TORONTO-DOMINION BANK (TD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TD - CA8911605092 - Common Stock
93.85 USD
-0.22 (-0.23%)
93.74 USD
-0.11 (-0.12%)
Taking everything into account, TD scores 3 out of 10 in our fundamental rating. TD was compared to 383 industry peers in the Banks industry. Both the profitability and financial health of TD have multiple concerns. While showing a medium growth rate, TD is valued expensive at the moment. TD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- TD had positive earnings in the past year.
- 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 is in line with its industry, outperforming 55.09% of the companies in the same industry.
- With an excellent Return On Equity value of 15.63%, TD belongs to the best of the industry, outperforming 94.26% of the companies in the same industry.
| 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
- TD's Profit Margin of 29.47% is fine compared to the rest of the industry. TD outperforms 77.02% of its industry peers.
- In the last couple of years the Profit Margin of TD has grown nicely.
- TD does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| 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.
- TD has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for TD has been reduced compared to 5 years ago.
- TD has a worse debt/assets ratio than last year.
2.2 Solvency
- TD has a Debt/Equity ratio of 2.20. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 2.20, TD is not doing good in the industry: 88.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC14.47%
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.
- The Earnings Per Share has been growing by 9.32% on average over the past years. This is quite good.
- The Revenue has grown by 18.44% in the past year. This is quite good.
- 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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- 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
- A Price/Earnings ratio of 15.59 indicates a correct valuation of TD.
- 67.62% of the companies in the same industry are cheaper than TD, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.47, TD is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 13.97, the valuation of TD can be described as correct.
- TD's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. TD is more expensive than 70.50% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of TD to the average of the S&P500 Index (24.26), we can say TD is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.59 | ||
| Fwd PE | 13.97 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- TD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.34
PEG (5Y)1.67
EPS Next 2Y11.51%
EPS Next 3Y8.22%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.23%, TD has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 2.88, TD pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.87, TD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
5.2 History
- The dividend of TD is nicely growing with an annual growth rate of 9.90%!
- 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
- 38.37% of the earnings are spent on dividend by TD. This is a low number and sustainable payout ratio.
- TD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP38.37%
EPS Next 2Y11.51%
EPS Next 3Y8.22%
93.85
-0.22 (-0.23%)
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 Change0%
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap159.21B
Revenue(TTM)67.78B
Net Income(TTM)19.97B
Analysts77.39
Price Target95.27 (1.51%)
Short Float %0.43%
Short Ratio3.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
Yearly Dividend3.21
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)6.99%
PT rev (3m)21.45%
EPS NQ rev (1m)1.03%
EPS NQ rev (3m)1.86%
EPS NY rev (1m)1.85%
EPS NY rev (3m)3.73%
Revenue NQ rev (1m)0.75%
Revenue NQ rev (3m)2.39%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.59 | ||
| Fwd PE | 13.97 | ||
| P/S | 3.27 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.73 | ||
| P/tB | 2.1 | ||
| EV/EBITDA | N/A |
EPS(TTM)6.02
EY6.41%
EPS(NY)6.72
Fwd EY7.16%
FCF(TTM)-30.44
FCFYN/A
OCF(TTM)-29.53
OCFYN/A
SpS28.73
BVpS54.19
TBVpS44.7
PEG (NY)1.34
PEG (5Y)1.67
Graham Number85.68
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
WACC14.47%
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 FAQ
What is the ChartMill fundamental rating of TORONTO-DOMINION BANK (TD) stock?
ChartMill assigns a fundamental rating of 3 / 10 to TD.
What is the valuation status of TORONTO-DOMINION BANK (TD) stock?
ChartMill assigns a valuation rating of 2 / 10 to TORONTO-DOMINION BANK (TD). This can be considered as Overvalued.
Can you provide the profitability details for TORONTO-DOMINION BANK?
TORONTO-DOMINION BANK (TD) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for TD stock?
The Earnings per Share (EPS) of TORONTO-DOMINION BANK (TD) is expected to grow by 11.62% in the next year.
How sustainable is the dividend of TORONTO-DOMINION BANK (TD) stock?
The dividend rating of TORONTO-DOMINION BANK (TD) is 7 / 10 and the dividend payout ratio is 38.37%.