BofA Maintains Buy on Toll Brothers, Inc. (TOL) While Warning of 2026 “Reset Year” for Homebuilders

Company Overview - Toll Brothers, Inc. is a leading American homebuilder headquartered in Fort Washington, Pennsylvania, specializing in the construction, marketing, and financing of residential and commercial properties [4] Financial Performance - In the Fourth Quarter Fiscal Year 2025 earnings call, Toll Brothers closed 11,292 homes at an average price of $960,000, generating a record $10.8 billion in home sales revenue, demonstrating strong pricing power and operational scale [3] Market Outlook - BofA raised the price target on Toll Brothers to $160 from $150, maintaining a Buy rating, while cautioning that weaker employment, migration trends, ongoing inflation, and a competitive selling environment could pressure fundamentals through 2026, indicating a potential "reset year" for the sector [1]