Trex Company Stock Market Value
| TREX Stock | USD 72.25 1.91 2.72% |
| Symbol | Trex |
Trex Company Price To Book Ratio
Is Building Products space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Trex. If investors know Trex will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Trex listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.38) | Earnings Share 2.19 | Revenue Per Share 10.867 | Quarterly Revenue Growth (0.23) | Return On Assets 0.1758 |
The market value of Trex Company is measured differently than its book value, which is the value of Trex that is recorded on the company's balance sheet. Investors also form their own opinion of Trex's value that differs from its market value or its book value, called intrinsic value, which is Trex's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Trex's market value can be influenced by many factors that don't directly affect Trex's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Trex's value and its price as these two are different measures arrived at by different means. Investors typically determine if Trex is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Trex's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Trex 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Trex's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Trex.
| 02/04/2023 |
| 11/25/2024 |
If you would invest 0.00 in Trex on February 4, 2023 and sell it all today you would earn a total of 0.00 from holding Trex Company or generate 0.0% return on investment in Trex over 660 days. Trex is related to or competes with Quanex Building, Armstrong World, Gibraltar Industries, Apogee Enterprises, Masco, Owens Corning, and Johnson Controls. Trex Company, Inc. manufactures and distributes decking, railing, and outdoor living products and accessories for reside... More
Trex Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Trex's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Trex Company upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.95 | |||
| Information Ratio | 0.0346 | |||
| Maximum Drawdown | 10.25 | |||
| Value At Risk | (2.93) | |||
| Potential Upside | 3.4 |
Trex Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Trex's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Trex's standard deviation. In reality, there are many statistical measures that can use Trex historical prices to predict the future Trex's volatility.| Risk Adjusted Performance | 0.0805 | |||
| Jensen Alpha | 0.068 | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | 0.0373 | |||
| Treynor Ratio | 0.1861 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Trex's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Trex Company Backtested Returns
At this stage we consider Trex Stock to be very steady. Trex Company owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.0914, which indicates the firm had a 0.0914% return per unit of risk over the last 3 months. We have found thirty technical indicators for Trex Company, which you can use to evaluate the volatility of the company. Please validate Trex's Semi Deviation of 1.75, risk adjusted performance of 0.0805, and Coefficient Of Variation of 1033.94 to confirm if the risk estimate we provide is consistent with the expected return of 0.18%. Trex has a performance score of 7 on a scale of 0 to 100. The entity has a beta of 1.04, which indicates a somewhat significant risk relative to the market. Trex returns are very sensitive to returns on the market. As the market goes up or down, Trex is expected to follow. Trex Company right now has a risk of 2.0%. Please validate Trex semi variance, and the relationship between the sortino ratio and rate of daily change , to decide if Trex will be following its existing price patterns.
Auto-correlation | -0.5 |
Modest reverse predictability
Trex Company has modest reverse predictability. Overlapping area represents the amount of predictability between Trex time series from 4th of February 2023 to 31st of December 2023 and 31st of December 2023 to 25th of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Trex Company price movement. The serial correlation of -0.5 indicates that about 50.0% of current Trex price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.5 | |
| Spearman Rank Test | -0.65 | |
| Residual Average | 0.0 | |
| Price Variance | 130.25 |
Trex Company lagged returns against current returns
Autocorrelation, which is Trex stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Trex's stock expected returns. We can calculate the autocorrelation of Trex returns to help us make a trade decision. For example, suppose you find that Trex has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Trex regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Trex stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Trex stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Trex stock over time.
Current vs Lagged Prices |
| Timeline |
Trex Lagged Returns
When evaluating Trex's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Trex stock have on its future price. Trex autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Trex autocorrelation shows the relationship between Trex stock current value and its past values and can show if there is a momentum factor associated with investing in Trex Company.
Regressed Prices |
| Timeline |
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Additional Tools for Trex Stock Analysis
When running Trex's price analysis, check to measure Trex's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Trex is operating at the current time. Most of Trex's value examination focuses on studying past and present price action to predict the probability of Trex's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Trex's price. Additionally, you may evaluate how the addition of Trex to your portfolios can decrease your overall portfolio volatility.