Wake Up With Breakfast News!

Wake up to the latest market news, company insights, and a bit of Foolish fun -- all wrapped up in one quick, easy-to-read email, called Breakfast News. Delivered at 7:30 a.m. ET every single market day. See an example of our weekday Breakfast News email & sign-up below.

Loading image...

Market Data Table

Breakfast News: Trex's Bold Distribution Overhaul

July 14, 2026

Monday's Markets
S&P 500 7,515 (-0.79%)
Nasdaq 25,873 (-1.55%)
Dow 52,499 (-0.26%)
Bitcoin $62,171 (-3.16%)

Loading raw_html...

Bar Chart tracking Trex's revenue over the past decade, growing from a little over $100 million in 2016 to almost $400 million in 2021, then dropping to under $200 million in 2022 and remaining volatile, ranging from $200 million to almost $400 up to 2026 where it currently sits at $343 million.

Loading raw_html...

1) Trex Pops on Results With Distribution Deal

Trex (NYSE:TREX) rose over 5% ahead of the market open, driven by strong quarterly results and an upgraded full-year sales outlook, as the Rule Breakers and Dividend Investor recommendation announced a major distribution overhaul.

Results "driven primarily by positive performance in our premium decking portfolio and supported by recent shelf space wins in retail": CEO Adam Zambanini also pointed to the strong gross margin of 40.5%, which held steady from last quarter despite higher costs.
North American distribution network changed with new sole distributor: Specialty Building Products was announced as the exclusive distributor, which recently expanded its footprint to all 50 states plus Canada. The news allows Trex to tap into a large network of over 15,000 retailers and dealers.

Loading paragraph...

2) Nvidia Halves Asia AI Buyers to Curb China

The FT reports that Nvidia (NASDAQ:NVDA) has more than halved the number of Asian customers allowed to buy its artificial intelligence (AI) chips, reflecting continued U.S. efforts to tighten export controls to prevent chips from reaching China through other countries.

New checks include Nvidia staff visiting customers' data centers and interviewing end users: The tightening of the internal vetting process has caused several clients to fail. The main pressure on the enhanced due diligence reportedly came from Washington.
China's domestic chip supply still not enough to satisfy demand: It's unclear how effective the crackdown will be, as surging demand in China cannot be met by local alternatives, making the chip black market increasingly popular.

Loading paragraph...

3) Small Caps Outpace S&P 500 in 2026 Blast

U.S. small-cap stocks, measured by the Russell 2000 index, are on track for the best annual performance since 2003 as more investors hunt for attractive valuations and beneficiaries of the AI investment boom.

The Russell 2000 has doubled the gains of the S&P 500 so far in 2026: Analysts have pointed out the benefits for domestic stocks from tax rebates in government bills, alongside strong residual U.S. economic growth and a lack of monetary policy tightening.
Diversifying beyond just tech hyperscalers: Even though major tech stocks can still deliver gains, small-cap performance reflects the breadth of the market rally as capital is allocated to a wider range of stocks.

Loading paragraph...

4) Banks Kick Off Pre-Market Earnings

JPMorgan Chase (NYSE:JPM) edged down around 2% despite posting what seemed like decent results, with CEO Jamie Dimon saying, "Performance was strong across the firm, and revenue in each line of business hit a new record." In April, Fool contributing analyst Dan Caplinger referred to the bank as the "house," saying, "When you're talking about casinos, betting on the house always makes sense. I feel like investing is not gambling, but betting on the house, betting on the experts, I feel … is a smart bet."
Bank of America (NYSE:BAC) rose around 1% following results showing a 27% increase in net income versus the same period last year. Investors were impressed with the 9% rise in net interest income, as elevated global markets activity helped.
Wells Fargo (NYSE:WFC) moved around 1.5% higher after beating both earnings and revenue expectations. The company is continuing to see margin expansion from business mix improvement and cost controls.

Loading paragraph...

5) Today's Take: Forest vs. Trees

The ultimate goal for me is to have the freedom to pick individual speculative stocks while still building a portfolio around resilience. A forest can be strong and healthy even if the individual trees vary greatly. -- Lou Whiteman, Team Hidden Gems

6) Your Take

Today, we're asking whether you'd rather start a long-term position in recent IPOs Space Exploration Technologies (SpaceX) (NASDAQ:SPCX) or SK Hynix (NASDAQ:SKHY) today, and why? And remember, you can't choose both or neither in this hypothetical game!

Debate with friends and family, or become a member to hear what your fellow Fools are saying!

Loading paragraph...