TOL (Toll Brothers) Inventory Turnover: 0.17 (As of Apr. 2026)


TOL Toll Brothers Inc TOL
93 GF Score
Price $164.88
GF Value $136.84
Valuation Modestly Overvalued
! 8 Warning Signs
View Full Analysis

What is Toll Brothers Inventory Turnover?

Toll Brothers TOL +0.45% 93 Inventory Turnover is 0.17 as of Apr. 2026. GuruFocus rates TOL with a GF Score™ of 93/100 and a GF Value™ of $136.84 (Modestly Overvalued). The stock has 8 warning signs investors should review.

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Toll Brothers's Cost of Goods Sold for the three months ended in Apr. 2026 was $1,926 Mil. Toll Brothers's Average Total Inventories for the quarter that ended in Apr. 2026 was $11,291 Mil. Toll Brothers's Inventory Turnover for the quarter that ended in Apr. 2026 was 0.17.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Toll Brothers's Days Inventory for the three months ended in Apr. 2026 was 534.83.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Toll Brothers's Inventory-to-Revenue for the quarter that ended in Apr. 2026 was 4.46.

Toll Brothers  (NYSE:TOL) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Toll Brothers's Days Inventory for the three months ended in Apr. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Apr. 2026 )/Cost of Goods Sold (Q: Apr. 2026 )*Days in Period
=11290.6205/1926.34*365 / 4
=534.83

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Toll Brothers's Inventory to Revenue for the quarter that ended in Apr. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Apr. 2026 ) / Revenue (Q: Apr. 2026 )
=11290.6205 / 2531.23
=4.46

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.

Toll Brothers Inventory Turnover Related Terms

Toll Brothers Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Toll Brothers's Inventory Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Toll Brothers Inventory Turnover Chart

Toll Brothers Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.88 0.94 0.83 0.83 0.79

Toll Brothers Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.19 0.20 0.23 0.15 0.17
TOL
93GF Score
Toll Brothers Inc TOL
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Toll Brothers Inventory Turnover Calculation

Toll Brothers's Inventory Turnover for the fiscal year that ended in Oct. 2025 is calculated as

Inventory Turnover (A: Oct. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Oct. 2025 ) / ((Total Inventories (A: Oct. 2024 ) + Total Inventories (A: Oct. 2025 )) / count )
=8212.487 / ((9712.925 + 11099.429) / 2 )
=8212.487 / 10406.177
=0.79

Toll Brothers's Inventory Turnover for the quarter that ended in Apr. 2026 is calculated as

Inventory Turnover (Q: Apr. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Apr. 2026 ) / ((Total Inventories (Q: Jan. 2026 ) + Total Inventories (Q: Apr. 2026 )) / count )
=1926.34 / ((11203.529 + 11377.712) / 2 )
=1926.34 / 11290.6205
=0.17

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 0.17 mean?
Toll Brothers (TOL) has a Inventory Turnover of 0.17 as of Apr. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Toll Brothers and its competitors.
Is Toll Brothers' Inventory Turnover too high?
Toll Brothers' current Inventory Turnover is 0.17. Overall, Toll Brothers has a GF Score™ of 93/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Toll Brothers' Inventory Turnover compare to NVR and LEN?
Toll Brothers' Inventory Turnover of 0.17 can be compared against companies in the Homebuilding & Construction industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for a Homebuilding & Construction company?
A good Inventory Turnover depends on the Homebuilding & Construction industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Toll Brothers and its competitors. Toll Brothers's current Inventory Turnover is 0.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Toll Brothers stock overvalued right now?
Based on GuruFocus' analysis, Toll Brothers (TOL) is currently considered Modestly Overvalued. The stock's GF Value™ is $136.84, compared to a current price of $164.88 — trading 20.5% above its estimated fair value. The current Inventory Turnover is 0.17. Toll Brothers' overall GF Score™ is 93/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For Toll Brothers (TOL), the current Inventory Turnover is 0.17 as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Toll Brothers (TOL) Overvalued in 2026?

Based on GuruFocus' analysis, Toll Brothers stock appears to be overvalued. The current stock price of $164.88 is trading 20.5% above its estimated GF Value™ of $136.84. GuruFocus considers Toll Brothers to be Modestly Overvalued.

Key valuation signals for TOL:

  • Inventory Turnover: 0.17
  • GF Value™: $136.84 vs. price of $164.88 (20.5% above fair value)
  • GF Score™: 93/100 with 8 warning signs

No single metric tells the full story. See the TOL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Toll Brothers Business Description

Address 1140 Virginia Drive, Fort Washington, PA, USA, 19034
Toll Brothers is the leading luxury homebuilder in the United States with an average sale price well above public competitors'. The company operates in over 60 markets across 24 states and caters to move-up, active-adult, and second-homebuyers. Toll Brothers consistently ranks as a top 10 builder within the US according to total home closings. Traditional homebuilding operations represent most of the company's revenue. Toll Brothers also builds luxury for-sale and for-rent properties in urban centers across the US It has its headquarters in Horsham, Pennsylvania.
93GF Score

Get the complete analysis for TOL

Inventory Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$164.88
Price
$136.84
GF Value