Trex Company downgraded to Equal Weight at Stephens on ‘sudden, steep’ slowdown

As previously reported, Stephens downgraded Trex Company to Equal Weight from Overweight with a price target of $72, down from $115, after Q2 sales were modestly below estimates and Q3 guidance implies sales fall about 26% at the midpoint. While the firm continues to see a long-term conversion story, the “sudden, steep and potentially prolonged slow down, with a lack of catalysts before 2025’s building season,” pushes it to the sidelines, the analyst tells investors.