Toll Brothers' stock fell sharply by 5.43% in pre-market trading after the luxury homebuilder reported mixed fourth-quarter results. The company missed earnings estimates with adjusted EPS of $4.58, below the expected $4.89, while revenue slightly exceeded expectations. The stock's decline reflects investor concerns over weakening demand in the housing sector.
The company cited soft demand across many markets and provided a cautious outlook for fiscal 2026, noting a decline in net signed contract value and contracted homes year-over-year. Toll Brothers' backlog also dropped to $5.5 billion from $6.5 billion, further highlighting the challenges in the housing market. CEO Douglas Yearley emphasized disciplined operations to maximize returns, but the broader industry slowdown continues to weigh on sentiment.
Comments