Contractor survey data supports Trex, says DA Davidson

DA Davidson keeps a Buy rating and $51 price target on Trex. The firm says its latest contractor survey is suggesting that project activity in the building product category growth remains stable in Q1, rising in the low single digits on the year. Commentary also suggests that while Middle East-conflict has resulted in incremental caution from homeowners, full-year growth outlooks were unchanged, the analyst tells investors in a research note. DA Davidson adds that while it is cutting its 2026 EPS view by 6c to $1.58, it still sees the stock as “significantly undervalued”.