Basswood Capital Management L.L.C. Purchases New Stake in Toll Brothers Inc. $TOL

Basswood Capital Management L.L.C. acquired a new stake in shares of Toll Brothers Inc. (NYSE:TOL) during the second quarter, Holdings Channel reports. The fund acquired 284,288 shares of the construction company’s stock, valued at approximately $46,836,000. Toll Brothers comprises about 1.9% of Basswood Capital Management L.L.C.’s portfolio, making the stock its 13th biggest position.

Several other hedge funds also recently added to or reduced their stakes in TOL. BlackRock Inc. bought a new stake in shares of Toll Brothers in the 2nd quarter worth about $1,610,696,000. Price T Rowe Associates Inc. MD lifted its position in shares of Toll Brothers by 2,067.8% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 3,303,915 shares of the construction company’s stock worth $446,756,000 after purchasing an additional 3,151,509 shares during the last quarter. Norges Bank acquired a new position in Toll Brothers in the fourth quarter worth about $168,312,000. Bank of New York Mellon Corp acquired a new position in Toll Brothers in the second quarter worth about $164,804,000. Finally, Jupiter Topco LLC bought a new stake in Toll Brothers in the second quarter valued at about $88,646,000. 91.76% of the stock is owned by institutional investors and hedge funds.

Toll Brothers Price Performance

TOL opened at $148.32 on Thursday. The company has a quick ratio of 0.55, a current ratio of 4.53 and a debt-to-equity ratio of 0.32. The company’s 50-day moving average price is $151.86 and its 200 day moving average price is $146.43. Toll Brothers Inc. has a fifty-two week low of $123.14 and a fifty-two week high of $168.36. The firm has a market cap of $13.86 billion, a price-to-earnings ratio of 11.90, a price-to-earnings-growth ratio of 1.24 and a beta of 1.35.

Toll Brothers (NYSE:TOL) last issued its earnings results on Tuesday, August 18th. The construction company reported $2.97 EPS for the quarter, beating analysts’ consensus estimates of $2.93 by $0.04. The company had revenue of $2.66 billion during the quarter, compared to the consensus estimate of $2.62 billion. Toll Brothers had a return on equity of 14.21% and a net margin of 11.14%.Toll Brothers’s quarterly revenue was down 9.7% compared to the same quarter last year. During the same period in the previous year, the firm posted $3.73 earnings per share. As a group, sell-side analysts expect that Toll Brothers Inc. will post 12.81 earnings per share for the current year.

Toll Brothers Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, July 24th. Investors of record on Friday, July 10th were given a dividend of $0.26 per share. The ex-dividend date was Friday, July 10th. This represents a $1.04 dividend on an annualized basis and a yield of 0.7%. Toll Brothers’s payout ratio is currently 8.35%.

Insider Buying and Selling

In related news, Chairman Douglas C. Jr. Yearley sold 77,957 shares of the company’s stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $156.58, for a total transaction of $12,206,507.06. Following the completion of the transaction, the chairman directly owned 321,256 shares in the company, valued at $50,302,264.48. This represents a 19.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, COO Robert Parahus sold 7,500 shares of the company’s stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $149.66, for a total value of $1,122,450.00. Following the transaction, the chief operating officer owned 23,457 shares of the company’s stock, valued at approximately $3,510,574.62. The trade was a 24.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 1.37% of the company’s stock.

Analysts Set New Price Targets

TOL has been the topic of several research reports. Truist Financial upped their price objective on Toll Brothers from $165.00 to $170.00 and gave the company a “buy” rating in a research note on Thursday, August 20th. BTIG Research initiated coverage on Toll Brothers in a research report on Tuesday, June 9th. They issued a “buy” rating for the company. Keefe, Bruyette & Woods upgraded Toll Brothers from a “market perform” rating to an “outperform” rating and boosted their price target for the company from $158.00 to $161.00 in a report on Tuesday, June 9th. Citigroup upped their price target on Toll Brothers from $176.00 to $179.00 and gave the company a “buy” rating in a research report on Friday, August 21st. Finally, Benchmark began coverage on Toll Brothers in a research note on Tuesday, June 9th. They set a “buy” rating on the stock. Fifteen analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $166.67.

Toll Brothers Profile

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.