That's a very short term view of a great company Aswin. TOL hasn't traded at 12 times earnings (going back 10 years) which is what you are implying with a price of below $5. For what it's worth I can't see much better buying than this. I started buying yesterday as I see much more upside potential than downside risk.
I would suggest that a lot of foreign money has been invested in TOL and they are taking profits that have been a part of the recent huge rise in the AUD. A falling market plus falling AUD leaves conditions ripe for an ASX selloff to below reasonable valuations.
TOL Price at posting:
$5.09 Sentiment: Buy Disclosure: Held
