Trex Company, Inc. Investigated by the Portnoy Law Firm
LOS ANGELES, Nov. 06, 2025 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Trex Company, Inc., (“Trex" or the "Company") (NYSE: TREX) investors that the firm has initiated an investigation into possible securities fraud, and may file a class action on behalf of investors.
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 844-767-8529 or email: lesley@portnoylaw.com, to discuss their legal rights, or join the case via https://portnoylaw.com/trex-company-inc. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
The investigation is focused on the propriety of Trex’s disclosures about its sales practices and growth prospects.
In August 2025, Trex assured investors that “our revised inventory strategy reduces the volatility typically associated with channel stocking and de-stocking[]” and “[b]y level-loading our production, we can better manage inventory cycles, enhance operational efficiencies, and reduce volatility in our quarterly results[.]” The company also called for FY 2025 sales growth of 5% to 7%.
But after the markets closed on November 4, 2025, Trex surprised investors when it reported disappointing Q3 2025 financial results with net sales of $285 million coming in 5% below the mid-point of its guidance (significantly missing analysts’ consensus estimates), a sequential decline of about 26%. The company also reported a 12% decline in net income per share for the nine months ended September 30, 2025, compared to the prior year periods.
In addition, Trex said it expects a “muted” fourth quarter, explaining in part “we expect our pro channel partners to lower their inventories through the rest of the year” and revised its 2025 sales growth guidance down to roughly 0% compared to 2024.
The news sent the price of Trex shares tumbling on November 5, 2025.
The Portnoy Law Firm represents investors in pursuing claims caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA, NY and TX Bar
lesley@portnoylaw.com
310-692-8883
www.portnoylaw.com
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