Toll Brothers (TOL) Competitors

D.R. Horton (NYSE:DHI) and Toll Brothers (NYSE:TOL) are both large-cap construction companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, earnings, risk, dividends, valuation, analyst recommendations, community ranking and media sentiment.

Does the MarketBeat Community prefer DHI or TOL?

D.R. Horton received 9 more outperform votes than Toll Brothers when rated by MarketBeat users. Likewise, 59.73% of users gave D.R. Horton an outperform vote while only 56.87% of users gave Toll Brothers an outperform vote.

Company	Underperform	Outperform
D.R. Horton	Outperform Votes 663 59.73%	Underperform Votes 447 40.27%
Toll Brothers	Outperform Votes 654 56.87%	Underperform Votes 496 43.13%

Is DHI or TOL a better dividend stock?

D.R. Horton pays an annual dividend of $1.60 per share and has a dividend yield of 1.2%. Toll Brothers pays an annual dividend of $1.00 per share and has a dividend yield of 0.9%. D.R. Horton pays out 11.3% of its earnings in the form of a dividend. Toll Brothers pays out 6.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Which has higher valuation and earnings, DHI or TOL?

D.R. Horton has higher revenue and earnings than Toll Brothers. Toll Brothers is trading at a lower price-to-earnings ratio than D.R. Horton, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
D.R. Horton	$36.69B	1.12	$4.76B	$14.15	9.22
Toll Brothers	$10.76B	1.03	$1.57B	$14.53	7.60

Is DHI or TOL more profitable?

Toll Brothers has a net margin of 14.03% compared to D.R. Horton's net margin of 12.69%. D.R. Horton's return on equity of 18.48% beat Toll Brothers' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
D.R. Horton	12.69%	18.48%	13.23%
Toll Brothers	14.03%	18.32%	10.34%

Do insiders and institutionals believe in DHI or TOL?

90.6% of D.R. Horton shares are owned by institutional investors. Comparatively, 91.8% of Toll Brothers shares are owned by institutional investors. 0.5% of D.R. Horton shares are owned by company insiders. Comparatively, 1.5% of Toll Brothers shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Which has more volatility and risk, DHI or TOL?

D.R. Horton has a beta of 1.8, meaning that its share price is 80% more volatile than the S&P 500. Comparatively, Toll Brothers has a beta of 1.77, meaning that its share price is 77% more volatile than the S&P 500.

Does the media prefer DHI or TOL?

In the previous week, Toll Brothers had 3 more articles in the media than D.R. Horton. MarketBeat recorded 29 mentions for Toll Brothers and 26 mentions for D.R. Horton. D.R. Horton's average media sentiment score of 1.22 beat Toll Brothers' score of 0.52 indicating that D.R. Horton is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
D.R. Horton	20 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
Toll Brothers	9 Very Positive mention(s)	2 Positive mention(s)	17 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts recommend DHI or TOL?

D.R. Horton currently has a consensus target price of $170.93, suggesting a potential upside of 30.99%. Toll Brothers has a consensus target price of $147.57, suggesting a potential upside of 33.67%. Given Toll Brothers' stronger consensus rating and higher probable upside, analysts plainly believe Toll Brothers is more favorable than D.R. Horton.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
D.R. Horton	2 Sell rating(s)	7 Hold rating(s)	6 Buy rating(s)	1 Strong Buy rating(s)	2.38
Toll Brothers	1 Sell rating(s)	5 Hold rating(s)	8 Buy rating(s)	1 Strong Buy rating(s)	2.60

Summary

D.R. Horton beats Toll Brothers on 11 of the 20 factors compared between the two stocks.