Trex Co (MEX:TREX1) Beneish M-Score: -2.99 (As of Jun. 30, 2026)

What is Trex Co Beneish M-Score?

Trex Co MEX:TREX1 87 Beneish M-Score is -2.99 as of Jun. 30, 2026. GuruFocus rates MEX:TREX1 with a GF Score™ of 87/100 and a GF Value™ of MXN970.36. The stock has 4 warning signs investors should review. Among 1,699 Construction companies, Trex Co ranks better than 82.05% on this metric.

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -2.99 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Trex Co's Beneish M-Score or its related term are showing as below:

MEX:TREX1' s Beneish M-Score Range Over the Past 10 Years
Min: -4.26 Med: -2.4 Max: -0.7
Current: -2.99

During the past 13 years, the highest Beneish M-Score of Trex Co was -0.70. The lowest was -4.26. And the median was -2.40.

Trex Co Beneish M-Score Related Terms

Trex Co Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Trex Co's Beneish M-Score 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 Beneish M-Score Chart

Trex Co Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Beneish M-Score

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-2.40

-3.38

-3.85

-2.03

-3.17

Trex Co Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Beneish M-Score	Get a 7-Day Free Trial															-2.36	-2.46	-2.40	-3.17	-2.99

MEX:TREX1 vs FBIN, LPX, GFF: Beneish M-Score Comparison

For the Building Products & Equipment subindustry, Trex Co's Beneish M-Score, along with its competitors' market caps and Beneish M-Score 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 Beneish M-Score vs Construction Industry

For the Construction industry and Industrials sector, Trex Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Trex Co's Beneish M-Score falls into.

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87GF Score

Trex Co Inc MEX:TREX1

Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.

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Trex Co Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Trex Co for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.7478

0.528 * 1.0708

0.404 * 1.3012

0.892 * 0.9854

0.115 * 0.8565

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.0202

4.679 * -0.122792

0.327 * 0.8973

-3.13

This Year (Mar26) TTM:

Last Year (Mar25) TTM:

Total Receivables was MXN5,895 Mil.
Revenue was 6192.483 + 2901.168 + 5234.481 + 7301.983 = MXN21,630 Mil.
Gross Profit was 2506.942 + 876.229 + 2117.618 + 2977.499 = MXN8,478 Mil.
Total Current Assets was MXN10,460 Mil.
Total Assets was MXN31,193 Mil.
Property, Plant and Equipment(Net PPE) was MXN19,948 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN1,227 Mil.
Selling, General, & Admin. Expense(SGA) was MXN3,690 Mil.
Total Current Liabilities was MXN10,214 Mil.
Long-Term Debt & Capital Lease Obligation was MXN724 Mil.
Net Income was 1107.262 + 41.449 + 949.679 + 1429.306 = MXN3,528 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = MXN0 Mil.
Cash Flow from Operations was -2135.522 + 1179.121 + 3611.753 + 4702.63 = MXN7,358 Mil.

Total Receivables was MXN8,000 Mil.
Revenue was 6955.645 + 3495.978 + 4601.958 + 6896.969 = MXN21,951 Mil.
Gross Profit was 2817.728 + 1480.171 + 1835.234 + 3079.793 = MXN9,213 Mil.
Total Current Assets was MXN12,115 Mil.
Total Assets was MXN33,576 Mil.
Property, Plant and Equipment(Net PPE) was MXN20,811 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN1,087 Mil.
Selling, General, & Admin. Expense(SGA) was MXN3,670 Mil.
Total Current Liabilities was MXN12,307 Mil.
Long-Term Debt & Capital Lease Obligation was MXN814 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI	=	(Receivables_t / Revenue_t)	/	(Receivables_t-1 / Revenue_t-1)
	=	(5895.395 / 21630.115)	/	(8000.466 / 21950.55)
	=	0.272555	/	0.364477
	=	0.7478

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI	=	GrossMargin_t-1	/	GrossMargin_t
	=	(GrossProfit_t-1 / Revenue_t-1)	/	(GrossProfit_t / Revenue_t)
	=	(9212.926 / 21950.55)	/	(8478.288 / 21630.115)
	=	0.419713	/	0.391967
	=	1.0708

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI	=	(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)	/	(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
	=	(1 - (10459.525 + 19948.278) / 31193.217)	/	(1 - (12115.141 + 20811.145) / 33575.977)
	=	0.025179	/	0.01935
	=	1.3012

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI	=	Sales_t	/	Sales_t-1
	=	Revenue_t	/	Revenue_t-1
	=	21630.115	/	21950.55
	=	0.9854

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI	=	(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1))	/	(Depreciation_t / (Depreciaton_t + PPE_t))
	=	(1086.526 / (1086.526 + 20811.145))	/	(1226.738 / (1226.738 + 19948.278))
	=	0.049618	/	0.057933
	=	0.8565

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI	=	(SGA_t / Sales_t)	/	(SGA_t-1 /Sales_t-1)
	=	(3689.962 / 21630.115)	/	(3670.479 / 21950.55)
	=	0.170594	/	0.167216
	=	1.0202

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI	=	((LTD_t + CurrentLiabilities_t) / TotalAssets_t)	/	((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
	=	((723.797 + 10213.739) / 31193.217)	/	((813.991 + 12306.855) / 33575.977)
	=	0.350638	/	0.390781
	=	0.8973

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA	=	(IncomefromContinuingOperations_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(NetIncome_t - NonOperatingIncome_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(3527.696 - 0	-	7357.982)	/	31193.217
	=	-0.122792

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Trex Co has a M-score of -3.13 suggests that the company is unlikely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →

What does a Beneish M-Score of -2.99 mean?

Trex Co (MEX:TREX1) has a Beneish M-Score of -2.99 as of Jun. 30, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Trex Co and its competitors. According to the industry distribution chart, Trex Co ranks #305 out of 1699 companies in the Construction industry, placing it in the top 18%.

Is Trex Co's Beneish M-Score too high?

Trex Co's current Beneish M-Score is -2.99. Based on the distribution chart, Trex Co ranks #305 out of 1699 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Trex Co has a GF Score™ of 87/100, reflecting its overall financial health beyond just this single metric.

How does Trex Co's Beneish M-Score compare to FBIN and LPX?

According to the Construction industry distribution chart, Trex Co ranks #305 out of 1699 companies for Beneish M-Score. This places Trex Co in the top 18% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Beneish M-Score for a Construction company?

A good Beneish M-Score depends on the Construction industry context. However, Beneish M-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Beneish M-Score mean?

A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Trex Co and its competitors. Trex Co's current Beneish M-Score is -2.99. 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?

Trex Co (MEX:TREX1) has a current Beneish M-Score of -2.99. The stock's GF Value™ is MXN970.36, compared to a current price of MXN699.00 — trading 28% below its estimated fair value. The current Beneish M-Score is -2.99. Trex Co's overall GF Score™ is 87/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Beneish M-Score calculated?

Beneish M-Score is calculated from a company's financial statements. For Trex Co (MEX:TREX1), the current Beneish M-Score is -2.99 as of Jun. 30, 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 (MEX:TREX1) Overvalued in 2026?

Based on GuruFocus' analysis, Trex Co stock appears to be undervalued. The current stock price of MXN699.00 is trading 28% below its estimated GF Value™ of MXN970.36.

Key valuation signals for MEX:TREX1:

Beneish M-Score: -2.99
GF Value™: MXN970.36 vs. price of MXN699.00 (28% below fair value)
GF Score™: 87/100 with 4 warning signs

No single metric tells the full story. See the MEX:TREX1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Trex Co Business Description

Industry Industrials Construction

Comparable Companies FBIN LPX GFF AWI ARLO NPKI ROCK APOG LMB NX TT JCI CARR XPAR:SGO TSE:6367 XSWX:GEBN LII MAIR DUB:KRX MAS

Other Exchanges TREX:USA TRR:Germany

Address 2500 Trex Way, Winchester, VA, USA, 22601

Website https://www.trex.com

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.

87GF Score

Get the complete analysis for MEX:TREX1

Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN699.00

Price

MXN970.36

GF Value

View MEX:TREX1 Analysis

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