Toll Brothers Earnings Preview: Expecting Growth Strategies and Strong Financial Health
- Projected Earnings: Analysts forecast an EPS of $4.34 and revenue nearing $3.17 billion for the upcoming earnings report.
- Zacks Investment Research Rating: Toll Brothers holds an ‘A’ rating, indicating a strong potential for market outperformance.
- Financial Metrics: The firm displays robust financial health with a P/E ratio of 10.42 and a current ratio nearing 3.73.
Toll Brothers Inc NYSE:TOL is a distinguished home construction company recognized for crafting luxury residences. Set to deliver its quarterly earnings on December 9, 2024, analysts predict an anticipated EPS of $4.34 and a revenue of about $3.17 billion. Competing against industry giants like Lennar and D.R. Horton, Toll Brothers continues to affirm its presence in homebuilding.
As highlighted by Zacks Investment Research, Toll Brothers is categorized as a strong value-based stock. The Zacks Style Scores evaluate stocks across value, growth, and momentum, and Toll Brothers achieved an ‘A’ rating, hinting at high likelihood of outperforming market trends within a near timeframe.
Recently, shares closed at $164.75, displaying a slight 0.36% uptick notwithstanding overall market decline. Over the past month, the stock ascended by approximately 11.37%, surpassing even the Construction sector’s gain of 7.07% and the S&P 500โs 3.76% increase. This performance underscores the firmโs powerful position within the sector.
The financial metrics provided by the company further substantiate its market standing. With a P/E ratio measured around 10.42, indicating favorable market valuation of its earnings. The price-to-sales ratio is at 1.49 and the enterprise value to sales ratio is about 1.69, exhibiting investor confidence in the company’s sales performance. The earnings yield reaches 9.60%, indicating attractive returns for shareholders.
Furthermore, Toll Brothers’ financial health shines through a debt-to-equity ratio of 0.38, displaying low debt levels in comparison with equity. A current ratio near 3.73 illustrates impressive liquidity, reflecting the company’s effective capability to address short-term liabilities. These financial metrics accentuate the solid groundwork for future growth potential.