Toll Brothers, Inc. (TOL) Valuation
Historical valuation analysis based on 500 data points (2024-09-27 to 2026-09-25)
Toll Brothers is the leading luxury homebuilder in the United States with an average sale price well above that of public competitors. The company operates in over 60 markets across 24 states and c...
Toll Brothers, Inc. (TOL) currently trades at a P/E ratio of 10.18 (historical range: 6.03–12.91, median: 9.91), placing it at the 60th percentile — above its historical average, P/S ratio of 1.25 (range: 0.87–1.77, 42th percentile — near its historical average), EV/EBITDA of 8.58 (range: 5.29–10.85, 61th percentile).
Over the historical period (2024-09-27 to 2026-09-25), Toll Brothers, Inc.'s P/E ratio has expanded by 22% over the observed period (from an average of 8.6 to 10.5).
Toll Brothers, Inc. trades near its historical valuation range, with most metrics close to their median levels.
Historical Valuation Metrics
| Metric | Current | Min | Median | Max | Percentile | Assessment |
|---|---|---|---|---|---|---|
| P/E Ratio | 10.18 | 6.03 | 9.91 | 12.91 | 60th | above its historical average |
| P/S Ratio | 1.25 | 0.87 | 1.27 | 1.77 | 42th | near its historical average |
| EV/EBITDA | 8.58 | 5.29 | 8.34 | 10.85 | 61th | above its historical average |
| FCF Yield | 7.95% | 5.29% | 7.72% | 10.83% | 64th | below its historical average |
Toll Brothers, Inc. (TOL) Valuation & P/E History
Toll Brothers, Inc. (TOL) is a US-listed stock operating in the Industrials sector, specifically the Operative Builders industry currently trading at $137.34 with a market capitalization of $12.7 billion. This page provides historical valuation analysis for TOL based on 500 data points covering 2024-09-27 to 2026-09-25. The P/E ratio of 10.18 is above the historical median of 9.91, placing TOL at the 60th percentile of its valuation range. The P/S ratio of 1.25 compares to a median of 1.27.
TOL Valuation Metrics & Historical Range
The valuation table above shows Toll Brothers, Inc.'s current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether TOL is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests TOL is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for Toll Brothers, Inc..
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is TOL Overvalued or Undervalued?
Toll Brothers, Inc. trades near its historical valuation range, with most metrics close to their median levels. The overall valuation percentile of 54 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive TOL is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full TOL analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.TOL trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.