Zacks Research Raises Earnings Estimates for Toll Brothers

Toll Brothers Inc. (NYSE:TOL) – Equities research analysts at Zacks Research increased their FY2026 EPS estimates for Toll Brothers in a report released on Tuesday, September 8th. Zacks Research analyst Team now expects that the construction company will post earnings of $12.70 per share for the year, up from their prior forecast of $12.63. The consensus estimate for Toll Brothers’ current full-year earnings is $12.81 per share. Zacks Research also issued estimates for Toll Brothers’ Q4 2026 earnings at $4.82 EPS, Q1 2027 earnings at $1.88 EPS, Q2 2027 earnings at $3.16 EPS, Q3 2027 earnings at $3.56 EPS, Q4 2027 earnings at $5.68 EPS, FY2027 earnings at $14.27 EPS, Q1 2028 earnings at $2.30 EPS, Q2 2028 earnings at $3.85 EPS, Q3 2028 earnings at $4.45 EPS and FY2028 earnings at $16.74 EPS.

Toll Brothers (NYSE:TOL) last released its earnings results on Tuesday, August 18th. The construction company reported $2.97 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.93 by $0.04. Toll Brothers had a net margin of 11.14% and a return on equity of 14.21%. The firm had revenue of $2.66 billion during the quarter, compared to analyst estimates of $2.62 billion. During the same quarter last year, the business earned $3.73 EPS. The business’s revenue was down 9.7% on a year-over-year basis.

Several other analysts also recently issued reports on the stock. Oppenheimer downgraded shares of Toll Brothers from an “outperform” rating to a “market perform” rating in a research note on Tuesday, June 9th. Argus set a $170.00 target price on Toll Brothers in a research note on Tuesday, June 2nd. Truist Financial increased their price target on Toll Brothers from $165.00 to $170.00 and gave the stock a “buy” rating in a report on Thursday, August 20th. BTIG Research started coverage on Toll Brothers in a research note on Tuesday, June 9th. They set a “buy” rating for the company. Finally, Barclays raised their price target on Toll Brothers from $115.00 to $122.00 and gave the stock an “underweight” rating in a research note on Tuesday, July 14th. Fourteen investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $167.27.

Toll Brothers Stock Performance

Shares of NYSE:TOL opened at $136.56 on Wednesday. The company has a market capitalization of $12.58 billion, a price-to-earnings ratio of 10.96, a PEG ratio of 1.14 and a beta of 1.34. Toll Brothers has a 12 month low of $123.14 and a 12 month high of $168.36. The firm’s 50-day moving average is $148.81 and its 200 day moving average is $145.24. The company has a current ratio of 4.53, a quick ratio of 0.55 and a debt-to-equity ratio of 0.32.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of TOL. Steamboat Capital Partners LLC purchased a new stake in shares of Toll Brothers in the 2nd quarter worth $3,976,000. Baird Financial Group Inc. bought a new position in shares of Toll Brothers during the 2nd quarter worth $17,086,000. West Family Investments Inc. purchased a new position in shares of Toll Brothers during the second quarter valued at $330,000. Waverly Advisors LLC increased its stake in shares of Toll Brothers by 76.8% during the second quarter. Waverly Advisors LLC now owns 69,147 shares of the construction company’s stock valued at $11,392,000 after buying an additional 30,036 shares during the period. Finally, Bank OZK raised its holdings in shares of Toll Brothers by 7.3% in the second quarter. Bank OZK now owns 19,500 shares of the construction company’s stock valued at $3,213,000 after acquiring an additional 1,326 shares in the last quarter. 91.76% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at Toll Brothers

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

Toll Brothers Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, July 24th. Shareholders of record on Friday, July 10th were given a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend was Friday, July 10th. Toll Brothers’s payout ratio is 8.35%.

Key Toll Brothers News

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

• Positive Sentiment: Zacks raised Toll Brothers’ FY2026 EPS estimate to $12.70 and FY2027 estimate to $14.27, indicating modestly improved expectations for annual earnings. The firm also increased Q3 2027 EPS to $3.56 and Q4 2027 EPS to $5.68. Toll Brothers analyst estimates
• Neutral Sentiment: Toll Brothers announced a new building release at Iron Creek, a luxury townhome community in Charlotte, North Carolina. The four-story homes feature rooftop terraces and expand the company’s presence in the Charlotte market, but the announcement does not provide sales or earnings guidance. Iron Creek building release
• Negative Sentiment: Zacks reduced EPS forecasts for Q4 2026, Q1-Q2 2027, Q1 2028, Q2 2028 and Q3 2028. Its FY2028 estimate also fell to $16.74 from $16.84. These cuts may weigh on sentiment because they point to softer earnings expectations in several reporting periods, despite the increases elsewhere.

Toll Brothers Company 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.