Zacks Research Lowers Earnings Estimates for Toll Brothers

Toll Brothers Inc. (NYSE:TOL) – Equities researchers at Zacks Research reduced their Q2 2026 earnings per share (EPS) estimates for shares of Toll Brothers in a note issued to investors on Monday, March 2nd. Zacks Research analyst Team now expects that the construction company will earn $2.53 per share for the quarter, down from their prior estimate of $3.12. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Toll Brothers’ current full-year earnings is $13.83 per share. Zacks Research also issued estimates for Toll Brothers’ Q4 2027 earnings at $5.07 EPS and Q1 2028 earnings at $2.44 EPS.

Toll Brothers (NYSE:TOL) last released its quarterly earnings data on Tuesday, February 17th. The construction company reported $2.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.05 by $0.14. Toll Brothers had a return on equity of 16.83% and a net margin of 12.26%.The business had revenue of $2.15 billion during the quarter, compared to analyst estimates of $1.86 billion. During the same quarter in the previous year, the firm posted $1.75 EPS. The business’s revenue for the quarter was up 15.4% compared to the same quarter last year.

Several other analysts also recently weighed in on the stock. Royal Bank Of Canada lifted their price objective on shares of Toll Brothers from $144.00 to $161.00 and gave the company an “outperform” rating in a research report on Thursday, February 19th. The Goldman Sachs Group raised their price target on shares of Toll Brothers from $140.00 to $156.00 and gave the company a “neutral” rating in a research note on Tuesday, January 13th. Keefe, Bruyette & Woods boosted their price objective on Toll Brothers from $143.00 to $170.00 and gave the stock a “market perform” rating in a research report on Wednesday, February 25th. Evercore set a $174.00 price objective on Toll Brothers in a report on Thursday, February 19th. Finally, Citizens Jmp reaffirmed a “market outperform” rating and set a $175.00 target price on shares of Toll Brothers in a research note on Wednesday, February 18th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $163.60.

Toll Brothers Stock Performance

TOL stock opened at $153.61 on Wednesday. Toll Brothers has a 1 year low of $86.67 and a 1 year high of $168.36. The stock has a market capitalization of $14.55 billion, a price-to-earnings ratio of 10.97, a PEG ratio of 1.20 and a beta of 1.45. The company has a debt-to-equity ratio of 0.32, a quick ratio of 0.62 and a current ratio of 4.57. The stock’s fifty day moving average is $148.80 and its two-hundred day moving average is $141.09.

Toll Brothers Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, January 23rd. Investors of record on Friday, January 9th were issued a dividend of $0.25 per share. The ex-dividend date of this dividend was Friday, January 9th. This represents a $1.00 annualized dividend and a yield of 0.7%. Toll Brothers’s payout ratio is presently 7.14%.

Insider Buying and Selling

In other Toll Brothers news, Director Paul E. Shapiro sold 3,965 shares of the stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $146.68, for a total transaction of $581,586.20. Following the completion of the transaction, the director directly owned 118,680 shares of the company’s stock, valued at approximately $17,407,982.40. This trade represents a 3.23% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Douglas C. Jr. Yearley sold 45,116 shares of Toll Brothers stock in a transaction on Tuesday, February 24th. The shares were sold at an average price of $160.42, for a total value of $7,237,508.72. Following the transaction, the chief executive officer owned 321,256 shares in the company, valued at approximately $51,535,887.52. This trade represents a 12.31% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 1.37% of the company’s stock.

Institutional Investors Weigh In On Toll Brothers

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Wiser Advisor Group LLC acquired a new position in shares of Toll Brothers in the 3rd quarter worth approximately $27,000. Pinnacle Holdings LLC bought a new stake in Toll Brothers during the fourth quarter worth approximately $27,000. Abich Financial Wealth Management LLC acquired a new position in Toll Brothers in the third quarter worth approximately $28,000. Ramirez Asset Management Inc. bought a new position in shares of Toll Brothers in the third quarter valued at $28,000. Finally, Measured Wealth Private Client Group LLC bought a new position in shares of Toll Brothers in the third quarter valued at $29,000. 91.76% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Toll Brothers

Here are the key news stories impacting Toll Brothers this week:

• Positive Sentiment: Zacks Research raised several forward EPS forecasts (notably FY2027 and FY2028) and bumped Q3/Q4 2026 estimates, signaling a stronger longer?term earnings outlook despite a “Hold” rating — this supports upside to future profitability and valuation.
• Neutral Sentiment: Toll Brothers announced the final opportunity to buy one of four move?in ready luxury townhomes at Mira Vista in San Diego, showing continued local demand and closings in a high?end market. Toll Brothers Announces Final Opportunity to Own a Luxury Townhome at Mira Vista in San Diego, California
• Neutral Sentiment: Toll Brothers opened a new community (Toll Brothers at Quail Ridge) in Ridgefield, WA — an expansion that supports future backlog and revenue but is a routine operational announcement with limited immediate earnings impact. Toll Brothers Announces Grand Opening of Toll Brothers at Quail Ridge in Ridgefield, Washington
• Negative Sentiment: Zacks also cut near?term quarter estimates (Q1 and Q2 2027) and modestly trimmed FY2026, leaving an overall mixed picture; the firm retains a “Hold” rating, which may limit upside from analyst sentiment.
• Negative Sentiment: Seeking Alpha published a cautious/negative take (“Still Not Enough Conviction To Upgrade To A Buy”), which can amplify investor reluctance to move from Hold to Buy and pressure the stock. Toll Brothers: Still Not Enough Conviction To Upgrade To A Buy

Toll Brothers Company Profile

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.