UPDATE: Imperial Capital Initiated Coverage on Trex Company with In-Line Rating, $33 PT

In a report published Friday, Imperial Capital initiated coverage on Trex Company

with an In-Line rating and $33.00 price target. Imperial Capital noted, “We are initiating coverage of TREX common stock with an In-Line rating and one-year price target of $33. As a leading supplier of composite decking materials and other related products, we believe Trex is well positioned to benefit from a recovery in the U.S. remodeling construction sector. However, current valuation already reflects these expectations. Trex products benefit from composite decking products gaining market penetration. While Trex's deck products may have a greater upfront costs than traditional wood deck products, improvements in composite technology have increased the longer-term value proposition and helped composite decking continue to gain market penetration.” Trex Company closed on Thursday at $33.50.