Toll Brothers is updated and remains rated Buy at $36.92. In June 2011, I added this company to the site and rated it Speculative Buy at $21.03 as one way to “play” the expected recovery in U.S. house prices. The share price has been volatile but the basic investment theme has worked out well and will likely continue to work (though the volatility may continue as well). Adding to my position on dips and sometimes selling on rallies has worked out well with this stock.
On Friday the S&P 500 fell 1.4% and Toronto fell 1.0%. Markets were weak because the U.S. jobs number was unexpectedly strong. The market thinking a step or two ahead worried that this could lead the Fed to raise interest rates which tends to be negative for stocks. Among the declining stocks was Toll Brothers, down 2.6%.