WallStSmart

Dream Finders Homes Inc (DFH)vsToll Brothers Inc (TOL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Toll Brothers Inc generates 162% more annual revenue ($11.05B vs $4.22B). TOL leads profitability with a 11.7% profit margin vs 4.2%. DFH trades at a lower P/E of 9.0x. TOL earns a higher WallStSmart Score of 61/100 (C+).

DFH

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 5.0Value: 8.3Quality: 6.5
Piotroski: 2/9Altman Z: 2.79

TOL

Buy

61

out of 100

Grade: C+

Growth: 2.7Profit: 7.0Value: 6.0Quality: 8.0
Piotroski: 3/9Altman Z: 3.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DFHUndervalued (+39.5%)

Margin of Safety

+39.5%

Fair Value

$34.05

Current Price

$14.60

$19.45 discount

UndervaluedFair: $34.05Overvalued
TOLSignificantly Overvalued (-53.9%)

Margin of Safety

-53.9%

Fair Value

$95.60

Current Price

$137.42

$41.82 premium

UndervaluedFair: $95.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DFH2 strengths · Avg: 10.0/10
P/E RatioValuation
9.0x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

TOL3 strengths · Avg: 9.3/10
P/E RatioValuation
11.2x10/10

Attractively priced relative to earnings

Altman Z-ScoreHealth
3.6010/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Areas to Watch

DFH4 concerns · Avg: 3.0/10
Market CapQuality
$1.42B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.2%3/10

4.2% margin — thin

Operating MarginProfitability
2.1%3/10

Operating margin of 2.1%

Debt/EquityHealth
1.213/10

Elevated debt levels

TOL3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-7.6%2/10

Revenue declined 7.6%

EPS GrowthGrowth
-22.3%2/10

Earnings declined 22.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : DFH

The strongest argument for DFH centers on P/E Ratio, Price/Book.

Bull Case : TOL

The strongest argument for TOL centers on P/E Ratio, Altman Z-Score, Price/Book. PEG of 1.09 suggests the stock is reasonably priced for its growth.

Bear Case : DFH

The primary concerns for DFH are Market Cap, Profit Margin, Operating Margin. Thin 4.2% margins leave little buffer for downturns.

Bear Case : TOL

The primary concerns for TOL are Piotroski F-Score, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

DFH profiles as a value stock while TOL is a declining play — different risk/reward profiles.

DFH carries more volatility with a beta of 1.84 — expect wider price swings.

TOL is growing revenue faster at -7.6% — sustainability is the question.

TOL generates stronger free cash flow (110M), providing more financial flexibility.

Bottom Line

TOL scores higher overall (61/100 vs 42/100). DFH offers better value entry with a 39.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Dream Finders Homes Inc

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

Dream Finders Homes, Inc. is a holding company of Dream Finders Holdings LLC engaged in the home construction business in the United States. The company is headquartered in Jacksonville, Florida.

Toll Brothers Inc

CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA

Toll Brothers, Inc. designs, builds, markets, sells and manages the financing of a variety of detached and attached homes in luxury residential communities in the United States. The company is headquartered in Horsham, Pennsylvania.

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