Toll Brothers (NYSE:TOL) Releases Earnings Results, Beats Expectations By $0.15 EPS

Toll Brothers (NYSE:TOL) posted its earnings results on Tuesday. The construction company reported $2.72 earnings per share for the quarter, beating the consensus estimate of $2.57 by $0.15, Zacks reports. The company had revenue of $2.53 billion for the quarter, compared to analyst estimates of $2.42 billion. Toll Brothers had a return on equity of 16.83% and a net margin of 12.26%.Toll Brothers’s revenue was down 7.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $3.50 earnings per share.

Toll Brothers Price Performance

Toll Brothers stock traded down $3.12 during midday trading on Tuesday, hitting $123.85. The company’s stock had a trading volume of 1,916,559 shares, compared to its average volume of 1,217,246. The stock’s 50-day moving average price is $138.55 and its 200-day moving average price is $141.62. The company has a market capitalization of $11.73 billion, a PE ratio of 8.85, a price-to-earnings-growth ratio of 0.99 and a beta of 1.39. The company has a quick ratio of 0.62, a current ratio of 4.57 and a debt-to-equity ratio of 0.32. Toll Brothers has a 12 month low of $100.92 and a 12 month high of $168.36.

Toll Brothers Increases Dividend

The company also recently declared 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 is a boost from Toll Brothers’s previous quarterly dividend of $0.25. The ex-dividend date was Friday, April 10th. This represents a $1.04 annualized dividend and a dividend yield of 0.8%. Toll Brothers’s payout ratio is 7.43%.

Insider Activity at Toll Brothers

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

Institutional Trading of Toll Brothers

Several hedge funds and other institutional investors have recently modified their holdings of the company. Smartleaf Asset Management LLC lifted its holdings in shares of Toll Brothers by 46.7% during the fourth quarter. Smartleaf Asset Management LLC now owns 308 shares of the construction company’s stock worth $42,000 after buying an additional 98 shares during the last quarter. UMB Bank n.a. lifted its stake in shares of Toll Brothers by 9.9% in the fourth quarter. UMB Bank n.a. now owns 1,228 shares of the construction company’s stock valued at $166,000 after buying an additional 111 shares during the period. Parallel Advisors LLC grew its position in Toll Brothers by 5.9% during the fourth quarter. Parallel Advisors LLC now owns 1,977 shares of the construction company’s stock worth $267,000 after buying an additional 111 shares in the last quarter. Quadrant Capital Group LLC raised its holdings in Toll Brothers by 2.3% in the 4th quarter. Quadrant Capital Group LLC now owns 5,940 shares of the construction company’s stock valued at $803,000 after acquiring an additional 131 shares in the last quarter. Finally, Franklin Resources Inc. raised its holdings in Toll Brothers by 0.5% in the 4th quarter. Franklin Resources Inc. now owns 38,725 shares of the construction company’s stock valued at $5,236,000 after acquiring an additional 180 shares in the last quarter. 91.76% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

TOL has been the subject of a number of recent research reports. Zacks Research upgraded Toll Brothers from a “strong sell” rating to a “hold” rating in a research note on Monday, February 9th. Truist Financial reduced their price target on shares of Toll Brothers from $190.00 to $170.00 and set a “buy” rating for the company in a report on Thursday, April 16th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Toll Brothers in a report on Friday, May 8th. Royal Bank Of Canada lifted their price objective on shares of Toll Brothers from $144.00 to $161.00 and gave the company an “outperform” rating in a research report on Thursday, February 19th. Finally, Barclays decreased their target price on shares of Toll Brothers from $116.00 to $115.00 and set an “underweight” rating for the company in a research report on Wednesday, April 8th. One investment analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $164.44.

Key Headlines Impacting Toll Brothers

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

• Positive Sentiment: Toll Brothers reported fiscal Q2 results that came in better than expected, with revenue above estimates and earnings declines smaller than analysts feared. Toll Brothers Reports FY 2026 Second Quarter Results
• Positive Sentiment: The company’s average delivered home price climbed above $1 million, reinforcing the strength of its luxury housing mix and margin profile. Homebuilder Toll Brothers Profit Declines Less Than Expected
• Positive Sentiment: Broader housing-data coverage ahead of the release pointed to improving home-sales trends, which could support demand for Toll Brothers’ communities. Housing Data Enters the Chat: NAHB, HD, TOL
• Positive Sentiment: Analysts and market commentary going into earnings highlighted resilient luxury-home demand, which helped frame expectations more favorably for Toll Brothers. Luxury Homes Are Selling in a Tough Market. That’s a Good Sign for Toll Brothers’ Earnings.
• Neutral Sentiment: The company also announced new community openings in Georgia and California, which support long-term growth but are not immediate stock drivers. Toll Brothers Announces Cameron Cove Now Open in Marietta, Georgia
• Negative Sentiment: Even with the beat, the stock had been under pressure ahead of earnings, reflecting investor caution around housing demand and post-earnings volatility. Toll Brothers Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call

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.