TREX (Trex Co) EV-to-EBIT: 21.00 (As of Aug. 20, 2026) — 13% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TREX Trex Co Inc TREX
83 GF Score
Price $47.30
GF Value $68.62
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Trex Co EV-to-EBIT?

Trex Co TREX -2.05% 83 EV-to-EBIT is 21.00 as of Aug. 20, 2026, which is 13% below its 10-year median of 24.17. GuruFocus rates TREX with a GF Score™ of 83/100 and a GF Value™ of $68.62 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,425 Construction companies, Trex Co ranks worse than 75.02% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Trex Co's Enterprise Value is $5,115 Mil. Trex Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was $244 Mil. Therefore, Trex Co's EV-to-EBIT for today is 21.00.

The historical rank and industry rank for Trex Co's EV-to-EBIT or its related term are showing as below:

TREX' s EV-to-EBIT Range Over the Past 10 Years
Min: 12.16   Med: 24.17   Max: 54.6
Current: 21

During the past 13 years, the highest EV-to-EBIT of Trex Co was 54.60. The lowest was 12.16. And the median was 24.17.

TREX's EV-to-EBIT is ranked worse than
75.02% of 1425 companies
in the Construction industry
Industry Median: 10.71 vs TREX: 21.00

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Trex Co's Enterprise Value for the quarter that ended in Jun. 2026 was $5,394 Mil. Trex Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was $244 Mil. Trex Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 4.52%.


Trex Co  (NYSE:TREX) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Trex Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Jun. 2026 ) =EBIT / Enterprise Value (Q: Jun. 2026 )
=243.596/5394.2216
=4.52 %

Trex Co's Enterprise Value for the quarter that ended in Jun. 2026 was $5,394 Mil.
Trex Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $244 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Trex Co EV-to-EBIT Related Terms


Trex Co EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Trex Co's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Trex Co EV-to-EBIT Chart

Trex Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 48.13 18.48 32.86 23.77 15.09

Trex Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 22.66 19.88 15.09 16.22 22.14

TREX vs GFF, LPX, FBIN: EV-to-EBIT Comparison

For the Building Products & Equipment subindustry, Trex Co's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Trex Co EV-to-EBIT vs Construction Industry

For the Construction industry and Industrials sector, Trex Co's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Trex Co's EV-to-EBIT falls into.


TREX
83GF Score
Trex Co Inc TREX
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Trex Co EV-to-EBIT Calculation

Trex Co's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=5115.121/243.596
=21.00

Trex Co's current Enterprise Value is $5,115 Mil.
Trex Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $244 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 21.00 mean?
Trex Co (TREX) has a EV-to-EBIT of 21.00 as of Aug. 20, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Trex Co and its competitors. This is 13% below median its historical median of 24.17. Over the past decade, Trex Co's EV-to-EBIT has ranged from 12.16 to 54.60. According to the industry distribution chart, Trex Co ranks #1069 out of 1425 companies in the Construction industry, placing it in the top 75%.
Is Trex Co's EV-to-EBIT too high?
Trex Co's current EV-to-EBIT of 21.00 is 13% below median its 10-year median of 24.17. Over the past 10 years, this metric has ranged from a low of 12.16 to a high of 54.60. The Construction industry median EV-to-EBIT is 10.71. Trex Co's value of 21.00 is 96.1% above this industry median. Based on the distribution chart, Trex Co ranks #1069 out of 1425 companies in the Construction industry, which is below the industry midpoint. Overall, Trex Co has a GF Score™ of 83/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Trex Co's EV-to-EBIT compare to GFF and LPX?
According to the Construction industry distribution chart, Trex Co ranks #1069 out of 1425 companies for EV-to-EBIT. This places Trex Co in the lower half of its industry. The industry median EV-to-EBIT is 10.71. Trex Co's value of 21.00 is 96.1% above this benchmark. Historically, Trex Co's own EV-to-EBIT has ranged from 12.16 to 54.60 over the past decade. While the company's 10-year median is 24.17 vs. the industry median of 10.71, Trex Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Construction company?
The median EV-to-EBIT among Construction companies is 10.71, based on 1,425 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Trex Co's current EV-to-EBIT of 21.00 is 96.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Trex Co and its competitors. For the Construction industry, the median EV-to-EBIT is 10.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trex Co's current EV-to-EBIT is 21.00, which is 13% below median its own 10-year median of 24.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Trex Co stock overvalued right now?
Based on GuruFocus' analysis, Trex Co (TREX) is currently considered Significantly Undervalued. The stock's GF Value™ is $68.62, compared to a current price of $47.30 — trading 31.1% below its estimated fair value. The current EV-to-EBIT is 21.00, which is 13% below median its 10-year median of 24.17 and 96.1% above the Construction industry median of 10.71. Trex Co's overall GF Score™ is 83/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Trex Co (TREX), the current EV-to-EBIT is 21.00 as of Aug. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Trex Co (TREX) Overvalued in 2026?

Based on GuruFocus' analysis, Trex Co stock appears to be undervalued. The current stock price of $47.30 is trading 31.1% below its estimated GF Value™ of $68.62. GuruFocus considers Trex Co to be Significantly Undervalued.

Key valuation signals for TREX:

  • EV-to-EBIT: 21.00 (13% below median its 10-year median of 24.17)
  • GF Value™: $68.62 vs. price of $47.30 (31.1% below fair value)
  • GF Score™: 83/100 with 4 warning signs
  • Industry Position: 96.1% above the Construction median (#1069 of 1425)

No single metric tells the full story. See the TREX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Trex Co Business Description

Other Exchanges TRR:Germany
Address 2500 Trex Way, Winchester, VA, USA, 22601
Trex Co Inc is a manufacturer of wooden alternative decking products. The company offers outdoor products in the decking, railing, porch, fencing, trim, steel deck framing, and outdoor lighting categories. Its products are sold under the Trex brand and manufactured in the United States. Further, the company licenses its Trex brand to third parties to manufacture and sell products under the Trex trademark. The distribution is focused on wholesale distributors and retail lumber dealers, which in turn sell Trex products to homeowners and contractors, with an emphasis on professional contractors, remodelers, and homebuilders. The company operates in one reportable segment i.e. Trex Residential.
83GF Score

Get the complete analysis for TREX

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$47.30
Price
$68.62
GF Value