Trex Company price target raised to $72 from $67 at BMO Capital

BMO Capital raised the firm’s price target on Trex Company (TREX) to $72 from $67 and keeps a Market Perform rating on the shares after its Q3 earnings beat. The company is not seeing the deterioration in demand it expected at its Q2 call and now expects Q4 sell-through to be down low single digits vs. the prior expectation of down high single digits, with flattish forecast for FY24, the analyst tells investors in a research note. The pace and magnitude of winter pre-buy could impact Q1 results, but BMO is starting to feel better about demand and EBITDA growth prospects in 2025, the firm added.