This Decking Stock Is Down 35% in a Year, and One Investor Just Reported a $21 Million Exit

On February 17, 2026, Aperture Investors disclosed in an SEC filing that it sold its entire stake of 406,610 shares in Trex (TREX 2.24%), an estimated $21.01 million transaction.

What happened

According to an SEC filing dated February 17, 2026, Aperture Investors eliminated its entire stake in Trex by selling all 406,610 previously held shares. The fund’s quarter-end position in Trex decreased by $21.01 million as a result of the exit.

What else to know

• Top holdings after the filing:
  • NYSE: CAVA: $30.05 million (4.2% of AUM)
  • NYSE: BROS: $26.60 million (3.7% of AUM)
  • NYSE: ORA: $25.59 million (3.6% of AUM)
  • NASDAQ: VXUS: $25.58 million (3.6% of AUM)
  • NASDAQ: POWL: $24.45 million (3.4% of AUM)
• As of February 16, 2026, Trex shares were priced at $42.80, down roughly 35% over one year and well underperforming the S&P 500’s roughly 20% gain in the same period.

Company overview

Company snapshot

• TREX offers composite decking, railing, fencing, and outdoor living products under the Trex brand, serving both residential and commercial construction markets.
• The firm generates revenue primarily through the manufacture and distribution of branded outdoor building materials, with additional income from licensing agreements for related products.
• It targets wholesale distributors, retail lumber dealers, and major home improvement retailers such as Home Depot and Lowe’s, as well as commercial project bidders.

Trex is a leading provider of composite decking and outdoor living solutions with a strong presence in the North American construction materials market. The company leverages its proprietary manufacturing processes and extensive distribution network to maintain a competitive position in the industry. Trex’s focus on branded, low-maintenance products and strategic retail partnerships supports its growth and market share within the outdoor building products sector.

What this transaction means for investors

Consumer housing cycles can punish even strong brands when renovation spending slows, and the fact that Aperture has stepped into Trex now is interesting.

The pressure has shown up in Trex’s stock price, which has dropped sharply over the past year while the broader market climbed. It’s also shown up in financials, with full-year revenue ticking up just 2% to $1.2 billion while net income fell to $190 million from $238 million in 2024. Nevertheless, management is signaling confidence in the company’s long-term outlook. The board recently authorized an accelerated share repurchase that will buy back about $100 million of stock, with roughly 1.9 million shares expected to be delivered early in the program.

Within the broader portfolio, the sale leaves room for positions tied to consumer growth and infrastructure spending, including restaurant chains and industrial equipment names. That mix suggests a potential shift away from housing exposure toward areas with clearer demand visibility. Shares of Trex have climbed about 7% since quarter end (compared to a roughly 2% decline for the S&P 500), but with ongoing murkiness in the outlook, it’s not surprising an investor might shy away.