Toll Brothers, Inc. (TOL) Financial Ratios
30 years of historical data (1996–2025) · Consumer Cyclical · Residential Construction
EV/EBITDA
↓
9.10
↑+30% vs avg
5yr avg: 7.02
30Y Low4.5·High82.4
P/FCF
↑
14.37
↑+50% vs avg
5yr avg: 9.55
30Y Low4.5·High131.0
P/B Ratio
↑
1.87
↑+33% vs avg
5yr avg: 1.41
30Y Low0.8·High2.2
ROE
↑
16.9%
-15% vs avg
5yr avg: 19.8%
30Y Low-26%·High34%
Debt/EBITDA
↓
1.62
↓-22% vs avg
5yr avg: 2.06
30Y Low1.4·High26.2
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
TOL Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Toll Brothers, Inc. trades at 11.5x earnings, 50% above its 5-year average of 7.7x, sitting at the 63rd percentile of its historical range. Compared to the Consumer Cyclical sector median P/E of 21.2x, the stock trades at a discount of 45%. On a free-cash-flow basis, the stock trades at 14.4x P/FCF, 50% above the 5-year average of 9.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $14.7B | $13.5B | $15.3B | $7.8B | $5.1B | $7.6B | $5.5B | $5.8B | $5.2B | $7.8B | $4.8B |
| Enterprise Value | $16.4B | $15.1B | $17.0B | $9.5B | $7.2B | $9.7B | $8.4B | $8.5B | $7.7B | $10.3B | $8.0B |
| P/E Ratio → | 11.54 | 10.00 | 9.76 | 5.72 | 3.95 | 9.08 | 12.44 | 9.87 | 6.94 | 14.52 | 12.59 |
| P/S Ratio | 1.34 | 1.23 | 1.41 | 0.79 | 0.49 | 0.86 | 0.78 | 0.81 | 0.73 | 1.34 | 0.93 |
| P/B Ratio | 1.87 | 1.63 | 1.99 | 1.15 | 0.84 | 1.42 | 1.13 | 1.14 | 1.09 | 1.72 | 1.14 |
| P/FCF | 14.37 | 13.12 | 16.37 | 6.58 | 5.55 | 6.12 | 6.18 | 16.61 | 9.04 | 8.38 | 40.12 |
| P/OCF | 13.25 | 12.10 | 15.18 | 6.20 | 5.15 | 5.81 | 5.50 | 13.31 | 8.62 | 8.13 | 32.46 |
P/E links to full P/E history page with 30-year chart
TOL EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Toll Brothers, Inc.'s enterprise value stands at 9.1x EBITDA, 30% above its 5-year average of 7.0x. The Consumer Cyclical sector median is 12.2x, placing the stock at a 25% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.38 | 1.57 | 0.95 | 0.70 | 1.11 | 1.18 | 1.17 | 1.08 | 1.77 | 1.54 |
| EV / EBITDA | 9.10 | 8.39 | 8.01 | 5.29 | 4.54 | 8.87 | 13.54 | 11.24 | 9.50 | 15.38 | 15.53 |
| EV / EBIT | 9.53 | 8.48 | 8.33 | 5.53 | 4.78 | 9.53 | 13.80 | 11.70 | 8.25 | 15.79 | 16.00 |
| EV / FCF | — | 14.74 | 18.14 | 7.99 | 7.87 | 7.87 | 9.33 | 24.13 | 13.42 | 11.08 | 66.23 |
TOL Profitability
Margins and return-on-capital ratios measuring operating efficiency
Toll Brothers, Inc. earns an operating margin of 15.7%, above the Consumer Cyclical sector average of 2.0%. Operating margins have compressed from 17.3% to 15.7% over the past 3 years, signaling potential cost pressures or competitive headwinds. ROE of 16.9% indicates solid capital efficiency, compared to the sector median of 5.3%. ROIC of 13.4% represents solid returns on invested capital versus a sector median of 5.2%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 26.0% | 26.0% | 27.9% | 26.4% | 24.2% | 22.1% | 20.0% | 19.6% | 20.6% | 21.5% | 19.8% |
| Operating Margin | 15.7% | 15.7% | 18.8% | 17.3% | 14.7% | 11.6% | 7.8% | 9.4% | 11.0% | 11.1% | 9.5% |
| Net Profit Margin | 12.3% | 12.3% | 14.5% | 13.7% | 12.5% | 9.5% | 6.3% | 8.2% | 10.5% | 9.2% | 7.4% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 16.9% | 16.9% | 21.7% | 21.4% | 22.6% | 16.2% | 8.9% | 11.9% | 16.1% | 12.2% | 9.0% |
| ROA | 9.7% | 9.7% | 12.1% | 11.1% | 10.8% | 7.4% | 4.1% | 5.6% | 7.6% | 5.6% | 4.0% |
| ROIC | 13.4% | 13.4% | 17.2% | 15.5% | 14.5% | 10.0% | 5.3% | 6.8% | 8.2% | 6.7% | 5.1% |
| ROCE | 15.5% | 15.5% | 19.6% | 17.5% | 15.9% | 11.0% | 6.0% | 7.6% | 9.5% | 8.0% | 6.0% |
TOL Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Toll Brothers, Inc. carries a Debt/EBITDA ratio of 1.6x, which is manageable (66% below the sector average of 4.8x). Net debt stands at $1.7B ($2.9B total debt minus $1.3B cash).
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.35 | 0.35 | 0.39 | 0.44 | 0.58 | 0.71 | 0.85 | 0.77 | 0.78 | 0.71 | 0.89 |
| Debt / EBITDA | 1.62 | 1.62 | 1.40 | 1.66 | 2.19 | 3.46 | 6.80 | 5.21 | 4.56 | 4.80 | 7.36 |
| Net Debt / Equity | — | 0.20 | 0.22 | 0.25 | 0.35 | 0.40 | 0.58 | 0.51 | 0.53 | 0.55 | 0.74 |
| Net Debt / EBITDA | 0.92 | 0.92 | 0.78 | 0.94 | 1.34 | 1.97 | 4.58 | 3.50 | 3.10 | 3.74 | 6.12 |
| Debt / FCF | — | 1.61 | 1.77 | 1.41 | 2.32 | 1.74 | 3.16 | 7.51 | 4.38 | 2.69 | 26.11 |
| Interest Coverage | — | — | — | — | — | — | 249.03 | — | — | — | — |
TOL Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
Toll Brothers, Inc.'s current ratio of 4.17x is well above the 1.0 safety threshold, indicating strong short-term liquidity with ample room to cover current liabilities. The quick ratio of 0.59x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has declined from 4.28x to 4.17x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 4.17 | 4.17 | 4.61 | 4.28 | 4.12 | 4.40 | 5.22 | 6.07 | 5.78 | 5.56 | 5.50 |
| Quick Ratio | 0.59 | 0.59 | 0.74 | 0.68 | 0.73 | 0.93 | 1.05 | 1.17 | 1.08 | 0.83 | 0.87 |
| Cash Ratio | 0.41 | 0.41 | 0.52 | 0.52 | 0.52 | 0.72 | 0.75 | 0.80 | 0.73 | 0.46 | 0.40 |
| Asset Turnover | — | 0.76 | 0.81 | 0.80 | 0.84 | 0.76 | 0.64 | 0.67 | 0.70 | 0.62 | 0.53 |
| Inventory Turnover | 0.73 | 0.73 | 0.81 | 0.81 | 0.89 | 0.87 | 0.74 | 0.74 | 0.75 | 0.63 | 0.56 |
| Days Sales Outstanding | — | 5.26 | 5.07 | 4.97 | 3.64 | 3.50 | 9.75 | 11.91 | 11.41 | 15.89 | 17.75 |
TOL Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Toll Brothers, Inc. returns 5.0% to shareholders annually — split between a 0.6% dividend yield and 4.4% buyback yield. The payout ratio of 7.2% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 8.7% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.6% | 0.7% | 0.6% | 1.2% | 1.7% | 1.0% | 1.0% | 1.1% | 1.2% | 0.5% | — |
| Payout Ratio | 7.2% | 7.2% | 5.9% | 6.6% | 6.9% | 9.2% | 12.7% | 10.8% | 8.2% | 7.2% | — |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.7% | 10.0% | 10.2% | 17.5% | 25.3% | 11.0% | 8.0% | 10.1% | 14.4% | 6.9% | 7.9% |
| FCF Yield | 7.0% | 7.6% | 6.1% | 15.2% | 18.0% | 16.3% | 16.2% | 6.0% | 11.1% | 11.9% | 2.5% |
| Buyback Yield | 4.4% | 4.8% | 4.1% | 7.2% | 10.7% | 5.0% | 11.4% | 4.0% | 9.7% | 3.7% | 8.1% |
| Total Shareholder Yield | 5.0% | 5.6% | 4.7% | 8.3% | 12.4% | 6.0% | 12.4% | 5.1% | 10.9% | 4.2% | 8.1% |
| Shares Outstanding | — | $100M | $105M | $111M | $118M | $126M | $131M | $147M | $154M | $169M | $176M |
Peer Comparison
Compare TOL with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 TOLYou | $15B | 11.5 | 9.1 | 14.4 | 26.0% | 15.7% | 16.9% | 13.4% | 1.6 |
 DHI | $46B | 13.6 | 10.8 | 13.9 | 23.7% | 12.9% | 14.2% | 12.1% | 1.3 |
 LEN | $22B | 11.2 | 8.6 | 790.5 | 9.9% | 8.0% | 8.3% | 7.9% | 2.2 |
 PHM | $24B | 11.4 | 8.0 | 14.0 | 26.4% | 17.3% | 17.7% | 17.2% | 0.8 |
 NVR | $18B | 14.9 | 9.6 | 16.4 | 23.0% | 16.2% | 33.2% | 43.8% | 0.7 |
 MHO | $4B | 10.1 | 8.0 | 31.8 | 23.0% | 11.5% | 13.2% | 11.3% | 2.1 |
 SKY | $5B | 22.8 | 15.6 | 17.0 | 26.4% | 9.5% | 13.7% | 17.6% | 0.4 |
 KBH | $3B | 8.8 | 8.7 | 11.8 | 18.9% | 8.4% | 10.8% | 7.4% | 3.1 |
 TPH | $4B | 17.3 | 11.7 | 31.1 | 22.0% | 9.7% | 7.2% | 7.2% | 3.5 |
 TMHC | $7B | 9.2 | 7.2 | 8.3 | 23.0% | 14.0% | 12.8% | 11.0% | 2.1 |
 CCS | $2B | 13.0 | 7.8 | 14.8 | 21.4% | 9.2% | 5.7% | 7.2% | 3.6 |
| Consumer Cyclical Median | — | 21.2 | 12.2 | 15.6 | 36.2% | 2.0% | 5.3% | 5.2% | 4.8 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
Consensus-Based Analysis Tools
Full Stock Analysis
Deep dive into TOL consensus models and risk factors.
View Analysis
Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Check Valuation
Historical Returns
10-year return with dividends reinvested.
Calculate
DCA Calculator
See how regular investing compounds over time.
Run Numbers
Peer Comparison
Compare growth, multiples, and margins vs sector.
Compare
TOL — Frequently Asked Questions
Quick answers to the most common questions about buying TOL stock.
What is Toll Brothers, Inc.'s P/E ratio?
Toll Brothers, Inc.'s current P/E ratio is 11.5x. The historical average is 16.6x. This places it at the 63th percentile of its historical range.
What is Toll Brothers, Inc.'s EV/EBITDA?
Toll Brothers, Inc.'s current EV/EBITDA is 9.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.3x.
What is Toll Brothers, Inc.'s ROE?
Toll Brothers, Inc.'s return on equity (ROE) is 16.9%. The historical average is 13.6%.
Is TOL stock overvalued?
Based on historical data, Toll Brothers, Inc. is trading at a P/E of 11.5x. This is at the 63th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Toll Brothers, Inc.'s dividend yield?
Toll Brothers, Inc.'s current dividend yield is 0.63% with a payout ratio of 7.2%.
What are Toll Brothers, Inc.'s profit margins?
Toll Brothers, Inc. has 26.0% gross margin and 15.7% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does Toll Brothers, Inc. have?
Toll Brothers, Inc.'s Debt/EBITDA ratio is 1.6x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.