Research Update: Toll Brothers Inc. Ratings Affirmed; Outlook Revised To Stable Jul 06
- ID: 1885072
- July 2006
- Standard & Poors
On July 10, 2006, Standard & Poor's Ratings Services affirmed its 'BBB-' corporate credit rating on Toll Brothers Inc. (Toll) and revised its outlook to stable from positive. Ratings are also affirmed on roughly $1.1 billion of senior unsecured notes issued by Toll Brothers Finance Corp. and $350 million of senior subordinated notes issued by Toll Corp. (see list). The outlook revision is due to negative new order trends that have been deeper and broader than anticipated during the early stages of the overall housing market correction, precluding an upgrade in the near term. Given the longer construction cycle for Toll's luxury homes, these trends are likely to pressure profits for several quarters. However, Toll's sector-leading margins and low cancellation...
Companies mentioned in this report are: Toll Brothers Inc.,Toll Corp.,Toll Brothers Finance Corp.
Action: Outlook: Stable
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Product Type: Research Update
Research updates complement media releases. They offer more depth and detail than summary analyses by incorporating all information published in the media release. They are more up to date than summaries in that they are published simultaneously with media releases.
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