Toll Brothers' (TOL) Q2 2025 EPS forecast of $2.88, indicating a 14.79% decline compared to the same quarter last year, reflects a challenging environment for the company1. This decline is in line with the overall market trends, as indicated by the Construction sector's loss of 4.81% and the S&P 500's loss of 5.59% over the past month1.
- Historical Trends: Toll Brothers has shown volatile earnings trends recently. The company's diluted EPS CAGR for the past 12 months is -22.5355551518096, indicating a significant decline over the short term2.
- Long-term Performance: However, over the longer term, Toll Brothers has been performing well, with a 5-year EPS CAGR of 33.77%2. This suggests that while the company may be facing short-term challenges, it has the potential for strong earnings growth in the future.
- Analyst Sentiments: The Zacks Rank, which is based on estimate changes, has given Toll Brothers a Zacks Rank of #3 (Hold), indicating a neutral stance from analysts1. This suggests that while analysts do not see any immediate catalysts for a strong earnings rebound, they also do not anticipate any further significant declines in earnings.
In conclusion, Toll Brothers' Q2 2025 EPS forecast is in line with the company's recent trend of volatile earnings, reflecting a challenging market environment. However, the company's long-term earnings growth potential remains strong, and analysts do not anticipate any further significant declines in earnings.
4/6/2025 07:33am
