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Toll Brothers (TOL) Gains But Lags Market: What You Should Know
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Toll Brothers (TOL - Free Report) closed at $59.17 in the latest trading session, marking a +0.34% move from the prior day. The stock lagged the S&P 500's daily gain of 0.69%. At the same time, the Dow added 0.78%, and the tech-heavy Nasdaq gained 0.28%.
Heading into today, shares of the home builder had lost 16.05% over the past month, lagging the Construction sector's loss of 11.73% and the S&P 500's loss of 5.29% in that time.
Toll Brothers will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.48, up 226.32% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.77 billion, up 13.24% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.94 per share and revenue of $10.35 billion. These totals would mark changes of +49.92% and +17.73%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Toll Brothers. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.43% higher. Toll Brothers is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, Toll Brothers is currently trading at a Forward P/E ratio of 5.93. Its industry sports an average Forward P/E of 5.33, so we one might conclude that Toll Brothers is trading at a premium comparatively.
Meanwhile, TOL's PEG ratio is currently 0.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TOL's industry had an average PEG ratio of 0.25 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 38, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Toll Brothers (TOL) Gains But Lags Market: What You Should Know
Toll Brothers (TOL - Free Report) closed at $59.17 in the latest trading session, marking a +0.34% move from the prior day. The stock lagged the S&P 500's daily gain of 0.69%. At the same time, the Dow added 0.78%, and the tech-heavy Nasdaq gained 0.28%.
Heading into today, shares of the home builder had lost 16.05% over the past month, lagging the Construction sector's loss of 11.73% and the S&P 500's loss of 5.29% in that time.
Toll Brothers will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.48, up 226.32% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.77 billion, up 13.24% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.94 per share and revenue of $10.35 billion. These totals would mark changes of +49.92% and +17.73%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Toll Brothers. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.43% higher. Toll Brothers is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, Toll Brothers is currently trading at a Forward P/E ratio of 5.93. Its industry sports an average Forward P/E of 5.33, so we one might conclude that Toll Brothers is trading at a premium comparatively.
Meanwhile, TOL's PEG ratio is currently 0.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TOL's industry had an average PEG ratio of 0.25 as of yesterday's close.
The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 38, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.