Trex Company price target lowered to $80 from $98 at DA Davidson

DA Davidson analyst Kurt Yinger lowered the firm’s price target on Trex Company (TREX) to $80 from $98 and keeps a Neutral rating on the shares. The firm’s latest decking contractor survey points to a deceleration in activity over Q2 as well as near-term contractor growth expectations that have moved lower. Guidance from the company includes an assumption of decelerating sell-through over the second half of 2024, but the firm sees less likelihood of upside to estimates and believes that the weakening trend will serve as an overhang on sentiment, the analyst tells investors. The firm also downgraded Azek (AZEK) to Neutral with a lower price target, citing the same rationale.