Toll Brothers Inc. (NYSE:TOL) Receives Consensus Rating of “Moderate Buy” from Analysts

Toll Brothers Inc. (NYSE:TOL) has earned a consensus rating of “Moderate Buy” from the nineteen research firms that are currently covering the company, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, five have given a hold recommendation, twelve have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month price target among brokers that have covered the stock in the last year is $164.4375.

A number of research firms have recently commented on TOL. Truist Financial cut their target price on Toll Brothers from $190.00 to $170.00 and set a “buy” rating on the stock in a research report on Thursday, April 16th. Weiss Ratings reiterated a “buy (b-)” rating on shares of Toll Brothers in a research report on Friday, May 8th. Royal Bank Of Canada lifted their target price on Toll Brothers from $144.00 to $161.00 and gave the stock an “outperform” rating in a research report on Thursday, February 19th. Seaport Research Partners reiterated a “neutral” rating on shares of Toll Brothers in a research report on Tuesday, April 7th. Finally, Keefe, Bruyette & Woods lifted their target price on Toll Brothers from $143.00 to $170.00 and gave the stock a “market perform” rating in a research report on Wednesday, February 25th.

Toll Brothers Stock Down 2.5%

Shares of NYSE TOL opened at $123.85 on Wednesday. The company has a market capitalization of $11.73 billion, a price-to-earnings ratio of 8.85, a price-to-earnings-growth ratio of 0.99 and a beta of 1.39. The company has a debt-to-equity ratio of 0.32, a current ratio of 4.57 and a quick ratio of 0.62. The business has a 50-day moving average of $138.55 and a two-hundred day moving average of $141.62. Toll Brothers has a 1 year low of $100.92 and a 1 year high of $168.36.

Toll Brothers (NYSE:TOL) last announced its quarterly earnings results on Tuesday, May 19th. The construction company reported $2.72 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.58 by $0.14. Toll Brothers had a return on equity of 16.83% and a net margin of 12.26%.The company had revenue of $2.53 billion during the quarter, compared to the consensus estimate of $2.42 billion. During the same period in the previous year, the business earned $3.50 EPS. Toll Brothers’s revenue for the quarter was down 7.6% on a year-over-year basis. On average, analysts forecast that Toll Brothers will post 12.65 earnings per share for the current fiscal year.

Toll Brothers Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, April 24th. Stockholders of record on Friday, April 10th were given a dividend of $0.26 per share. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.8%. This is an increase from Toll Brothers’s previous quarterly dividend of $0.25. The ex-dividend date was Friday, April 10th. Toll Brothers’s payout ratio is presently 7.43%.

Insider Transactions at Toll Brothers

In other news, CEO Douglas C. Jr. Yearley sold 45,116 shares of Toll Brothers stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $160.42, for a total transaction of $7,237,508.72. Following the sale, the chief executive officer owned 321,256 shares in the company, valued at approximately $51,535,887.52. The trade was a 12.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Stephen F. East sold 1,000 shares of Toll Brothers stock in a transaction dated Wednesday, April 15th. The stock was sold at an average price of $139.70, for a total value of $139,700.00. Following the sale, the director owned 13,442 shares in the company, valued at $1,877,847.40. This trade represents a 6.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.37% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Toll Brothers

Several institutional investors have recently added to or reduced their stakes in TOL. Hilton Head Capital Partners LLC increased its position in Toll Brothers by 65.5% in the 1st quarter. Hilton Head Capital Partners LLC now owns 187 shares of the construction company’s stock valued at $26,000 after acquiring an additional 74 shares during the period. Wiser Advisor Group LLC acquired a new position in Toll Brothers in the 3rd quarter valued at about $27,000. Pinnacle Holdings LLC acquired a new position in Toll Brothers in the 4th quarter valued at about $27,000. Abich Financial Wealth Management LLC acquired a new position in Toll Brothers in the 3rd quarter valued at about $28,000. Finally, Ramirez Asset Management Inc. acquired a new position in Toll Brothers in the 3rd quarter valued at about $28,000. Institutional investors and hedge funds own 91.76% of the company’s stock.

Key Headlines Impacting Toll Brothers

Here are the key news stories impacting Toll Brothers this week:

• Positive Sentiment: Toll Brothers beat Wall Street estimates for both earnings and revenue, reporting $2.72 per share versus consensus of about $2.57-$2.58 and revenue of $2.53 billion versus $2.42 billion expected. Article Title
• Positive Sentiment: The Wall Street Journal said the company’s revenue and profit declined less than expected, helped by an average delivered home price above $1 million, which supports luxury-home pricing power. Article Title
• Positive Sentiment: Industry commentary suggested luxury homes are still selling in a tough market, a potentially favorable sign for Toll Brothers’ margins and demand resilience. Article Title
• Neutral Sentiment: Analysts were looking for quarterly EPS of about $2.58 and revenue of $2.42 billion, so the report came in ahead of expectations but not by a wide enough margin to fully offset broader concerns. Article Title
• Neutral Sentiment: Recent housing-data coverage pointed to improving pending home sales, which may help sentiment for homebuilders, though the impact on Toll Brothers is still uncertain. Article Title
• Negative Sentiment: Even with the earnings beat, revenue fell 7.6% from a year ago and EPS was below last year’s $3.50, highlighting a year-over-year slowdown that may be pressuring the stock. Article Title

About Toll Brothers

Toll Brothers, Inc is a publicly traded homebuilding company that focuses on designing and constructing luxury residential properties. The company’s core business encompasses a broad range of housing products, including custom single-family homes, upscale condominium communities and rental apartment ventures. Toll Brothers emphasizes high-end finishes and architectural craftsmanship, positioning itself in the premium segment of the U.S. housing market.

In addition to traditional homebuilding, Toll Brothers operates specialized divisions to address evolving consumer preferences.