Toll Brothers (NYSE:TOL) Issues Earnings Results, Misses Expectations By $0.75 EPS

Toll Brothers (NYSE:TOL) posted its quarterly earnings results on Tuesday. The construction company reported $3.38 EPS for the quarter, missing the consensus estimate of $4.13 by ($0.75), Briefing.com reports. The business had revenue of $2.84 billion during the quarter, compared to analysts’ expectations of $2.58 billion. Toll Brothers had a net margin of 15.07% and a return on equity of 20.91%. The firm’s quarterly revenue was up 13.2% compared to the same quarter last year. During the same quarter last year, the firm earned $2.85 EPS. Toll Brothers updated its FY 2024 guidance to 14.000-14.000 EPS.

Toll Brothers Stock Performance

Shares of NYSE TOL opened at $119.59 on Friday. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.65 and a current ratio of 4.59. The firm has a market cap of $12.46 billion, a price-to-earnings ratio of 8.17, a P/E/G ratio of 0.97 and a beta of 1.67. The business’s 50-day simple moving average is $123.16 and its 200-day simple moving average is $107.64. Toll Brothers has a 52 week low of $64.40 and a 52 week high of $135.37.

Toll Brothers Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, April 19th. Shareholders of record on Friday, April 5th were given a $0.23 dividend. This is a positive change from Toll Brothers’s previous quarterly dividend of $0.21. This represents a $0.92 annualized dividend and a yield of 0.77%. The ex-dividend date of this dividend was Thursday, April 4th. Toll Brothers’s dividend payout ratio is presently 6.28%.

Insider Activity

In other news, CEO Douglas C. Jr. Yearley sold 50,000 shares of the stock in a transaction dated Monday, March 4th. The stock was sold at an average price of $118.85, for a total transaction of $5,942,500.00. Following the transaction, the chief executive officer now owns 346,382 shares of the company’s stock, valued at approximately $41,167,500.70. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, Director Stephen F. East sold 1,500 shares of the stock in a transaction that occurred on Monday, April 15th. The stock was sold at an average price of $119.32, for a total transaction of $178,980.00. Following the completion of the sale, the director now owns 9,389 shares in the company, valued at approximately $1,120,295.48. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Douglas C. Jr. Yearley sold 50,000 shares of the stock in a transaction that occurred on Monday, March 4th. The shares were sold at an average price of $118.85, for a total value of $5,942,500.00. Following the sale, the chief executive officer now owns 346,382 shares of the company’s stock, valued at approximately $41,167,500.70. The disclosure for this sale can be found here. In the last quarter, insiders have sold 66,500 shares of company stock valued at $7,881,930. Insiders own 1.54% of the company’s stock.

Analysts Set New Price Targets

Several research firms have commented on TOL. Citigroup lifted their price target on Toll Brothers from $138.00 to $139.00 and gave the company a “neutral” rating in a report on Friday, May 17th. Barclays lifted their price objective on Toll Brothers from $95.00 to $115.00 and gave the company an “underweight” rating in a research note on Monday, February 26th. UBS Group lifted their price objective on Toll Brothers from $140.00 to $154.00 and gave the company a “buy” rating in a research note on Thursday. Wells Fargo & Company boosted their price target on Toll Brothers from $142.00 to $150.00 and gave the stock an “overweight” rating in a research report on Wednesday, May 15th. Finally, StockNews.com raised Toll Brothers from a “hold” rating to a “buy” rating in a research report on Tuesday, April 16th. Two equities research analysts have rated the stock with a sell rating, three have assigned a hold rating, eleven have given a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $123.07.

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.