AI Spotlight on TOL
Company Description
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.The company operates in two segments, Traditional Home Building and City Living.It also designs, builds, markets, and sells condominiums through Toll Brothers City Living.
In addition, the company develops, owns, and operates golf courses and country clubs; develops and sells land; and develops, operates, and rents apartments, as well as provides various interior fit-out options, such as flooring, wall tile, plumbing, cabinets, fixtures, appliances, lighting, and home-automation and security technologies.Further, it owns and operates architectural, engineering, mortgage, title, insurance, smart home technology, landscaping, lumber distribution, house component assembly, and manufacturing operations.The company serves move-up, empty-nester, active-adult, and second-home buyers.
It has a strategic partnership with Equity Residential to develop new rental apartment communities in the United States markets.The company was founded in 1967 and is headquartered in Fort Washington, Pennsylvania.
Market Data
Last Price | 140.69 |
Change Percentage | 3.61% |
Open | 137.45 |
Previous Close | 135.79 |
Market Cap ( Millions) | 14053 |
Volume | 1721328 |
Year High | 169.52 |
Year Low | 97.45 |
M A 50 | 140.29 |
M A 200 | 135.31 |
Financial Ratios
FCF Yield | 6.66% |
Dividend Yield | 0.65% |
ROE | 21.37% |
Debt / Equity | 38.61% |
Net Debt / EBIDTA | 79.14% |
Price To Book | 1.87 |
Price Earnings Ratio | 9.11 |
Price To FCF | 15.01 |
Price To sales | 1.3 |
EV / EBITDA | 7.5 |
News
- Jan -30 - Toll Brothers Announces New Luxury Home Community Coming Soon to Cumming, Georgia
- Jan -30 - Toll Brothers at Cherry Creek Trail Community Opens in Parker, Colorado
- Jan -29 - Homebuilders Are Drastically Mispriced Given Growth Outlook
- Jan -29 - Here's Why Toll Brothers (TOL) Fell More Than Broader Market
- Jan -29 - Toll Brothers' Website to Broadcast Its First Quarter 2025 Earnings Conference Call Live on February 19, 2025 at 8:30 a.m. (ET)
- Jan -29 - Toll Brothers Offers New Luxury Quick Move-In Homes in Cumming, Georgia
- Jan -28 - Toll Brothers Announces Opening of New Luxury Home Community in Sedona, Arizona
- Jan -28 - Toll Brothers (TOL) Soars 3.6%: Is Further Upside Left in the Stock?
- Jan -24 - New Toll Brothers Move-in Ready Homes Available in Freestone Station Community in Marietta, Georgia
- Jan -23 - Here's Why Toll Brothers (TOL) Gained But Lagged the Market Today
- Jan -23 - Toll Brothers Announces New Luxury Home Community Now Selling in Encinitas, California
- Jan -23 - Toll Brothers Announces Avonmore Luxury Home Community Now Open in Ashburn, Virginia
- Jan -22 - Toll Brothers Announces New Luxury Home Community Coming Soon to South Reno, Nevada
- Jan -21 - Toll Brothers Announces New Luxury Townhome Community Coming Soon to Woodinville, Washington
- Jan -21 - Two New Toll Brothers Model Homes Open in Irvine, California
- Jan -16 - Toll Brothers (TOL) Rises As Market Takes a Dip: Key Facts
- Jan -16 - Toll Brothers Announces Final Opportunity to Own a New Luxury Townhome at Twin Oaks in San Ramon, California
- Jan -16 - Toll Brothers at Jackson Creek Community Opens in Monument, Colorado
- Jan -15 - New Toll Brothers Model Homes Open in Parkside Village Community in Aldie, Virginia
- Jan -15 - New Toll Brothers Community, Regency at West Windsor, Open in West Windsor Township, New Jersey
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Home Building
Expected Growth : 8 %
What the company do ?
Toll Brothers, Inc.'s Home Building segment designs, builds, and sells luxury single-family detached and attached homes in luxury residential communities.
Why we expect these perspectives ?
Toll Brothers' 8% growth in Home Building is driven by increasing demand for luxury homes, strategic expansion into new markets, and a strong backlog of orders. Additionally, the company's focus on affordability, quality, and customer service has led to higher sales volumes and average selling prices. Furthermore, Toll Brothers' diversified product offerings and geographic presence have helped mitigate market risks, contributing to its robust growth.
Segment nΒ°2 -> Land Sales and Other
Expected Growth : 7 %
What the company do ?
Land Sales and Other from Toll Brothers, Inc. refers to the revenue generated from the sale of land and other non-core activities, excluding homebuilding operations.
Why we expect these perspectives ?
Toll Brothers' 7% growth in Land Sales and Other is driven by increasing demand for land and higher prices, fueled by a strong housing market and limited supply. Additionally, the company's strategic land acquisition and development efforts, as well as its focus on high-margin land sales, contribute to this growth.
Segment nΒ°3 -> Corporate and Other
Expected Growth : 6 %
What the company do ?
Corporate and Other from Toll Brothers, Inc. refers to the company's headquarters and other non-operating units that provide support functions, but do not generate revenue.
Why we expect these perspectives ?
Toll Brothers' Corporate and Other segment growth of 6% is driven by increased land sales, strategic investments, and cost savings initiatives. Additionally, the company's focus on luxury living and urban development, as well as its expansion into new markets, contribute to the segment's growth.
Toll Brothers, Inc. Products
Product Range | What is it ? |
---|---|
Luxury Homes | Toll Brothers builds luxury homes in various communities across the United States, offering a range of floor plans, architectural styles, and customization options. |
Active Adult Communities | Toll Brothers offers active adult communities designed for residents 55+, featuring low-maintenance living, resort-style amenities, and social activities. |
City Living | Toll Brothers develops luxury condominiums and townhomes in urban centers, offering modern amenities and convenient access to city attractions. |
Resort Communities | Toll Brothers creates resort-style communities with amenities like golf courses, clubhouses, and recreational facilities, often located near popular vacation destinations. |
Master-Planned Communities | Toll Brothers develops large-scale, master-planned communities featuring a range of home styles, amenities, and community facilities. |
Toll Brothers, Inc.'s Porter Forces
Threat Of Substitutes
Toll Brothers, Inc. faces moderate threat from substitutes, as customers have limited alternatives for luxury homes. However, the company's focus on quality and customer service helps to mitigate this threat.
Bargaining Power Of Customers
Toll Brothers, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's luxury homes are often customized, making it difficult for customers to negotiate prices.
Bargaining Power Of Suppliers
Toll Brothers, Inc. relies on various suppliers for materials and labor. While the company has some bargaining power due to its size, suppliers can still exert some pressure, particularly in times of high demand.
Threat Of New Entrants
Entering the luxury homebuilding market requires significant capital and expertise, which creates a barrier to entry for new competitors. Toll Brothers, Inc. has established a strong brand and has a large market share, making it difficult for new entrants to gain traction.
Intensity Of Rivalry
The luxury homebuilding market is highly competitive, with several established players competing for market share. Toll Brothers, Inc. faces intense rivalry from companies like KB Home, Lennar Corporation, and Taylor Morrison, which can lead to pricing pressure and increased marketing expenses.
Strength
Capital Structure
Value | |
---|---|
Debt Weight | 30.51% |
Debt Cost | 3.95% |
Equity Weight | 69.49% |
Equity Cost | 12.20% |
WACC | 9.68% |
Leverage | 43.91% |
Toll Brothers, Inc. : Quality Control
Toll Brothers, Inc. passed 7 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
---|---|
MTH | Meritage Homes Corporation, together with its subsidiaries, designs and builds single-family homes in the United States. The company operates through two segments, Homebuilding and Financial Services. It acquires and develops β¦ |
MHO | M/I Homes, Inc., together with its subsidiaries, operates as a builder of single-family homes in Ohio, Indiana, Illinois, Minnesota, Michigan, Florida, Texas, North Carolina, and Tennessee. The company operates through β¦ |
KBH | KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached β¦ |
TMHC | Taylor Morrison Home Corporation, together with its subsidiaries, operates as a public homebuilder in the United States. The company designs, builds, and sells single and multi-family detached and attached homes; β¦ |
CCS | Century Communities, Inc., together with its subsidiaries, engages in the design, development, construction, marketing, and sale of single-family attached and detached homes. It is also involved in the entitlement and β¦ |