11 Worst Performing Stocks to Invest in on the Dip

6. Trex Company, Inc. (NYSE:TREX)

Number of Hedge Fund Holders: 41

52-week Low: $31.2115

Stock Price: $31.77

Average Upside Potential: ~114%

Trex Company, Inc. (NYSE:TREX) is one of the Worst Performing Stocks to Invest in on the Dip. On November 10, Stifel downgraded the company’s stock to “Hold” from “Buy” with a price objective of $35, down from the prior target of $61, as reported by The Fly. As per the analyst, Trex Company, Inc. (NYSE:TREX) has reset expectations for all the known headwinds.

However, gaining confidence in the updated outlook is expected to take time. Furthermore, Stifel stated that it had underestimated the company’s capability to sustain momentum through the weaker home improvement environment.

In Q3 2025, Trex Company, Inc. (NYSE:TREX) saw net sales coming at $285 million, reflecting a rise of 22.1% as compared to $234 million reported in the prior-year quarter, with the increase substantially because of an increase in volume. Its EBITDA rose 27.2% to $86 million from $68 million, and EBITDA margin saw expansion of 120 bps to 30.3% from 29.1% in the prior-year period. The EBITDA growth was mainly because of volume growth in net sales.

Trex Company, Inc. (NYSE:TREX) expects Q4 2025 sales to be between $140 million – $150 million, bringing FY 2025 sales guidance to $1.15 billion – $1.16 billion. The company plans to continue pursuing strategies focused on capturing an increasing share of conversion from wood to composite decking.