Tuesday was a moderately negative day with the S&P 500 down 0.3% and Toronto down 0.2%.
Most stocks that I follow were down a little.
Toll Brothers however was up 2.1%. I don’t follow lumber prices but I saw where they are down. That should be good for Toll brother’s profit margin. Their next earnings report will be late August. While many stocks are “priced for perfection”, Toll Brothers appears to be priced for something closer to a disaster. It is trading at 8.6 times forward estimated earnings and at 1.07 times book value.
The Melcor REIT released earnings after the close. It was about as expected with revenues stable but adjusted funds from operations down 4% year over year but up 3% versus Q1. The occupancy rate is 89%.
Tomorrow, the market will focus on the expected FED interest rate cut.