Why Is Toll Brothers (TOL) Down 10.7% Since Last Earnings Report?

Toll Brothers reported Q3 fiscal 2026 earnings and revenue beats driven by higher pricing, but both metrics declined year-over-year. Home deliveries fell 10% while average prices rose 2.3%. The company faces margin pressure from increased costs and SG&A expenses. Estimates have trended downward since the earnings report, and the stock received a Zacks Rank #3 (Hold) rating with an expected in-line return.