Morgan Stanley Rates Toll Brothers (TOL) Overweight

Morgan Stanley issued an Overweight rating on Toll Brothers, Inc. TOL on October 1, 2026, setting a price target of $159.00. The research note from the firm provided a forward-looking view on the residential construction company.

TOL Toll Brothers, Inc.

$131.32 ▼ -2.42% year to date

1M 3M YTD

Daily close · Oct 19, 2026

Morgan Stanley's Call on Toll Brothers

On October 1, 2026, Morgan Stanley issued its research note on the luxury home builder, assigning an Overweight rating alongside a price target of $159.00. Toll Brothers closed at $136.36 on the day of the rating change.

Other Institutional Activity in Toll Brothers

Annex Advisory Services grew its holdings by 214,438 shares, ending with 275,100 shares worth about $37.1 million. Greenhaven Associates, Inc. reduced its stake by 15,242 shares, or 0.3%, leaving it with 5,630,109 shares valued at roughly $738.2 million.

Toll Brothers, Inc. Stock Down 0.3%

Toll Brothers recently traded around $133.35 as of October 16, 2026. The stock has a trailing price-to-earnings ratio of 10.79.

Recent Earnings

Toll Brothers generated $10.8 billion in trailing-twelve-month revenue with earnings per share of $12.41. The company posted a net profit margin of 11.1% and a return on equity of 14.4%. The home builder's next quarterly earnings report is scheduled for December 8, 2026.

Dividend

Toll Brothers pays an annual dividend yielding 0.78% with a payout ratio of 8.2%.

Insider Buying and Selling at Toll Brothers, Inc.

Four insider transactions took place prior to the analyst update. Director John A. McLean sold 2,313 shares on March 4, 2026, at $153.43 each for $354,889. Director Stephen F. East sold 1,000 shares on April 15, 2026, at $139.70 per share totaling $139,700. President Robert Parahus sold 7,500 shares on June 18, 2026, at $149.66 for a total of $1,122,450. Officer and Director Douglas C. Yearley Jr. sold 77,957 shares on June 18, 2026, at $156.58 per share, reaching $12,206,375.

Analysts Set New Price Targets

Keefe, Bruyette & Woods maintained its Outperform rating on August 28, 2026, moving its target from $161.00 to $170.00. Evercore ISI Group maintained its Outperform rating on September 25, 2026, adjusting its target from $191.00 to $184.00. Following Morgan Stanley's update, Melius Research initiated coverage with a Buy rating and a $179.00 target on October 6, 2026. Barclays maintained an Underweight rating on October 6, 2026, adjusting its target from $122.00 to $118.00. Across the street, analysts hold a consensus buy recommendation with 17 tracked opinions and a mean price target of $169.65.

About Toll Brothers

Toll Brothers, Inc., based in Fort Washington, Pennsylvania, designs, builds, and markets luxury detached and attached homes across the United States. The company also develops condominiums through its Toll Brothers City Living segment. Market watchers track its progress to gauge strength in the high-end housing market.

Bottom Line

Investors will look toward the upcoming earnings release on December 8, 2026, for further financial updates. Market participants continue to monitor how luxury housing demand interacts with broader economic trends.