The upcoming report from Toll Brothers (TOL) is expected to reveal quarterly earnings of $3.28 per share, indicating a decline of 12.1% compared to the year-ago period. Analysts forecast revenues of $2.7 billion, representing an increase of 0.3% year over year.
The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some Toll Brothers metrics that Wall Street analysts commonly model and monitor.
The consensus estimate for 'Revenues- Home Sales' stands at $2.68 billion. The estimate suggests a change of +0.3% year over year.
The combined assessment of analysts suggests that 'Revenues- Land sales' will likely reach $22.49 million. The estimate suggests a change of +72.5% year over year.
It is projected by analysts that the 'Revenues- Home Building' will reach $2.67 billion. The estimate suggests a change of -0.3% year over year.
The consensus among analysts is that 'Closed/Delivered - Units' will reach 2,811. The estimate compares to the year-ago value of 2,524.
The collective assessment of analysts points to an estimated 'Backlog - Units' of 7,125. The estimate compares to the year-ago value of 7,295.
Analysts' assessment points toward 'Average delivered price (Total Average Price Per Unit)' reaching $955.56. The estimate compares to the year-ago value of $1,059.70.
According to the collective judgment of analysts, 'Net contracts - Units' should come in at 2,843. The estimate compares to the year-ago value of 2,245.
Analysts forecast 'Average Backlog Price' to reach $1,016.42. The estimate is in contrast to the year-ago figure of $1,079.50.
The average prediction of analysts places 'Backlog - Value' at $7.26 billion. Compared to the current estimate, the company reported $7.87 billion in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Number of Selling Communities' should arrive at 400. Compared to the current estimate, the company reported 345 in the same quarter of the previous year.
Analysts expect 'Gross Margin- Home sales' to come in at $705.83 million. The estimate is in contrast to the year-ago figure of $742.65 million.
View all Key Company Metrics for Toll Brothers here>>>
Toll Brothers shares have witnessed a change of -1.1% in the past month, in contrast to the Zacks S&P 500 composite's -2.9% move. With a Zacks Rank #3 (Hold), TOL is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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