California State Teachers Retirement System Increases Holdings in Toll Brothers Inc. $TOL

Key Points

• California State Teachers Retirement System dramatically increased its Toll Brothers stake by 17.8 million shares in the second quarter, bringing its ownership to 17.9 million shares, or 19.18% of the company, valued at approximately $2.95 billion.
• Toll Brothers recently exceeded quarterly earnings and revenue expectations, reporting $2.97 in EPS and $2.66 billion in revenue, but revenue declined 9.7% year over year and the stock was trading down 2.2% at $132.03.
• Analyst sentiment remains generally positive, with a consensus “Moderate Buy” rating and average price target of $167.27, although some EPS forecasts were reduced and company insiders recently sold shares.

California State Teachers Retirement System grew its stake in Toll Brothers Inc. (NYSE:TOL - Free Report) by 16,116.7% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 17,926,118 shares of the construction company's stock after acquiring an additional 17,815,577 shares during the quarter. California State Teachers Retirement System owned 19.18% of Toll Brothers worth $2,953,328,000 at the end of the most recent quarter.

A number of other institutional investors have also recently modified their holdings of TOL. Wedmont Private Capital bought a new position in shares of Toll Brothers during the second quarter valued at $316,000. HB Wealth Management LLC boosted its stake in Toll Brothers by 9.5% in the 2nd quarter. HB Wealth Management LLC now owns 3,814 shares of the construction company's stock worth $628,000 after purchasing an additional 330 shares in the last quarter. Nilsine Partners LLC boosted its stake in Toll Brothers by 4.1% in the 2nd quarter. Nilsine Partners LLC now owns 2,574 shares of the construction company's stock worth $424,000 after purchasing an additional 102 shares in the last quarter. Angeles Wealth Management LLC purchased a new stake in Toll Brothers during the 2nd quarter valued at about $215,000. Finally, Compass Financial Management LLC purchased a new stake in Toll Brothers during the 2nd quarter valued at about $51,000. 91.76% of the stock is owned by hedge funds and other institutional investors.

More Toll Brothers News

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

• Positive Sentiment: Toll Brothers announced the grand opening of the amenity center at Griffith Lakes, a resort-style master-planned community in Charlotte, North Carolina. The event highlights continued development activity and could support future home sales in the market. Toll Brothers Announces Grand Opening of Amenity Center at Griffith Lakes
• Positive Sentiment: The company is expanding its Austin-area presence with model-home openings at Crestline at Brushy Creek in Cedar Park and Wildspring in Leander. These launches may improve community visibility and generate new orders, although their financial impact is likely to develop over time. Toll Brothers Model Home Opens in Crestline at Brushy Creek Toll Brothers Announces Model Home Grand Opening at Wildspring
• Neutral Sentiment: Buffington Homes by Toll Brothers will host a luxury home tour in Northwest Arkansas, while Toll Brothers announced another building release at the Iron Creek townhome community in Charlotte. The announcements reinforce ongoing sales and marketing activity but provide no immediate change to earnings guidance. Buffington Homes Announces 2026 Luxury Home Tour Toll Brothers Announces New Building Release at Iron Creek
• Negative Sentiment: Zacks Research lowered several EPS forecasts, including Q4 2026 to $4.82 from $4.85, FY2028 to $16.74 from $16.84, and estimates for Q1 and Q2 2027 and Q1-Q3 2028. Although FY2026 and FY2027 estimates were raised modestly to $12.70 and $14.27, respectively, the broader pattern of forecast reductions may signal caution about housing demand, margins, or delivery timing.

Analysts Set New Price Targets

TOL has been the subject of a number of analyst reports. Truist Financial raised their price objective on shares of Toll Brothers from $165.00 to $170.00 and gave the company a "buy" rating in a research note on Thursday, August 20th. Citigroup upped their target price on shares of Toll Brothers from $176.00 to $179.00 and gave the stock a "buy" rating in a research note on Friday, August 21st. Oppenheimer cut shares of Toll Brothers from an "outperform" rating to a "market perform" rating in a report on Tuesday, June 9th. Weiss Ratings downgraded shares of Toll Brothers from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday. Finally, Royal Bank Of Canada restated an "outperform" rating and issued a $158.00 price objective on shares of Toll Brothers in a report on Thursday, June 11th. Thirteen investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Toll Brothers presently has a consensus rating of "Moderate Buy" and an average target price of $167.27.

Toll Brothers Trading Down 2.2%

Toll Brothers stock opened at $132.03 on Friday. Toll Brothers Inc. has a one year low of $123.14 and a one year high of $168.36. The business's fifty day moving average is $147.86 and its 200 day moving average is $144.85. The stock has a market capitalization of $12.17 billion, a PE ratio of 10.60, a price-to-earnings-growth ratio of 1.09 and a beta of 1.34. The company has a debt-to-equity ratio of 0.32, a current ratio of 4.53 and a quick ratio of 0.55.

Toll Brothers (NYSE:TOL - Get Free Report) last issued its earnings results on Tuesday, August 18th. The construction company reported $2.97 earnings per share for the quarter, topping analysts' consensus estimates of $2.93 by $0.04. The business had revenue of $2.66 billion during the quarter, compared to analyst estimates of $2.62 billion. Toll Brothers had a return on equity of 14.21% and a net margin of 11.14%.Toll Brothers's revenue was down 9.7% on a year-over-year basis. During the same quarter in the previous year, the firm earned $3.73 EPS. On average, sell-side analysts predict that Toll Brothers Inc. will post 12.81 EPS for the current year.

Toll Brothers Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, July 24th. Stockholders of record on Friday, July 10th were paid a $0.26 dividend. The ex-dividend date was Friday, July 10th. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.8%. Toll Brothers's payout ratio is currently 8.35%.

Insider Buying and Selling

In related news, Chairman Douglas C. Jr. Yearley sold 77,957 shares of the firm's stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $156.58, for a total value of $12,206,507.06. Following the sale, the chairman owned 321,256 shares in the company, valued at approximately $50,302,264.48. This trade represents a 19.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, COO Robert Parahus sold 7,500 shares of the firm's stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $149.66, for a total transaction of $1,122,450.00. Following the completion of the sale, the chief operating officer owned 23,457 shares in the company, valued at $3,510,574.62. This represents a 24.23% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 1.37% of the company's stock.

Toll Brothers Company Profile

Toll Brothers, Inc is a luxury homebuilding company that designs, constructs, markets and sells residential properties in the United States. The company develops communities featuring single-family detached homes, townhomes and condominiums, as well as active-adult communities and urban high-rise residences. Its offerings generally target move-up, luxury and resort-style homebuyers, with homes available in a range of designs, locations and customization options.

Through related operations, Toll Brothers also provides mortgage financing, title and settlement services, homeowners insurance and other services that support the home purchase process.

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