Toll Brothers Operating Margin vs. Gross Profit
| TLK Stock | EUR 160.75 3.80 2.42% |
For Toll Brothers profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Toll Brothers to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Toll Brothers utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Toll Brothers's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Toll Brothers over time as well as its relative position and ranking within its peers.
Toll |
Toll Brothers Gross Profit vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Toll Brothers's current stock value. Our valuation model uses many indicators to compare Toll Brothers value to that of its competitors to determine the firm's financial worth. Toll Brothers is currently regarded as top stock in operating margin category among its peers. It also is currently regarded as top stock in gross profit category among its peers fabricating about 16,212,716,763 of Gross Profit per Operating Margin. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Toll Brothers' earnings, one of the primary drivers of an investment's value.Toll Gross Profit vs. Operating Margin
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Toll Brothers |
| = | 0.16 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Toll Brothers |
| = | 2.52 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Toll Gross Profit Comparison
Toll Brothers is currently under evaluation in gross profit category among its peers.
Toll Brothers Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Toll Brothers, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Toll Brothers will eventually generate negative long term returns. The profitability progress is the general direction of Toll Brothers' change in net profit over the period of time. It can combine multiple indicators of Toll Brothers, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Toll Brothers, Inc., together with its subsidiaries, designs, builds, markets, sells, and arranges finance for detached and attached homes in luxury residential communities in the United States. Toll Brothers, Inc. was founded in 1967 and is headquartered in Horsham, Pennsylvania. Toll Brothers operates under Residential Construction classification in Germany and is traded on Frankfurt Stock Exchange. It employs 4900 people.
Toll Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Toll Brothers. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Toll Brothers position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Toll Brothers' important profitability drivers and their relationship over time.
Use Toll Brothers in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Toll Brothers position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Toll Brothers will appreciate offsetting losses from the drop in the long position's value.Toll Brothers Pair Trading
Toll Brothers Pair Trading Analysis
The ability to find closely correlated positions to Toll Brothers could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Toll Brothers when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Toll Brothers - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Toll Brothers to buy it.
The correlation of Toll Brothers is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Toll Brothers moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Toll Brothers moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Toll Brothers can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Toll Brothers position
In addition to having Toll Brothers in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Funds or Etfs that attempt to achieve high capital gains by investing in companies with high growth potential and above average risk. The Aggressive Funds theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Aggressive Funds Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Toll Stock
When determining whether Toll Brothers is a strong investment it is important to analyze Toll Brothers' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Toll Brothers' future performance. For an informed investment choice regarding Toll Stock, refer to the following important reports:Check out World Market Map. For more detail on how to invest in Toll Stock please use our How to Invest in Toll Brothers guide.You can also try the Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
To fully project Toll Brothers' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Toll Brothers at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Toll Brothers' income statement, its balance sheet, and the statement of cash flows.