TSX:TD

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Toronto-Dominion Bank

Executive Summary

The Toronto-Dominion Bank, together with its subsidiaries, provides various personal and commercial banking products and services in Canada and the United States. More Details


Snowflake Analysis

Flawless balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has Toronto-Dominion Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TD is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: TD's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

TD

1.4%

CA Banks

0.2%

CA Market


1 Year Return

1.4%

TD

0.2%

CA Banks

1.5%

CA Market

Return vs Industry: TD exceeded the Canadian Banks industry which returned 0.2% over the past year.

Return vs Market: TD matched the Canadian Market which returned 1.5% over the past year.


Shareholder returns

TDIndustryMarket
7 Day0.2%1.4%0.2%
30 Day4.5%4.1%3.6%
90 Day26.7%20.1%13.3%
1 Year6.5%1.4%5.5%0.2%5.2%1.5%
3 Year14.3%0.7%10.7%-3.2%13.1%2.3%
5 Year79.7%47.4%83.2%48.4%69.3%43.3%

Long-Term Price Volatility Vs. Market

How volatile is Toronto-Dominion Bank's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Toronto-Dominion Bank undervalued compared to its fair value and its price relative to the market?

7.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TD (CA$74.98) is trading below our estimate of fair value (CA$80.96)

Significantly Below Fair Value: TD is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TD is good value based on its PE Ratio (11.7x) compared to the CA Banks industry average (13.4x).

PE vs Market: TD is good value based on its PE Ratio (11.7x) compared to the Canadian market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: TD is poor value based on its PEG Ratio (96.4x)


Price to Book Ratio

PB vs Industry: TD is overvalued based on its PB Ratio (1.5x) compared to the CA Banks industry average (1.3x).


Next Steps

Future Growth

How is Toronto-Dominion Bank forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

0.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TD's forecast earnings growth (0.1% per year) is below the savings rate (1.5%).

Earnings vs Market: TD's earnings (0.1% per year) are forecast to grow slower than the Canadian market (26.2% per year).

High Growth Earnings: TD's earnings are forecast to grow, but not significantly.

Revenue vs Market: TD's revenue (5.6% per year) is forecast to grow slower than the Canadian market (7.9% per year).

High Growth Revenue: TD's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TD's Return on Equity is forecast to be low in 3 years time (12.2%).


Next Steps

Past Performance

How has Toronto-Dominion Bank performed over the past 5 years?

7.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TD has high quality earnings.

Growing Profit Margin: TD's current net profit margins (31.9%) are higher than last year (30%).


Past Earnings Growth Analysis

Earnings Trend: TD's earnings have grown by 7.1% per year over the past 5 years.

Accelerating Growth: TD's earnings growth over the past year (1.8%) is below its 5-year average (7.1% per year).

Earnings vs Industry: TD earnings growth over the past year (1.8%) exceeded the Banks industry -11.4%.


Return on Equity

High ROE: TD's Return on Equity (12.5%) is considered low.


Next Steps

Financial Health

How is Toronto-Dominion Bank's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: TD's Assets to Equity ratio (18x) is moderate.

Allowance for Bad Loans: TD has a sufficient allowance for bad loans (263%).

Low Risk Liabilities: 71% of TD's liabilities are made up of primarily low risk sources of funding.

Loan Level: TD has an appropriate level of Loans to Assets ratio (42%).

Low Risk Deposits: TD's Loans to Deposits ratio (63%) is appropriate.

Level of Bad Loans: TD has an appropriate level of bad loans (0.4%).


Next Steps

Dividend

What is Toronto-Dominion Bank current dividend yield, its reliability and sustainability?

4.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TD's dividend (4.21%) is higher than the bottom 25% of dividend payers in the Canadian market (1.54%).

High Dividend: TD's dividend (4.21%) is low compared to the top 25% of dividend payers in the Canadian market (5%).


Stability and Growth of Payments

Stable Dividend: TD's dividend payments have been volatile in the past 10 years.

Growing Dividend: TD's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48.3%), TD's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TD's dividends in 3 years are forecast to be well covered by earnings (49.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

Bharat Masrani (63 yo)

6.17yrs

Tenure

CA$12,636,569

Compensation

Mr. Bharat B. Masrani has been Director of Charles Schwab Corporation since October 06, 2020. He has been Chief Executive Officer and Group President at The Toronto-Dominion Bank since November 1, 2014. Mr...


CEO Compensation Analysis

Compensation vs Market: Bharat's total compensation ($USD9.92M) is above average for companies of similar size in the Canadian market ($USD6.58M).

Compensation vs Earnings: Bharat's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Bharat Masrani
Group President6.17yrsCA$12.64m0.046%
CA$ 63.2m
Riaz Ahmed
Group Head & CFO5yrsCA$4.00m0.022%
CA$ 30.1m
Robert Dorrance
Group Head of Wholesale Banking15.17yrsCA$7.43m0.031%
CA$ 43.1m
Theresa Currie
Group Head of Canadian Personal Banking10.17yrsCA$6.59m0.00029%
CA$ 397.1k
Gregory Braca
Group Head of U.S. Retail Banking3.17yrsCA$5.34m0.00041%
CA$ 561.4k
Valerie Gillis
Chief Accountant & Senior VP of Financeno datano datano data
Michael Rhodes
Group Head of Innovation3.17yrsno data0%
CA$ 0
Jeffrey Henderson
Chief Information Officer & Executive VPno datano datano data
Gillian Manning
Vice President & Head of IRno datano datano data
Norie Campbell
Group Head & General Counsel0.83yrno data0.00072%
CA$ 986.0k
Theresa McLaughlin
Chief Marketing Officer & Executive VPno datano datano data
Barbara Hooper
Executive Vice President of Treasury & Corporate Developmentno datano datano data

5.0yrs

Average Tenure

Experienced Management: TD's management team is seasoned and experienced (5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bharat Masrani
Group President6.17yrsCA$12.64m0.046%
CA$ 63.2m
George Watson
Member of Advisory Boardno datano datano data
Claude Mongeau
Independent Director5.83yrsCA$237.50k0.0020%
CA$ 2.8m
Karen Maidment
Independent Director9.33yrsCA$292.50k0.00064%
CA$ 876.4k
Amy Brinkley
Independent Director10.33yrsCA$540.96k0.00013%
CA$ 178.0k
Irene Miller
Independent Director14.67yrsCA$247.50k0.0011%
CA$ 1.5m
David Kepler
Independent Director7.08yrsCA$245.00k0.00039%
CA$ 534.1k
Brian Levitt
Independent Non-Executive Chairman of the Board10yrsCA$448.33k0.0016%
CA$ 2.3m
Nadir Mohamed
Independent Director12.75yrsCA$225.00k0.00034%
CA$ 465.6k
Colleen Goggins
Independent Director8.83yrsCA$245.00k0.00048%
CA$ 657.3k
Brian Ferguson
Independent Director5.83yrsCA$247.50k0.00025%
CA$ 342.3k
Alan MacGibbon
Independent Director6.75yrsCA$640.94k0.00022%
CA$ 301.3k

8.8yrs

Average Tenure

64yo

Average Age

Experienced Board: TD's board of directors are considered experienced (8.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TD insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Toronto-Dominion Bank's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Toronto-Dominion Bank
  • Ticker: TD
  • Exchange: TSX
  • Founded: 1855
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: CA$136.938b
  • Shares outstanding: 1.82b
  • Website: https://www.td.com

Number of Employees


Location

  • The Toronto-Dominion Bank
  • Toronto-Dominion Centre
  • King Street West and Bay Street
  • Toronto
  • Ontario
  • M5K 1A2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TDNYSE (New York Stock Exchange)YesCommon SharesUSUSDDec 1972
TDTSX (The Toronto Stock Exchange)YesCommon SharesCACADDec 1972
TDBDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1972
0VL8LSE (London Stock Exchange)YesCommon SharesGBCADDec 1972
TD.PFBTSX (The Toronto Stock Exchange)5YR RST PFD SR 3CACADAug 2014
TNTT.FOTCPK (Pink Sheets LLC)5YR RST PFD SR 3USUSDAug 2014
TDBK.FOTCPK (Pink Sheets LLC)PFD-7 CONVUSCADMar 2015
TD.PFGTSX (The Toronto Stock Exchange)PFD SHS SER 12CACADJan 2016
TNTO.FOTCPK (Pink Sheets LLC)PFD SHS SER 12USUSDJan 2016
TD.PFHTSX (The Toronto Stock Exchange)4.85 PFD SR 14CACADSep 2016
TD.PFITSX (The Toronto Stock Exchange)PFD SER 16CACADJul 2017
TD.PFKTSX (The Toronto Stock Exchange)PFD SHS NCM 20CACADSep 2018
TD.PFLTSX (The Toronto Stock Exchange)NON CUM PFD 22CACADJan 2019
TD.PFMTSX (The Toronto Stock Exchange)NON CUM PFD 24CACADJun 2019

Biography

The Toronto-Dominion Bank, together with its subsidiaries, provides various personal and commercial banking products and services in Canada and the United States. The company operates through three segment...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/19 23:06
End of Day Share Price2021/01/19 00:00
Earnings2020/10/31
Annual Earnings2020/10/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.