Here's What Wall Street Thinks About​ Toll Brothers, Inc. (TOL)

​Toll Brothers, Inc. (NYSE:TOL) is one of the Undervalued Cyclical Stocks to Invest In. On January 8, Tyler Batory from Oppenheimer reiterated a Buy rating on the stock with a $155 price target. A day earlier, on January 7, Citizen JPM initiated a Buy rating on the stock with a $175 price target.

​Citizen JPM noted that Toll Brothers, Inc. (NYSE:TOL) has been focusing on active adult and move-up customers. This has created a demand base for the company, which is less sensitive to interest rates in comparison to payment-driven buyers. The firm also highlighted that during the fiscal fourth quarter of 2025, 70% of the company’s closings came from active adult and move-up customers, providing the company with a resilient demand base.

​Moreover, according to the firm, the company is expected to expand its community count by roughly 9% in fiscal 2025 and projects around 8% to 10% growth in fiscal 2026.

​That said, earlier on December 17, Raymond James also reiterated a Buy rating on Toll Brothers, Inc. (NYSE:TOL) with a $160 price target. The firm highlighted that the company is stabilizing its net order growth and adjusted gross margins. Raymond James acknowledged a conservative outlook for 2026, mainly due to cost inflation and elevated incentives. However, the firm sees growth for the company in 2027.

​Toll Brothers, Inc. (NYSE:TOL) builds, markets, and finances residential and commercial properties across the United States.

While we acknowledge the potential of TOL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.