Trex Company, Inc. TREX has expanded its distribution network in Canada through a strategic partnership with Alexandria Moulding.
The collaboration aims to bring Trex’s premium outdoor living solutions to a broader audience of Canadian retailers, homeowners, and contractors.
Enhancing Canadian Outdoor Living
The partnership represents a significant milestone for Trex as it continues to grow its presence in Canada. By leveraging Alexandria Moulding’s extensive distribution capabilities, Trex will be better positioned to meet the increasing demand for eco-friendly, low-maintenance decking and railing products across the country.
Canadian consumers and contractors can look forward to enhanced access to Trex’s innovative outdoor living solutions, which will make it easier than ever to design beautiful, durable, and sustainable spaces.
This collaboration underscores Trex’s commitment to driving growth and providing high-quality, environmentally conscious products to theglobal market As the outdoor living trend continues to flourish, this partnership sets the stage for a stronger footprint in Canada and beyond.
About Alexandria Moulding
Alexandria Moulding, a Specialty Building Products brand, is a major player in the North American building materials market. Known for its expertise in mouldings, millwork, and decorative building products, the company offers a robust supply chain and marketing capabilities that align seamlessly with Trex’s mission to provide innovative and sustainable outdoor living products.
TREX Stock’s Price Performance
Shares of this Winchester, VA-based wood and plastic composite products manufacturer and distributor have gained 26.8% in the past three months compared with the Zacks Building Products - Wood industry’s 16.1% growth. The company has been reaping the rewards of robust demand for its premium products and cost-reduction efforts.
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New product developments have been pivotal, with recent innovations such as steel, mesh and aluminum railing systems and heat-mitigating technology in new decking colors aligning well with consumer preferences. These product expansions support Trex’s strategic goal of doubling its share of the railing market in the next five years.
The improving trend is also clear from TREX’s estimate revision trend. The Zacks Consensus Estimate for 2024 sales and earnings per share (EPS) indicates 4.3% and 10.2% year-over-year growth, respectively.
Product Expansion to Drive Growth for TREX
In November, TREX strengthened its partnership with Boise Cascade Company BCC, a major distributor of building products. Going forward, Trex will be the exclusive brand of composite decking and railings sold through participating Boise locations nationwide. This expanded collaboration also includes incremental Trex distribution in New Jersey and the surrounding areas.
Earlier in June, the company entered a strategic partnership with Paragon Stairs, the latter being the exclusive supplier for its Trex Spiral Stairs collection.
TREX’s Zacks Rank & Key Picks
Trex currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks from the same space have been discussed below:
Louisiana-Pacific Corporation LPX currently flaunts a Zacks Rank of 1 (Strong Buy). LPX delivered a trailing four-quarter earnings surprise of 30.7%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for LPX’s 2024 sales and EPS indicates an increase of 12.7% and 72.1%, respectively, from a year ago.
PotlatchDeltic Corporation PCH presently carries a Zacks Rank #2 (Buy). The company delivered a trailing four-quarter average earnings surprise of 50%.
The Zacks Consensus Estimate for PCH’s 2024 EPS indicates a decrease of 65.1% but the same for 2025 reflects an increase of 441.7% from a year ago.
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Free: See Our Top Stock And 4 Runners UpLouisiana-Pacific Corporation (LPX) : Free Stock Analysis Report
Potlatch Corporation (PCH) : Free Stock Analysis Report
Trex Company, Inc. (TREX) : Free Stock Analysis Report
Boise Cascade, L.L.C. (BCC) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
