Toll Brothers is updated and rated (higher) Buy at $33.84. Sales for a homebuilder are hard to predict. However, in this case the revenue is relatively predictable because it is driven by signed home sale contracts about one year earlier. Based on that I had expected Q4 which it just reported to be a bit stronger but possibly the deliveries will show up next quarter. For the next year it should be reporting revenues in the order of 25% higher based on signed contracts in the four quarters of 2015 and based on a backlog interring the year that is up 29% in dollars. If its margins are relatively constant then earnings should also grow by about 25% in 2016. The company continues to believe that the home building industry in the U.S remains in recovery mode as housing starts are still well below historical averages. With a P/E of 16.6 and with a potential 25% increase in profits in the next year the stock seems attractive. In addition, the company has bought back shares fairly aggressively when the price dips under about $35 as it now has.