Is Toll Brothers, Inc. (TOL) Halal?
Shariah Screening — 5 Standards
Based on financial data from October 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 20.8% / 30% | 9.0% / 30% | 1.1% / 30% | 0.27% / 5% | ✓ HALAL |
| DJIM | 20.8% / 33% | 9.0% / 33% | 1.1% / 33% | 0.27% / 5% | ✓ HALAL |
| MSCI | 20.1% / 33% | 8.7% / 33% | 1.1% / 33% | 0.27% / 5% | ✓ HALAL |
| S&P | 20.8% / 33% | 9.0% / 33% | 1.1% / 33% | 0.27% / 5% | ✓ HALAL |
| FTSE | 20.1% / 33% | 8.7% / 33% | 1.1% / 50% | 0.27% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 25.4% | |
| Operating Margin | 10.8% | |
| Net Margin | 12.3% | |
| Return on Equity (ROE) | 17.0% | |
| Return on Assets (ROA) | 8.1% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $1.1B |
| Free Cash Flow | $1.0B |
| Total Debt | $2.9B |
| Debt-to-Equity | 33.9 |
| Current Ratio | 4.5 |
| Total Assets | $14.5B |
Price & Trading
| Last Close | $133.23 |
| 50-Day MA | $148.51 |
| 200-Day MA | $135.83 |
| Avg Volume | 1.2M |
| Beta | 1.5 |
|
52-Week Range
$86.67
| |
About Toll Brothers, Inc. (TOL)
Toll Brothers, Inc., together with its subsidiaries, designs, builds, markets, sells, and arranges finance for a range of detached and attached homes in luxury residential communities in the United States. It designs, builds, markets, and sells condominiums through Toll Brothers City Living. The company also develops a range of single-story living and first-floor primary bedroom suite home designs, as well as communities with recreational amenities, such as golf courses, marinas, pool complexes, country clubs, and fitness and recreation centers; and develops, operates, rents apartments and student housing communities. In addition, it provides various interior fit-out options, such as flooring, wall tile, plumbing, cabinets, fixtures, appliances, lighting, and home-automation and security technologies. Further, the company owns and operates architectural, engineering, mortgage, title, land development, insurance, smart home technology, landscaping, lumber distribution, house component assembly, and component manufacturing operations. It serves luxury first-time, move-up, empty-nester, active-adult, and second-home buyers. The company was founded in 1967 and is headquartered in Fort Washington, Pennsylvania.
Purification Calculator
As a halal stock with 0.27% impermissible income, you need to purify your dividends.
Related Halal Stocks in Consumer Cyclical
Frequently Asked Questions
Is Toll Brothers, Inc. (TOL) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), Toll Brothers, Inc. is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is Toll Brothers, Inc.'s debt ratio?
Toll Brothers, Inc.'s debt ratio is 20.8% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 20.1%.
Does Toll Brothers, Inc. require dividend purification?
Yes, Toll Brothers, Inc. has an impermissible income ratio of 0.27%, which means 0.27% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.
What are Toll Brothers, Inc.'s key financial metrics?
Toll Brothers, Inc. has a market capitalization of $12.4B, trailing P/E ratio of 9.4, and revenue of $11.0B. The company maintains a gross margin of 25.4% and a net margin of 12.3%. Return on equity stands at 17.0%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.