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TD

Toronto-Dominion BankTSX:TD Stock Report

Last Price

CA$100.30

Market Cap

CA$182.8b

7D

-2.1%

1Y

36.3%

Updated

23 Jan, 2022

Data

Company Financials +
TD fundamental analysis
Snowflake Score
Valuation1/6
Future Growth1/6
Past Performance4/6
Financial Health6/6
Dividends4/6

TD Stock Overview

The Toronto-Dominion Bank, together with its subsidiaries, provides various financial products and services in Canada, the United States, and internationally.

Toronto-Dominion Bank Competitors

Royal Bank of Canada

TSX:RY

CA$206.1b

Bank of Nova Scotia

TSX:BNS

CA$108.6b

Bank of Montreal

TSX:BMO

CA$93.2b

Canadian Imperial Bank of Commerce

TSX:CM

CA$72.2b

Price History & Performance

Summary of all time highs, changes and price drops for Toronto-Dominion Bank
Historical stock prices
Current Share PriceCA$100.30
52 Week HighCA$104.17
52 Week LowCA$72.26
Beta0.87
1 Month Change4.15%
3 Month Change12.02%
1 Year Change36.31%
3 Year Change37.72%
5 Year Change47.15%
Change since IPO1,845.21%

Recent News & Updates

Dec 21
Toronto-Dominion Bank's (TSE:TD) Dividend Will Be Increased To CA$0.89

Toronto-Dominion Bank's (TSE:TD) Dividend Will Be Increased To CA$0.89

The Toronto-Dominion Bank ( TSE:TD ) has announced that it will be increasing its dividend on the 31st of January to...

Shareholder Returns

TDCA BanksCA Market
7D-2.1%-2.4%-2.9%
1Y36.3%36.7%15.9%

Return vs Industry: TD matched the Canadian Banks industry which returned 36.7% over the past year.

Return vs Market: TD exceeded the Canadian Market which returned 15.9% over the past year.

Price Volatility

Is TD's price volatile compared to industry and market?
TD volatility
TD Average Weekly Movement2.6%
Banks Industry Average Movement2.6%
Market Average Movement9.9%
10% most volatile stocks in CA Market17.4%
10% least volatile stocks in CA Market3.7%

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.

About the Company

FoundedEmployeesCEOWebsite
185589,464Bharat Masranihttps://www.td.com

The Toronto-Dominion Bank, together with its subsidiaries, provides various financial products and services in Canada, the United States, and internationally. It operates through three segments: Canadian Retail, U.S. Retail, and Wholesale Banking.

Toronto-Dominion Bank Fundamentals Summary

How do Toronto-Dominion Bank's earnings and revenue compare to its market cap?
TD fundamental statistics
Market CapCA$182.82b
Earnings (TTM)CA$14.05b
Revenue (TTM)CA$42.92b

13.0x

P/E Ratio

1.9x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TD income statement (TTM)
RevenueCA$42.92b
Cost of RevenueCA$0
Gross ProfitCA$42.92b
ExpensesCA$28.87b
EarningsCA$14.05b

Last Reported Earnings

Oct 31, 2021

Next Earnings Date

Mar 03, 2022

Earnings per share (EPS)7.71
Gross Margin100.00%
Net Profit Margin32.74%
Debt/Equity Ratio310.5%

How did TD perform over the long term?

See historical performance and comparison

Dividends

3.5%

Current Dividend Yield

41%

Payout Ratio

Valuation

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

19.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TD (CA$100.3) is trading below our estimate of fair value (CA$124.06)

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 poor value based on its PE Ratio (13x) compared to the Canadian Banks industry average (12.4x).

PE vs Market: TD is poor value based on its PE Ratio (13x) compared to the Canadian market (12.8x).


Price to Earnings Growth Ratio

PEG Ratio: TD is poor value based on its PEG Ratio (6.3x)


Price to Book Ratio

PB vs Industry: TD is overvalued based on its PB Ratio (1.9x) compared to the CA Banks industry average (1.7x).


Future Growth

How is Toronto-Dominion Bank forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TD's forecast earnings growth (2.1% per year) is above the savings rate (1.6%).

Earnings vs Market: TD's earnings (2.1% per year) are forecast to grow slower than the Canadian market (10.9% per year).

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

Revenue vs Market: TD's revenue (2.7% per year) is forecast to grow slower than the Canadian market (5.6% per year).

High Growth Revenue: TD's revenue (2.7% 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 (14.8%).


Past Performance

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

8.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TD has high quality earnings.

Growing Profit Margin: TD's current net profit margins (32.7%) are higher than last year (31.9%).


Past Earnings Growth Analysis

Earnings Trend: TD's earnings have grown by 8.1% per year over the past 5 years.

Accelerating Growth: TD's earnings growth over the past year (20.8%) exceeds its 5-year average (8.1% per year).

Earnings vs Industry: TD earnings growth over the past year (20.8%) underperformed the Banks industry 41.4%.


Return on Equity

High ROE: TD's Return on Equity (14.3%) is considered low.


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 (17.3x) is moderate.

Allowance for Bad Loans: TD has a sufficient allowance for bad loans (265%).

Low Risk Liabilities: 73% 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 (61%) is appropriate.

Level of Bad Loans: TD has an appropriate level of bad loans (0.3%).


Dividend

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

3.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TD's dividend (3.55%) is higher than the bottom 25% of dividend payers in the Canadian market (1.61%).

High Dividend: TD's dividend (3.55%) is low compared to the top 25% of dividend payers in the Canadian market (4.79%).


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 (40.9%), 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 (44.8% payout ratio).


Next Steps

Management

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

4.2yrs

Average management tenure


CEO

Bharat Masrani (64 yo)

7.17yrs

Tenure

CA$10,524,991

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 ($USD8.40M) is above average for companies of similar size in the Canadian market ($USD5.93M).

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


Leadership Team

Experienced Management: TD's management team is considered experienced (4.2 years average tenure).


Board Members

Experienced Board: TD's board of directors are seasoned and experienced ( 10.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TD insiders have sold more shares than they have bought 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 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
  • Implied Market Cap: CA$182.824b
  • Shares outstanding: 1.82b
  • Website: https://www.td.com

Number of Employees


Location

  • The Toronto-Dominion Bank
  • PO Box 1
  • Toronto-Dominion Centre
  • Toronto
  • Ontario
  • M5K 1A2
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 23:25
End of Day Share Price2022/01/21 00:00
Earnings2021/10/31
Annual Earnings2021/10/31


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.