Added to YB: 2023-12-07
Pitch date: 2023-12-07
TOL [bullish]
Toll Brothers, Inc.
+79.74%
current return
Author Info
No bio for this author
Company Info
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.
Market Cap
$15.8B
Pitch Price
$89.13
Price Target
N/A
Dividend
0.60%
EV/EBITDA
8.99
P/E
12.31
EV/Sales
1.59
Sector
Household Durables
Category
value
$TOL - If rates have peaked, homebuilders are a steal
$TOL sees $78 BVPS end '24 w/ price $88 (1.1x BV); guides $12-12.50 EPS 18-19% ROE. Despite 30y rates 3% to 8%+, TOL posted record revs & earnings 2 yrs straight: ROE 20%+, adj GM +370bps, SG&A -170bps. Trades 7x PE, 1.3x BV vs SPX 16x PE - valuation may be too low given capital efficiency & cash flows.
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