Zacks Research Forecasts Weaker Earnings for Toll Brothers

Toll Brothers, Inc. (NYSE:TOL) – Analysts at Zacks Research reduced their Q2 2025 earnings per share (EPS) estimates for shares of Toll Brothers in a research report issued to clients and investors on Tuesday, March 4th. Zacks Research analyst S. Mukherjee now anticipates that the construction company will earn $2.82 per share for the quarter, down from their prior forecast of $3.36. The consensus estimate for Toll Brothers’ current full-year earnings is $13.83 per share. Zacks Research also issued estimates for Toll Brothers’ Q3 2025 earnings at $3.93 EPS, Q3 2026 earnings at $4.22 EPS, Q4 2026 earnings at $5.21 EPS and FY2026 earnings at $15.02 EPS.

A number of other brokerages have also recently issued reports on TOL. Citigroup dropped their price objective on Toll Brothers from $155.00 to $137.00 and set a “neutral” rating on the stock in a research note on Monday, January 6th. Wells Fargo & Company decreased their target price on Toll Brothers from $170.00 to $150.00 and set an “overweight” rating on the stock in a report on Thursday, February 20th. JPMorgan Chase & Co. reissued a “neutral” rating and set a $150.00 target price (down from $166.00) on shares of Toll Brothers in a report on Friday, December 13th. Royal Bank of Canada decreased their target price on Toll Brothers from $142.00 to $139.00 and set an “outperform” rating on the stock in a report on Thursday, February 20th. Finally, Seaport Res Ptn raised Toll Brothers from a “strong sell” rating to a “hold” rating in a report on Monday, January 27th. Two research analysts have rated the stock with a sell rating, five have given a hold rating, eight have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, Toll Brothers currently has a consensus rating of “Moderate Buy” and an average price target of $147.57.

Toll Brothers Trading Down 1.6 %

Shares of Toll Brothers stock opened at $109.40 on Friday. Toll Brothers has a 12-month low of $105.73 and a 12-month high of $169.52. The stock has a market cap of $10.93 billion, a P/E ratio of 7.53, a P/E/G ratio of 1.02 and a beta of 1.77. The company has a quick ratio of 0.80, a current ratio of 4.65 and a debt-to-equity ratio of 0.35. The business’s 50 day moving average is $125.14 and its 200-day moving average is $140.07.

Toll Brothers (NYSE:TOL) last announced its quarterly earnings data on Tuesday, February 18th. The construction company reported $1.75 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.99 by ($0.24). Toll Brothers had a return on equity of 18.32% and a net margin of 14.03%. The company had revenue of $1.86 billion for the quarter, compared to the consensus estimate of $1.91 billion.

Toll Brothers Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, January 24th. Shareholders of record on Friday, January 10th were issued a $0.23 dividend. The ex-dividend date was Friday, January 10th. This represents a $0.92 dividend on an annualized basis and a yield of 0.84%. Toll Brothers’s payout ratio is currently 6.33%.

Insiders Place Their Bets

In other news, Director Christine Garvey sold 204 shares of the business’s stock in a transaction that occurred on Monday, December 30th. The stock was sold at an average price of $125.78, for a total transaction of $25,659.12. Following the completion of the sale, the director now owns 7,728 shares in the company, valued at $972,027.84. The trade was a 2.57 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Paul E. Shapiro sold 3,837 shares of the business’s stock in a transaction that occurred on Monday, December 16th. The shares were sold at an average price of $134.14, for a total value of $514,695.18. Following the sale, the director now owns 119,937 shares of the company’s stock, valued at approximately $16,088,349.18. This represents a 3.10 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 15,622 shares of company stock worth $1,993,880. 1.54% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Toll Brothers

Several hedge funds and other institutional investors have recently modified their holdings of TOL. Norges Bank bought a new stake in shares of Toll Brothers during the fourth quarter valued at approximately $149,924,000. Balyasny Asset Management L.P. increased its holdings in shares of Toll Brothers by 24,475.1% during the fourth quarter. Balyasny Asset Management L.P. now owns 1,114,728 shares of the construction company’s stock valued at $140,400,000 after acquiring an additional 1,110,192 shares in the last quarter. FMR LLC increased its holdings in shares of Toll Brothers by 97.7% during the third quarter. FMR LLC now owns 2,118,459 shares of the construction company’s stock valued at $327,281,000 after acquiring an additional 1,046,758 shares in the last quarter. D1 Capital Partners L.P. bought a new stake in Toll Brothers during the fourth quarter worth $106,428,000. Finally, Westfield Capital Management Co. LP bought a new stake in Toll Brothers during the third quarter worth $111,562,000. Institutional investors own 91.76% of the company’s stock.

About Toll Brothers

Toll Brothers, Inc, together with its subsidiaries, designs, builds, markets, sells, and arranges finance for a range of detached and attached homes in luxury residential communities in the United States. It designs, builds, markets, and sells condominiums through Toll Brothers City Living. The company also develops a range of single-story living and first-floor primary bedroom suite home designs, as well as communities with recreational amenities, such as golf courses, marinas, pool complexes, country clubs, and fitness and recreation centers; and develops, operates, and rents apartments.