Toll Brothers Inc (TOL)
Return on equity (ROE)
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,571,200 | 1,372,070 | 1,286,500 | 833,627 | 446,624 |
| Total stockholders’ equity | US$ in thousands | 7,670,930 | 6,797,160 | 6,006,090 | 5,295,020 | 4,875,240 |
| ROE | 20.48% | 20.19% | 21.42% | 15.74% | 9.16% |
October 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,571,200K ÷ $7,670,930K
= 20.48%
Toll Brothers Inc has shown a consistently positive trend in its return on equity (ROE) over the past five years. The ROE has increased from 9.16% in October 2020 to 20.48% in October 2024, indicating an improving performance in utilizing its shareholders' equity to generate profits.
The company's ROE remained above 15% for the last three fiscal years, signifying strong profitability and efficient management of its assets to generate earnings for its shareholders. The highest ROE of 21.42% was observed in October 2022.
Toll Brothers Inc's upward trend in ROE suggests effective operational efficiency and financial management, leading to higher returns for its investors. This consistent improvement in ROE reflects positively on the company's ability to generate value and maintain strong financial performance over the years.
Peer comparison
Oct 31, 2024