Heightened Competition Pressured Trex Co. (TREX) in Q4

2 days ago 5

Soumya Eswaran

Thu, February 19, 2026 astatine 6:16 AM CST 2 min read

Conestoga Capital Advisors, an plus absorption company, released its fourth-quarter 2025 capitalist letter. As galore believe, US equities experienced coagulated returns successful 2025, with double-digit gains crossed each large indices, yet underlying conditions revealed utmost volatility and marketplace leadership. A transcript of the missive tin beryllium downloaded here. In Q4 2025, Conestoga Capital Advisors Small Cap Strategy returned -1.89% nett of fees, trailing the Russell 2000 Growth Index’s 1.22% return. The returns were volatile successful the quarter. The “low quality” stocks rally persisted successful the quarter, but astatine a slower gait compared to earlier quarters. Please reappraisal the Strategy’s apical 5 holdings to summation insights into their cardinal selections for 2025.

In its fourth-quarter 2025 capitalist letter, Conestoga Capital Advisors highlighted stocks similar Trex Company, Inc. (NYSE:TREX). Trex Company, Inc. (NYSE:TREX) is simply a starring shaper of composite decking and railing products. On February 18, 2026, Trex Company, Inc. (NYSE:TREX) banal closed astatine $41.89 per share. One-month instrumentality of Trex Company, Inc. (NYSE:TREX) was -3.43%, and its shares are down 35.54% implicit the past 12 months. Trex Company, Inc. (NYSE:TREX) has a marketplace capitalization of $4.493 billion.

Conestoga Capital Advisors stated the pursuing regarding Trex Company, Inc. (NYSE:TREX) successful its 4th fourth 2025 capitalist letter:

"Trex Company, Inc. (NYSE:TREX) manufactures composite decking and railing products for residential outdoor surviving markets. Performance was pressured successful 4Q25 owed to heightened competitory intensity, including accrued pricing unit and stock contention from some established and little priced alternatives, which weighed connected volumes and margins. While the institution maintains marketplace enactment and a beardown brand, the banal reflected capitalist interest astir rising contention and the sustainability of adjacent word profitability successful a much crowded marketplace. We sold the banal successful 4Q25."

Among Mid- And Large-Cap Stocks Insiders Are Buying After Trump’s Tariff Rollout

Trex Company, Inc. (NYSE:TREX) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 41 hedge money portfolios held Trex Company, Inc. (NYSE:TREX) astatine the extremity of the 3rd quarter, the aforesaid arsenic successful the erstwhile quarter. While we admit the imaginable of Trex Company, Inc. (NYSE:TREX) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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