Trex Valuation
| TREX Stock | USD 70.34 1.46 2.12% |
At this time, the company appears to be overvalued. Trex Company has a current Real Value of $57.95 per share. The regular price of the company is $70.34. Our model measures the value of Trex Company from inspecting the company fundamentals such as Shares Outstanding of 107.14 M, return on equity of 0.3, and Operating Margin of 0.23 % as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Trex's valuation include:
Price Book 8.3118 | Enterprise Value 7.5 B | Enterprise Value Ebitda 20.0601 | Price Sales 6.3892 | Forward PE 31.4465 |
Overvalued
Today
Please note that Trex's price fluctuation is very steady at this time. Calculation of the real value of Trex Company is based on 3 months time horizon. Increasing Trex's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Trex is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Trex Stock. However, Trex's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 70.34 | Real 57.95 | Target 75.06 | Hype 70.34 | Naive 62.82 |
The intrinsic value of Trex's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Trex's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Trex Company helps investors to forecast how Trex stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Trex more accurately as focusing exclusively on Trex's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Trex's intrinsic value based on its ongoing forecasts of Trex's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Trex's closest peers.
Trex Cash |
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Trex Valuation Trend
Analysing the historical paterns of Trex's enterprise value and its market capitalization is a good way to estimate and gauge the value of Trex Company over time and is usually enough for investors to make rational market timing decisions.
Trex Total Value Analysis
Trex Company is at this time forecasted to have valuation of 7.47 B with market capitalization of 7.54 B, debt of 32 M, and cash on hands of 5.88 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Trex fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
7.47 B | 7.54 B | 32 M | 5.88 M |
Trex Investor Information
About 99.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.17. Trex Company had not issued any dividends in recent years. The entity had 2:1 split on the 15th of September 2020. Based on the key measurements obtained from Trex's financial statements, Trex Company is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.Trex Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Trex has an asset utilization ratio of 117.36 percent. This suggests that the Company is making $1.17 for each dollar of assets. An increasing asset utilization means that Trex Company is more efficient with each dollar of assets it utilizes for everyday operations.Trex Ownership Allocation
The majority of Trex Company outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Trex to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Trex Company. Please pay attention to any change in the institutional holdings of Trex Company as this could imply that something significant has changed or is about to change at the company.Trex Profitability Analysis
The company reported the previous year's revenue of 1.09 B. Net Income was 205.38 M with profit before overhead, payroll, taxes, and interest of 403.99 M.About Trex Valuation
Our relative valuation model uses a comparative analysis of Trex. We calculate exposure to Trex's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Trex's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 452.4 M | 475 M | |
| Pretax Profit Margin | 0.25 | 0.26 | |
| Operating Profit Margin | 0.25 | 0.26 | |
| Net Profit Margin | 0.19 | 0.20 | |
| Gross Profit Margin | 0.41 | 0.41 |
Trex Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 108.8 M | |
| Quarterly Earnings Growth Y O Y | -0.383 | |
| Forward Price Earnings | 31.4465 |
Trex Current Valuation Indicators
Valuation refers to the process of determining the present value of Trex Company and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Trex we look at many different elements of the entity such as Trex's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Trex, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Trex's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Trex's worth.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.