Dive summary:

• Toll Brothers' stock has not zoomed up – or down – as investors try to figure out what will happen with the housing market if Federal Reserve decisions start to push mortgage rates up, but the company also is not selling in that market.
• Toll's average house goes for $600,000, which is about twice the national average, and company says about 20% of its sales are cash deals and thus unaffected by mortgage rates.
• The love affair this year with builders' stocks has them trading 270% of their book value, but Toll Brothers is at 1.8 times book, about the 20-year average for the industry, and it may be sitting pretty if the single-family resurgence loses some of its brilliance.

From the article:

Many of the small and midsize builders against which [Toll Brothers] has traditionally contended failed during the last recession. The ones that remain continue to struggle to raise the financing for new projects. ...