Earnings Preview: What To Expect From Toll Brothers Today

Toll Brothers
TOL
is expected to report results after Tuesday’s close. The stock just hit an all-time high of $88.72/share and is currently trading near $87/share. The stock is prone to big moves after earnings releases and can easily move higher if the numbers are strong. Conversely, if the numbers are disappointing, the stock can easily fall. To help you prepare, here’s what the Street expects:

Profit overview

The company is expected to report earnings of $3.66/share on revenue of $2.78 billion. Meanwhile, the so-called Whisper number represents a gain of $3.84/share. The Whisper number is the Street’s unofficial take on earnings.

A Closer Look at the Fundamentals

The company’s profits have grown very well over the past few years. In 2016, the company earned $2.18/share and in 2022, this figure has jumped to $10.90! The company benefited from the housing shortage and strong job market.

A Closer Look at the Techniques

Technically, the title performs very well. The stock has just reached a new bullish record. In the short term, the stock is a bit extended and it will be interesting to see how it responds to earnings. The bulls want to see a big gap to the upside and the bears want to see it to the downside.

Pay attention to how the stock reacts to the news

From my perspective, the most important trait I look for during earnings season is how the market and a specific company react to the news. Remember to always cut your losses and never argue with the gang.

Disclaimer: The stock has been featured in my FindLeadingStocks.com scholarship membership website.