The company has 3.99
B in debt with debt to equity (D/E) ratio of 0.84, which is OK given its current industry classification. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Toll Brothers has an asset utilization ratio of 70.97 percent. This denotes that the company is making $0.71 for each dollar of assets. An increasing asset utilization means that Toll Brothers is more efficient with each dollar of assets it utilizes for everyday operations.
We determine the current worth of Toll Brothers using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Toll Brothers based exclusively on its
fundamental and basic
technical indicators. By analyzing Toll Brothers's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Toll Brothers's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Toll Brothers. We calculate exposure to Toll Brothers's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Toll Brothers's related companies.
Toll Brothers Investment Alerts
Toll investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Toll Brothers performance across your portfolios.Please check all
investment alerts for Toll
Toll Brothers Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Toll value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Toll Brothers competition to find
correlations between indicators driving the intrinsic value of Toll.
Toll Brothers Gross Profit
Toll Brothers Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Toll Brothers previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Toll Brothers Gross Profit growth over the last 10 years. Please check Toll Brothers'
gross profit and other
fundamental indicators for more details.
A Deeper look at Toll
Toll Brothers reported the last year's revenue of 6.91
B. Total Income to common stockholders was 449.62
M with profit before taxes, overhead, and interest of 1.46
B.
Margins Breakdown
Toll Brothers profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Toll Brothers itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Toll Brothers profit margins.
| Operating Margin | 6.97 |
| EBITDA Margin | 8.63 |
| Gross Margin | 17.08 |
| Profit Margin | 7.55 |
Toll Brothers Average Assets is relatively stable at the moment. Moreover, Toll Brothers Net Income Per Employee is relatively stable at the moment.
Toll Brothers technical analysis denotes possible correction
Toll Brothers sortino ratio is up to 0.01. Toll Brothers shows above-average downside volatility for the selected time horizon. We advise investors to inspect Toll Brothers further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Toll Brothers future alpha.
Our Final Perspective on Toll Brothers
While some other companies under the residential construction industry are still a bit expensive, Toll Brothers may offer a potential longer-term growth to stakeholders. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to drop some or all of your Toll Brothers holdings as it seems the potential growth was already fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Toll Brothers.
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Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Toll Brothers. Please refer to our
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