Toll Brothers (NYSE:TOL) Sets New 1-Year High – Should You Buy?

Toll Brothers Inc. (NYSE:TOL) shares hit a new 52-week high on Tuesday . The company traded as high as $149.80 and last traded at $148.1140, with a volume of 318146 shares trading hands. The stock had previously closed at $146.95.

Analysts Set New Price Targets

A number of equities analysts have commented on the stock. Evercore ISI reissued an “in-line” rating and issued a $160.00 price target (down previously from $169.00) on shares of Toll Brothers in a research note on Tuesday, October 7th. Barclays lifted their price objective on shares of Toll Brothers from $92.00 to $110.00 and gave the stock an “underweight” rating in a report on Wednesday, December 10th. Weiss Ratings reissued a “hold (c+)” rating on shares of Toll Brothers in a research note on Wednesday, October 8th. JPMorgan Chase & Co. lowered their price target on Toll Brothers from $161.00 to $141.00 and set an “overweight” rating on the stock in a research report on Friday, December 12th. Finally, Bank of America dropped their price target on Toll Brothers from $155.00 to $150.00 and set a “buy” rating for the company in a research note on Friday, October 10th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $154.40.

Toll Brothers Trading Up 2.8%

The firm’s 50-day simple moving average is $137.36 and its 200-day simple moving average is $133.62. The firm has a market capitalization of $14.16 billion, a PE ratio of 10.99, a price-to-earnings-growth ratio of 1.21 and a beta of 1.43. The company has a quick ratio of 0.64, a current ratio of 4.38 and a debt-to-equity ratio of 0.34.

Toll Brothers (NYSE:TOL) last released its earnings results on Monday, December 8th. The construction company reported $4.58 earnings per share for the quarter, missing analysts’ consensus estimates of $4.88 by ($0.30). The company had revenue of $3.42 billion during the quarter, compared to the consensus estimate of $3.32 billion. Toll Brothers had a net margin of 12.28% and a return on equity of 16.74%. The company’s revenue was up 2.7% on a year-over-year basis. During the same period last year, the firm posted $4.63 EPS. Equities analysts expect that Toll Brothers Inc. will post 13.83 earnings per share for the current year.

Toll Brothers Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, January 23rd. Shareholders of record on Friday, January 9th will be given a $0.25 dividend. The ex-dividend date is Friday, January 9th. This represents a $1.00 annualized dividend and a yield of 0.7%. Toll Brothers’s payout ratio is presently 7.37%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in TOL. Capital World Investors boosted its position in Toll Brothers by 51.5% during the 3rd quarter. Capital World Investors now owns 5,187,673 shares of the construction company’s stock valued at $716,625,000 after buying an additional 1,763,211 shares during the period. Norges Bank bought a new position in shares of Toll Brothers during the second quarter valued at about $154,782,000. AQR Capital Management LLC raised its stake in shares of Toll Brothers by 83.1% during the second quarter. AQR Capital Management LLC now owns 2,607,993 shares of the construction company’s stock valued at $297,650,000 after acquiring an additional 1,183,304 shares during the last quarter. Holocene Advisors LP boosted its holdings in shares of Toll Brothers by 78.0% during the third quarter. Holocene Advisors LP now owns 2,224,289 shares of the construction company’s stock worth $307,263,000 after purchasing an additional 974,567 shares during the period. Finally, Victory Capital Management Inc. boosted its holdings in shares of Toll Brothers by 209.8% during the third quarter. Victory Capital Management Inc. now owns 917,184 shares of the construction company’s stock worth $126,700,000 after purchasing an additional 621,117 shares during the period. 91.76% of the stock is owned by hedge funds and other institutional investors.

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.