Toll Brothers Sees Flat Q4 Revenue at $1.86 B, EPS of $2.11 Forecast
Last quarter, Toll Brothers reported $3.42 billion in revenue, up 2.7% year-on-year and 3.2% above analysts’ forecasts, while missing both EBITDA and EPS estimates. For Q4, analysts expect flat revenue at $1.86 billion and $2.11 in adjusted EPS, with shares up 15.4% over the past month.
1. Last Quarter Performance
Toll Brothers delivered $3.42 billion in Q3 revenue, a 2.7% increase year-on-year, beating consensus by 3.2%. Despite the top-line strength, the company fell short of analysts’ EBITDA and EPS estimates, highlighting margin pressures in the quarter.
2. Q4 Forecasted Results
Analysts predict Q4 revenue of $1.86 billion, flat year-on-year versus a 4.6% decline in the prior year, and adjusted EPS of $2.11. Estimate revisions have been minimal over the last 30 days, indicating stable expectations heading into the report.
3. Peer Comparisons and Market Sentiment
Taylor Morrison Home saw a 10.9% revenue decline in Q4 but beat forecasts by 7.2%, while Champion Homes’ 1.8% revenue growth met consensus. Homebuilder shares have risen an average 8.1% this month, with Toll Brothers up 15.4% and an average analyst target of $155.60.