Toll Brothers (NYSE:TOL) Stock Price Expected to Rise, Citigroup Analyst Says

Key Points

• Citigroup has raised the price target for Toll Brothers' stock from $134 to $138, indicating a neutral rating, which suggests a potential downside of 0.53% from its current price.
• Despite a recent price setback, Toll Brothers has shown strong quarterly earnings, reporting $3.73 per share, exceeding expectations and showcasing an 8.0% increase in revenue compared to the previous year.
• Insiders have been selling shares recently, with key executives reducing their stakes, including COO Robert Parahus, who sold nearly 10,000 shares, indicating a potential concern among company leadership.

Toll Brothers (NYSE:TOL - Get Free Report) had its price target upped by stock analysts at Citigroup from $134.00 to $138.00 in a report issued on Monday,Benzinga reports. The brokerage presently has a "neutral" rating on the construction company's stock. Citigroup's price target would suggest a potential downside of 0.53% from the company's current price.

TOL has been the topic of a number of other reports. Keefe, Bruyette & Woods dropped their target price on shares of Toll Brothers from $132.00 to $120.00 and set a "market perform" rating on the stock in a research report on Tuesday, May 20th. Wedbush dropped their price objective on Toll Brothers from $175.00 to $165.00 and set an "outperform" rating on the stock in a report on Tuesday, August 12th. Oppenheimer cut their target price on Toll Brothers from $165.00 to $155.00 and set an "outperform" rating on the stock in a research report on Thursday, May 15th. UBS Group reissued a "buy" rating on shares of Toll Brothers in a research report on Tuesday, May 20th. Finally, Royal Bank Of Canada raised their price target on Toll Brothers from $133.00 to $145.00 and gave the stock an "outperform" rating in a research note on Thursday. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, four have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $143.62.

Toll Brothers Stock Down 0.3%

Shares of TOL traded down $0.4290 during midday trading on Monday, reaching $138.7410. The stock had a trading volume of 267,825 shares, compared to its average volume of 1,783,741. The company has a market cap of $13.62 billion, a price-to-earnings ratio of 10.18, a PEG ratio of 0.91 and a beta of 1.33. The company's fifty day simple moving average is $120.67 and its two-hundred day simple moving average is $111.15. Toll Brothers has a 1-year low of $86.67 and a 1-year high of $169.52. The company has a debt-to-equity ratio of 0.36, a current ratio of 4.38 and a quick ratio of 0.51.

Toll Brothers (NYSE:TOL - Get Free Report) last announced its quarterly earnings results on Tuesday, August 19th. The construction company reported $3.73 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.59 by $0.14. The firm had revenue of $2.95 billion during the quarter, compared to the consensus estimate of $2.86 billion. Toll Brothers had a return on equity of 17.42% and a net margin of 12.64%.The firm's quarterly revenue was up 8.0% compared to the same quarter last year. During the same period in the prior year, the company posted $3.60 earnings per share. Equities research analysts expect that Toll Brothers will post 13.83 earnings per share for the current year.

Insiders Place Their Bets

In other Toll Brothers news, COO Robert Parahus sold 9,831 shares of the business's stock in a transaction that occurred on Thursday, August 21st. The stock was sold at an average price of $130.84, for a total transaction of $1,286,288.04. Following the transaction, the chief operating officer owned 19,692 shares in the company, valued at approximately $2,576,501.28. The trade was a 33.30% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Christine Garvey sold 770 shares of the stock in a transaction that occurred on Monday, July 14th. The stock was sold at an average price of $119.82, for a total value of $92,261.40. Following the transaction, the director directly owned 11,590 shares of the company's stock, valued at approximately $1,388,713.80. This trade represents a 6.23% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 13,601 shares of company stock worth $1,726,874 over the last quarter. 1.54% of the stock is owned by company insiders.

Institutional Investors Weigh In On Toll Brothers

A number of hedge funds and other institutional investors have recently bought and sold shares of TOL. Sound Income Strategies LLC grew its stake in shares of Toll Brothers by 84.2% during the 1st quarter. Sound Income Strategies LLC now owns 245 shares of the construction company's stock worth $26,000 after purchasing an additional 112 shares during the period. Brooklyn Investment Group lifted its stake in shares of Toll Brothers by 52.8% in the first quarter. Brooklyn Investment Group now owns 272 shares of the construction company's stock valued at $29,000 after purchasing an additional 94 shares during the period. Larson Financial Group LLC boosted its holdings in Toll Brothers by 152.6% during the first quarter. Larson Financial Group LLC now owns 293 shares of the construction company's stock worth $31,000 after buying an additional 177 shares in the last quarter. Quarry LP grew its position in Toll Brothers by 1,035.7% during the fourth quarter. Quarry LP now owns 318 shares of the construction company's stock worth $40,000 after buying an additional 290 shares during the period. Finally, MassMutual Private Wealth & Trust FSB grew its position in Toll Brothers by 128.2% during the second quarter. MassMutual Private Wealth & Trust FSB now owns 324 shares of the construction company's stock worth $37,000 after buying an additional 182 shares during the period. Institutional investors and hedge funds own 91.76% of the company's stock.

Toll Brothers Company Profile

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. It designs, builds, markets, and sells condominiums through Toll Brothers City Living. The company also develops a range of single-story living and first-floor primary bedroom suite home designs, as well as communities with recreational amenities, such as golf courses, marinas, pool complexes, country clubs, and fitness and recreation centers; and develops, operates, and rents apartments.

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