Toll Brothers reports fiscal Q4 earnings December 4

TOL
About Toll Brothers Inc.

Toll Brothers is the leading luxury homebuilder in the United States with an average sales price well above public competitors'. The company operates in 50 markets across 22 states and caters to move-up, active-adult, and second-homebuyers. Traditional homebuilding operations represent approximately 93% of the company's revenue. Toll Brothers also builds luxury for-sale and for-rent properties in urban centers, primarily on the East Coast. The company's headquarters is in Horsham, Pennsylvania.

  • Last Price:
    $32.12
  • Previous Close:
    $33.14
  • Change:
    $-1.02 (-3.08%)
  • Open:
    $33.20
  • Volume:
    2,536,635
  • Average Volume (100 Day):
    3,369,788
  • Market Capitalization:
    $4.7 B
  • Day's Range:
    $31.97 - $33.53
  • Dividend Yield:
    1.33%
  • 52-week Range:
    $53 - $28.68
  • P-E:
    6.80
  • EPS:
    $4.89
  • Earnings Date:
    2/26/19
  • Ex Dividend Date:
    10/11/18
  • Sector:
    Consumer Cyclical
  • Industry:
    Residential Construction
  • Analyst Average Recommendation:
    Hold

What's Happening With TOL View more about TOL >

U.S. homebuilder Toll Brothers (TOL) will report its fiscal fourth-quarter numbers after the market close December 4. The company is expected to post earnings of $1.82 per share, up from $1.17 during the same period last year. TOL stock is down 30% for the year.

Technical Analysis

TOL was recently trading at $33.61 down $19.12 from its 12-month high and $4.93 above its 12-month low. InvestorsObserver’s Stock Score Report gives TOL a 44 long-term technical score and a 12 short-term technical score. The stock has recent support above $30 and recent resistance below $34. Of the 9 analysts who cover the stock 2 rate it Strong Buy, 1 rate it Buy, 5 rate it Hold, 0 rate it Sell, and 1 rate it Strong Sell, TOL gets a score of 32 from InvestorsObserver’s Stock Score Report.

Analysts' Thoughts

The entire housing sector has been weak in 2018 and TOL is no exception. The stock appears to have found support but remains in the lower end of its 52-week range. The big concern with the housing sector at this point is rising interest rates. The Federal Reserve is expected to lift rates again in December and possibly two or three additional times next year. Rates remain very low on an historical basis, but at some point higher rates will force homebuilders to lower costs in order to keep housing demand strong. Overall the housing market remains on solid ground, and TOL is expected to grow earnings 45% for the full year and by 14% per annum over the next five years. The stock’s valuation looks incredibly attractive with a forward P/E of just 6.5, so the downside is likely limited barring any huge earnings miss. Wall Street will likely remain cautious due to rising interest rates, but most of the homebuilders appear to be in oversold territory which makes them very attractive. TOL is trading at $33.61 with an average price target of $40.38.

Already a member?

Login to see your Stocks to Watch Trade Ideas.

Not yet a member?

Receive a Morning Action trade idea every market day in the Morning Update, plus Stocks to Watch Trade Ideas every Saturday.

Become A Member

|