Still a lot of bullish charts in the home-building sector, including Toll Brothers (TOL) which reported earnings earlier today. Shares are poised for a slightly higher open Wednesday after the luxury home builder reported profit of $0.10 a share, reversing a year-ago loss of $0.12. Sale rose 17% to $373.7 million, slightly below the Thomson/Reuters consensus estimate of $381.7 million.
Home deliveries rose to 671 units from 591 units in the year-ago quarter. Meanwhile, net signed contracts increased to 1,290 units from 879 units. Backlog rose to 2,403 units from 1,760 units.
Bullish breakout for TOL in late April and it’s still holding above its 50-day moving average. Most of the home builders remain under accumulation despite overall softness in the broad market.
At 10 a.m. ET, April new-home sales data will be out. Economists generally expectd new-home sales to rise to 339,000 units, up from 328,000 in March.