TOL - Quick Take - FY2Q26 Earnings

研报英文原文证据摘录

TOL - Quick Take - FY2Q26 Earnings

Truist Securities

Equity Research Report May 19, 2026

INDUSTRIALS: Homebuilding Toll Brothers, Inc. (TOL)

TOL - Quick Take - FY2Q26 Earnings Jonathan Bettenhausen

404-439-7629

Jonathan.Bettenhausen@truist.com

Key Takeaways: TOL came in above Street estimates on top and bottom line results in

the quarter. Note that orders were a little below, in our view, optimistic Street estimates, but

were notably better than what we had feared heading into the print. The stock has been an

Current Price (May 19, $124.14 underperformer the last 2 days, so could see somewhat of a relief rally on what we think

2026) are overall good results.

Stock Rating BUY Results Overview. TOL reported FY2Q26 EPS of 2.72, compared to the Street view of

Unchanged $2.58. This was a 22% y/y decline and driven by a 7% y/y decline in home sale revenue

Price Target $170.00 ($2,512 million vs Street of $2,419 million) and a roughly 210 bp decline in home sale gross margin. Home sale gross margin came in at 23.9%, which was somewhat below the 24.4%

Unchanged consensus, but appeared to be hurt by some elevated option write-offs. When adjusting for

this, home sale gross margin was 26.2%, which is better than the 25.5% the company guided

to for the quarter. Deliveries (2,491) beat Street expectations (2,482), but were still down

about 14% y/y. However, we note that ASP was surprisingly strong at over $1m compared 5 Page Document

to the $979K consensus.

Reasons for this report FY Guidance Maintained. The company updated its FY26 guidance ranges along with the results. The bottom end of the delivery guide has been raised somewhat, bringing it to

10,400-10,700 from 10,300-10,700 units (Street 10,579). ASP was also raised to $985K- ✓ First Look Post Earnings