Should You Be Bullish on Toll Brothers (TOL)?

分组1 - Pelican Bay Capital Management (PBCM) reported a fourth-quarter 2025 return of 8.5% for its Concentrated Value Strategy, outperforming the Russell 1000 Value Index which returned 3.8% [1] - The strong performance was attributed to AI-related stocks and commodities exposure, with the full-year return for the Strategy at 20.6% compared to 15.9% for the Index [1] - PBCM focuses on investing in high-quality companies with strong balance sheets [1] 分组2 - Toll Brothers, Inc. (NYSE:TOL) was highlighted as an underperformer in PBCM's fourth-quarter 2025 investor letter, with a stock price of $153.28 as of February 6, 2026 [2] - The one-month return for Toll Brothers was 4.31%, and the stock increased by 22.42% over the past twelve months, with a market capitalization of $14.562 billion [2] - Elevated mortgage rates and a slowdown in new home sales negatively impacted investor sentiment and stock prices for homebuilding companies, including Toll Brothers [3] - Despite recent underperformance, PBCM remains bullish on the long-term prospects for the homebuilding sector, citing a housing shortage and significant discounts to intrinsic values [3] - Toll Brothers is not among the 30 most popular stocks among hedge funds, with 51 hedge fund portfolios holding the stock at the end of the third quarter, down from 54 in the previous quarter [4] - PBCM suggests that certain AI stocks may offer greater upside potential compared to Toll Brothers, while also acknowledging the investment potential of the company [4]