rails, pickets, and decorative post caps. In addition, it designs, engineers, and markets architectural and aluminum railing systems, and staging equipment and accessories for the commercial market, as well as sports stadiums and performing arts venues. Further, the company acts as a licensor in various licensing agreements with third parties to manufacture and sell products under the Trex name, including Trex Outdoor Furniture; Trex RainEscape, an above joist deck drainage system; Trex Pergola, a cellular PVC product; Trex Latticeworks outdoor lattice boards; Trex Cornhole boards; Diablo Trex Blade, a saw blade for wood-alternative composite decking; Trex SpiralStairs and structural steel posts; and Trex Outdoor Kitchens, Cabinetry, and Storage products. It sells its products through wholesale distributors, retail lumber dealers, and Home Depot and Lowe's stores, as well as through its direct sales staff, independent sales representatives, and bidding on projects. Trex Company, Inc. was founded in 1996 and is headquartered in Winchester, Virginia.

Last updated: Feb 06, 2026
Data sources: Financial Modeling Prep
This valuation is based on assumptions and publicly available data. It is not financial advice or a recommendation to buy or sell any security. Always do your own research before making investment decisions.