TORONTO-DOMINION BANK (TD.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:TD - CA8911605092 - Common Stock
129.55 CAD
+0.88 (+0.68%)
TD gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 24 industry peers in the Banks industry. There are concerns on the financial health of TD while its profitability can be described as average. TD is quite expensive at the moment. It does show a decent growth rate. TD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year TD was profitable.
- In the past year TD has reported a negative cash flow from operations.
- Each year in the past 5 years TD has been profitable.
- The reported operating cash flow has been mixed in the past 5 years: TD reported negative operating cash flow in multiple years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.95%, TD belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
- The Return On Equity of TD (15.63%) is better than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 15.63% | ||
| ROIC | N/A |
ROA(3y)0.62%
ROA(5y)0.72%
ROE(3y)10.61%
ROE(5y)12.26%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of TD (29.47%) is better than 79.17% of its industry peers.
- In the last couple of years the Profit Margin of TD has grown nicely.
- The Operating Margin and Gross Margin are not available for TD so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 29.47% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.59%
PM growth 5Y2.04%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- TD does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for TD has been reduced compared to 1 year ago.
- TD has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, TD has a worse debt to assets ratio.
2.2 Solvency
- A Debt/Equity ratio of 2.20 is on the high side and indicates that TD has dependencies on debt financing.
- The Debt to Equity ratio of TD (2.20) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.59%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 7.17% over the past year.
- Measured over the past years, TD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.32% on average per year.
- Looking at the last year, TD shows a quite strong growth in Revenue. The Revenue has grown by 18.44% in the last year.
- Measured over the past years, TD shows a quite strong growth in Revenue. The Revenue has been growing by 9.20% on average per year.
EPS 1Y (TTM)7.17%
EPS 3Y0%
EPS 5Y9.32%
EPS Q2Q%26.74%
Revenue 1Y (TTM)18.44%
Revenue growth 3Y11.4%
Revenue growth 5Y9.2%
Sales Q2Q%-7.01%
3.2 Future
- Based on estimates for the next years, TD will show a small growth in Earnings Per Share. The EPS will grow by 7.90% on average per year.
- Based on estimates for the next years, TD will show a small growth in Revenue. The Revenue will grow by 5.07% on average per year.
EPS Next Y11.62%
EPS Next 2Y11.51%
EPS Next 3Y8.22%
EPS Next 5Y7.9%
Revenue Next Year5.54%
Revenue Next 2Y4.91%
Revenue Next 3Y5.75%
Revenue Next 5Y5.07%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- TD is valuated correctly with a Price/Earnings ratio of 15.48.
- TD's Price/Earnings ratio is rather expensive when compared to the industry. TD is more expensive than 87.50% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, TD is valued a bit cheaper.
- The Price/Forward Earnings ratio is 13.87, which indicates a correct valuation of TD.
- TD's Price/Forward Earnings ratio is rather expensive when compared to the industry. TD is more expensive than 91.67% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.30, TD is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.48 | ||
| Fwd PE | 13.87 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.33
PEG (5Y)1.66
EPS Next 2Y11.51%
EPS Next 3Y8.22%
5. Dividend
5.1 Amount
- TD has a Yearly Dividend Yield of 3.24%.
- TD's Dividend Yield is a higher than the industry average which is at 3.33.
- TD's Dividend Yield is rather good when compared to the S&P500 average which is at 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.24% |
5.2 History
- On average, the dividend of TD grows each year by 9.90%, which is quite nice.
- TD has been paying a dividend for at least 10 years, so it has a reliable track record.
- TD has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.9%
Div Incr Years14
Div Non Decr Years18
5.3 Sustainability
- TD pays out 38.37% of its income as dividend. This is a sustainable payout ratio.
- The dividend of TD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.37%
EPS Next 2Y11.51%
EPS Next 3Y8.22%
TSX:TD (1/21/2026, 7:00:00 PM)
129.55
+0.88 (+0.68%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)12-04 2025-12-04/bmo
Earnings (Next)02-26 2026-02-26/bmo
Inst Owners58.1%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap219.78B
Revenue(TTM)67.78B
Net Income(TTM)19.97B
Analysts77.39
Price Target132.24 (2.08%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.24% |
Yearly Dividend4.46
Dividend Growth(5Y)9.9%
DP38.37%
Div Incr Years14
Div Non Decr Years18
Ex-Date01-09 2026-01-09 (1.08)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.13%
Min EPS beat(2)3.97%
Max EPS beat(2)4.29%
EPS beat(4)4
Avg EPS beat(4)4.18%
Min EPS beat(4)0%
Max EPS beat(4)8.48%
EPS beat(8)6
Avg EPS beat(8)1.81%
EPS beat(12)6
Avg EPS beat(12)-0.65%
EPS beat(16)8
Avg EPS beat(16)-0.29%
Revenue beat(2)1
Avg Revenue beat(2)1.91%
Min Revenue beat(2)-0.3%
Max Revenue beat(2)4.13%
Revenue beat(4)1
Avg Revenue beat(4)0.17%
Min Revenue beat(4)-2.05%
Max Revenue beat(4)4.13%
Revenue beat(8)5
Avg Revenue beat(8)4.26%
Revenue beat(12)7
Avg Revenue beat(12)2.99%
Revenue beat(16)10
Avg Revenue beat(16)3.82%
PT rev (1m)6.45%
PT rev (3m)21.07%
EPS NQ rev (1m)-0.37%
EPS NQ rev (3m)1.86%
EPS NY rev (1m)1.86%
EPS NY rev (3m)3.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.39%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.48 | ||
| Fwd PE | 13.87 | ||
| P/S | 3.24 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.72 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | N/A |
EPS(TTM)8.37
EY6.46%
EPS(NY)9.34
Fwd EY7.21%
FCF(TTM)-42.32
FCFYN/A
OCF(TTM)-41.05
OCFYN/A
SpS39.95
BVpS75.35
TBVpS62.15
PEG (NY)1.33
PEG (5Y)1.66
Graham Number119.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 15.63% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 29.47% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.62%
ROA(5y)0.72%
ROE(3y)10.61%
ROE(5y)12.26%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.59%
PM growth 5Y2.04%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 99.03% | ||
| Cap/Sales | 3.16% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC13.59%
ROIC/WACCN/A
Cap/Depr(3y)100.98%
Cap/Depr(5y)87.98%
Cap/Sales(3y)3.54%
Cap/Sales(5y)3.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.17%
EPS 3Y0%
EPS 5Y9.32%
EPS Q2Q%26.74%
EPS Next Y11.62%
EPS Next 2Y11.51%
EPS Next 3Y8.22%
EPS Next 5Y7.9%
Revenue 1Y (TTM)18.44%
Revenue growth 3Y11.4%
Revenue growth 5Y9.2%
Sales Q2Q%-7.01%
Revenue Next Year5.54%
Revenue Next 2Y4.91%
Revenue Next 3Y5.75%
Revenue Next 5Y5.07%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-236.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-226.77%
OCF growth 3YN/A
OCF growth 5YN/A
TORONTO-DOMINION BANK / TD.CA FAQ
What is the ChartMill fundamental rating of TORONTO-DOMINION BANK (TD.CA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to TD.CA.
What is the valuation status of TORONTO-DOMINION BANK (TD.CA) stock?
ChartMill assigns a valuation rating of 2 / 10 to TORONTO-DOMINION BANK (TD.CA). This can be considered as Overvalued.
Can you provide the profitability details for TORONTO-DOMINION BANK?
TORONTO-DOMINION BANK (TD.CA) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for TD stock?
The Earnings per Share (EPS) of TORONTO-DOMINION BANK (TD.CA) is expected to grow by 11.62% in the next year.
How sustainable is the dividend of TORONTO-DOMINION BANK (TD.CA) stock?
The dividend rating of TORONTO-DOMINION BANK (TD.CA) is 7 / 10 and the dividend payout ratio is 38.37%.