TORONTO-DOMINION BANK (TD) Stock Fundamental Analysis
USA - NYSE:TD - CA8911605092 - Common Stock
81.74 USD
+0.42 (+0.52%)
Taking everything into account, TD scores 3 out of 10 in our fundamental rating. TD was compared to 388 industry peers in the Banks industry. There are concerns on the financial health of TD while its profitability can be described as average. 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 had a positive cash flow from operations.
In the past 5 years TD has always been profitable.
Of the past 5 years TD 4 years had a positive operating cash flow.
1.2 Ratios
TD has a Return On Assets of 1.00%. This is in the better half of the industry: TD outperforms 62.63% of its industry peers.
TD's Return On Equity of 16.21% is amongst the best of the industry. TD outperforms 95.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 16.21% | ||
| ROIC | N/A |
ROA(3y)0.6%
ROA(5y)0.66%
ROE(3y)10.54%
ROE(5y)11.57%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
TD has a better Profit Margin (29.98%) than 79.90% of its industry peers.
TD's Profit Margin has declined in the last couple of years.
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) | 29.98% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-23.85%
PM growth 5Y-12.17%
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.
Compared to 1 year ago, TD has less shares outstanding
TD has less shares outstanding than it did 5 years ago.
TD has a worse debt/assets ratio than last year.
2.2 Solvency
TD has a debt to FCF ratio of 15.32. This is a negative value and a sign of low solvency as TD would need 15.32 years to pay back of all of its debts.
TD has a Debt to FCF ratio of 15.32. This is amonst the worse of the industry: TD underperforms 81.19% of its industry peers.
A Debt/Equity ratio of 2.11 is on the high side and indicates that TD has dependencies on debt financing.
TD has a worse Debt to Equity ratio (2.11) than 89.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.11 | ||
| Debt/FCF | 15.32 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC15.93%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for TD have decreased by -0.13% in the last year.
TD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.11% yearly.
The Revenue has grown by 23.52% in the past year. This is a very strong growth!
Measured over the past years, TD shows a small growth in Revenue. The Revenue has been growing by 6.86% on average per year.
EPS 1Y (TTM)-0.13%
EPS 3Y-0.47%
EPS 5Y3.11%
EPS Q2Q%7.32%
Revenue 1Y (TTM)23.52%
Revenue growth 3Y10.26%
Revenue growth 5Y6.86%
Sales Q2Q%7.91%
3.2 Future
TD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.06% yearly.
The Revenue is expected to grow by 5.10% on average over the next years.
EPS Next Y8.14%
EPS Next 2Y8.02%
EPS Next 3Y8.6%
EPS Next 5Y8.06%
Revenue Next Year7.29%
Revenue Next 2Y5.68%
Revenue Next 3Y4.07%
Revenue Next 5Y5.1%
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 accelerating.
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 14.54.
Based on the Price/Earnings ratio, TD is valued a bit more expensive than the industry average as 69.59% of the companies are valued more cheaply.
TD is valuated rather cheaply when we compare the Price/Earnings ratio to 25.07, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 12.61, TD is valued correctly.
TD's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. TD is more expensive than 70.10% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.08, TD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.54 | ||
| Fwd PE | 12.61 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.34 | ||
| 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)1.79
PEG (5Y)4.67
EPS Next 2Y8.02%
EPS Next 3Y8.6%
5. Dividend
5.1 Amount
TD has a Yearly Dividend Yield of 3.68%.
TD's Dividend Yield is a higher than the industry average which is at 3.39.
TD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
5.2 History
The dividend of TD is nicely growing with an annual growth rate of 7.39%!
TD has been paying a dividend for at least 10 years, so it has a reliable track record.
TD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.39%
Div Incr Years14
Div Non Decr Years18
5.3 Sustainability
37.08% of the earnings are spent on dividend by TD. This is a low number and sustainable payout ratio.
The dividend of TD is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP37.08%
EPS Next 2Y8.02%
EPS Next 3Y8.6%
NYSE:TD (11/21/2025, 1:06:06 PM)
81.74
+0.42 (+0.52%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners56.42%
Inst Owner Change-1.07%
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap139.03B
Revenue(TTM)67.80B
Net Income(TTM)20.33B
Analysts78.18
Price Target82.99 (1.53%)
Short Float %0.32%
Short Ratio3.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
Yearly Dividend2.88
Dividend Growth(5Y)7.39%
DP37.08%
Div Incr Years14
Div Non Decr Years18
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.22%
Min EPS beat(2)3.97%
Max EPS beat(2)8.48%
EPS beat(4)3
Avg EPS beat(4)1.09%
Min EPS beat(4)-8.09%
Max EPS beat(4)8.48%
EPS beat(8)5
Avg EPS beat(8)0.47%
EPS beat(12)6
Avg EPS beat(12)-0.76%
EPS beat(16)8
Avg EPS beat(16)-0.34%
Revenue beat(2)1
Avg Revenue beat(2)1.04%
Min Revenue beat(2)-2.05%
Max Revenue beat(2)4.13%
Revenue beat(4)2
Avg Revenue beat(4)4.15%
Min Revenue beat(4)-2.05%
Max Revenue beat(4)15.62%
Revenue beat(8)6
Avg Revenue beat(8)4.62%
Revenue beat(12)8
Avg Revenue beat(12)5.4%
Revenue beat(16)11
Avg Revenue beat(16)3.95%
PT rev (1m)5.81%
PT rev (3m)14.81%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.72%
EPS NY rev (1m)0%
EPS NY rev (3m)5.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.42%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-1.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.54 | ||
| Fwd PE | 12.61 | ||
| P/S | 2.88 | ||
| P/FCF | 11.34 | ||
| P/OCF | 10.05 | ||
| P/B | 1.56 | ||
| P/tB | 1.89 | ||
| EV/EBITDA | N/A |
EPS(TTM)5.62
EY6.88%
EPS(NY)6.48
Fwd EY7.93%
FCF(TTM)7.21
FCFY8.82%
OCF(TTM)8.14
OCFY9.95%
SpS28.34
BVpS52.42
TBVpS43.19
PEG (NY)1.79
PEG (5Y)4.67
Graham Number81.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 16.21% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 29.98% | ||
| GM | N/A | ||
| FCFM | 25.43% |
ROA(3y)0.6%
ROA(5y)0.66%
ROE(3y)10.54%
ROE(5y)11.57%
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-23.85%
PM growth 5Y-12.17%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.11 | ||
| Debt/FCF | 15.32 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 103.88% | ||
| Cap/Sales | 3.28% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 84.82% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC15.93%
ROIC/WACCN/A
Cap/Depr(3y)95.41%
Cap/Depr(5y)84.59%
Cap/Sales(3y)3.47%
Cap/Sales(5y)3.42%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.13%
EPS 3Y-0.47%
EPS 5Y3.11%
EPS Q2Q%7.32%
EPS Next Y8.14%
EPS Next 2Y8.02%
EPS Next 3Y8.6%
EPS Next 5Y8.06%
Revenue 1Y (TTM)23.52%
Revenue growth 3Y10.26%
Revenue growth 5Y6.86%
Sales Q2Q%7.91%
Revenue Next Year7.29%
Revenue Next 2Y5.68%
Revenue Next 3Y4.07%
Revenue Next 5Y5.1%
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 1Y121.83%
FCF growth 3Y2.5%
FCF growth 5YN/A
OCF growth 1Y125.2%
OCF growth 3Y3.1%
OCF growth 5Y189.32%
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 for TD stock?
ChartMill assigns a valuation rating of 3 / 10 to TORONTO-DOMINION BANK (TD). This can be considered as Overvalued.
What is the profitability of TD stock?
TORONTO-DOMINION BANK (TD) has a profitability rating of 4 / 10.
What are the PE and PB ratios of TORONTO-DOMINION BANK (TD) stock?
The Price/Earnings (PE) ratio for TORONTO-DOMINION BANK (TD) is 14.54 and the Price/Book (PB) ratio is 1.56.
Is the dividend of TORONTO-DOMINION BANK sustainable?
The dividend rating of TORONTO-DOMINION BANK (TD) is 8 / 10 and the dividend payout ratio is 37.08%.