Toll Brothers (NYSE:TOL) Upgraded to “Strong-Buy” at Truist Financial

Truist Financial upgraded shares of Toll Brothers (NYSE:TOL) to a strong-buy rating in a research report report published on Tuesday morning,Zacks.com reports.

A number of other research analysts also recently issued reports on TOL. BTIG Research initiated coverage on Toll Brothers in a report on Monday, December 1st. They set a “neutral” rating on the stock. The Goldman Sachs Group upped their price objective on Toll Brothers from $140.00 to $156.00 and gave the stock a “neutral” rating in a research note on Tuesday, January 13th. UBS Group lifted their price target on shares of Toll Brothers from $181.00 to $198.00 and gave the company a “buy” rating in a report on Thursday, February 19th. Evercore set a $174.00 price objective on Toll Brothers in a research note on Thursday, February 19th. Finally, Citigroup upped their target price on shares of Toll Brothers from $141.00 to $162.00 and gave the stock a “neutral” rating in a research report on Thursday, February 26th. Two investment analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $165.25.

Toll Brothers Stock Down 2.5%

TOL stock traded down $3.90 on Tuesday, reaching $149.66. 917,142 shares of the company traded hands, compared to its average volume of 1,269,190. The firm has a fifty day simple moving average of $149.07 and a 200-day simple moving average of $141.17. The company has a market cap of $14.17 billion, a P/E ratio of 10.69, a price-to-earnings-growth ratio of 1.20 and a beta of 1.45. Toll Brothers has a one year low of $86.67 and a one year high of $168.36. The company has a debt-to-equity ratio of 0.32, a current ratio of 4.57 and a quick ratio of 0.62.

Toll Brothers (NYSE:TOL) last released its earnings results on Tuesday, February 17th. The construction company reported $2.19 EPS for the quarter, topping analysts’ consensus estimates of $2.05 by $0.14. The firm had revenue of $2.15 billion for the quarter, compared to analysts’ expectations of $1.86 billion. Toll Brothers had a return on equity of 16.83% and a net margin of 12.26%.The company’s quarterly revenue was up 15.4% on a year-over-year basis. During the same period in the prior year, the firm posted $1.75 earnings per share. Research analysts anticipate that Toll Brothers will post 13.83 earnings per share for the current year.

Toll Brothers Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, January 23rd. Shareholders of record on Friday, January 9th were given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend was Friday, January 9th. Toll Brothers’s dividend payout ratio is 7.14%.

Insider Buying and Selling at Toll Brothers

In related news, Director Paul E. Shapiro sold 3,965 shares of the firm’s stock in a transaction dated Thursday, January 15th. The shares were sold at an average price of $146.68, for a total value of $581,586.20. Following the transaction, the director owned 118,680 shares of the company’s stock, valued at $17,407,982.40. This trade represents a 3.23% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Douglas C. Jr. Yearley sold 45,116 shares of Toll Brothers stock in a transaction dated Tuesday, February 24th. The shares were sold at an average price of $160.42, for a total transaction of $7,237,508.72. Following the sale, the chief executive officer owned 321,256 shares of the company’s stock, valued at $51,535,887.52. The trade was a 12.31% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.37% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Toll Brothers

A number of institutional investors have recently modified their holdings of TOL. Caitong International Asset Management Co. Ltd bought a new stake in shares of Toll Brothers during the fourth quarter valued at approximately $113,000. McLaughlin Asset Management Inc. purchased a new position in Toll Brothers during the 4th quarter worth $1,227,000. Compound Planning Inc. increased its holdings in Toll Brothers by 5.1% during the 4th quarter. Compound Planning Inc. now owns 4,372 shares of the construction company’s stock worth $591,000 after purchasing an additional 214 shares during the period. TMB Capital Partners LLC bought a new stake in Toll Brothers during the 4th quarter valued at $240,000. Finally, Invesco Ltd. lifted its holdings in shares of Toll Brothers by 5.5% in the 4th quarter. Invesco Ltd. now owns 270,713 shares of the construction company’s stock worth $36,606,000 after buying an additional 14,180 shares during the period. 91.76% of the stock is owned by hedge funds and other institutional investors.

Key Toll Brothers News

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

• Positive Sentiment: Truist initiated/upped coverage on TOL with a bullish stance and a $190 price target (~26% upside versus recent levels), which provides a clear analyst catalyst and upside narrative. Truist coverage and $190 PT
• Positive Sentiment: Toll Brothers continues to expand its communities — new luxury community announced for Tomball, Texas — supporting future revenue and backlog growth. Tomball community announcement
• Positive Sentiment: Additional openings/grand‑openings (Regency at Rockhill Ridge in Sellersville, PA; Quail Ridge in Ridgefield, WA) and near‑sellout townhomes in San Diego reflect active community sales and localized demand. Regency at Rockhill Ridge Quail Ridge grand opening Mira Vista final homes
• Neutral Sentiment: Zacks Research raised certain quarterly estimates (Q3) in recent notes, a modest positive signal for mid‑cycle earnings expectations, but their coverage remains a “Hold” on TOL. Zacks raises Q3 EPS estimates
• Negative Sentiment: Zacks also trimmed several near‑term EPS forecasts (notably Q2 2026 and a small cut to Q1 2028) and maintains a cautious stance overall — these cuts can pressure near‑term sentiment. Zacks estimate changes
• Negative Sentiment: Sector headwinds — higher mortgage rates and weaker pending/closed sales — are cited by Barron’s as weighing on builder stocks generally; macro rate-driven demand weakness is a key risk for Toll Brothers’ sales cadence. Barron’s on mortgage rates and builders

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.