Toronto Dominion (TD-T)

Just moved up off the bottom of a very long-term channel. Long way to go to get back to usual high. Still under both Canadian and US regulatory scrutiny. Very well run, aside from a nasty US stumble. Quality and value will come through.

Issues with money laundering. Stock price has started to recover, but yet to regain its lustre. He'd rather own the best-quality banks, which are RY and NA.

Canadian personal and commercial businesses are excellent and dominant. US business is a fixer-upper, and they will. Wholesale business is subject to the vagaries of the capital markets. Wealth management is quite good. Watch DIY investing, as it seems to be doubling down on growth aspirations. Liked the Schwab sale; using proceeds to buy back shares. Dark clouds are finally parting.

Beat today, strong capital markets, strong trading especially in the US. Shrinking balance sheet to comply with US regulators. Earnings estimates for all banks have come up a lot. All banks will go higher if no tariffs and our economy stays good, though TD will probably participate least. In the penalty box.

If tariffs go on and stay on, credit loss provisions will go up quite a bit. Only buy if you feel tariffs aren't going to happen.

The issue was in the U.S. resulting in a big fine but that is now out of the way. TD now has an opportunity to get rid of businesses not giving a good rate of return and an opportunity to do a better job than other banks. It has more exposure to the retail side. Also volatility helps investment banking. TD is under the microscope.

With the money laundering scandal, she trimmed. Still has US operations, so will benefit from capital markets activity. Can focus on its Canadian operations. Kept it because of its very attractive valuation and yield. Can still grow in other areas; US retail represents only 25% of earnings. Very strong balance sheet, can use it to buy back stock.

He'd lean towards adding near term. Stock's beaten up, has rallied off lows. Cheapest valuation of all Canadian banks. Less exposed to US tariff risk, as it has a big US presence. Leadership change, Schwab sale, share buybacks.

Canada has 6 banks and the US has 9,000. TD should have taken warnings from the US regulator more seriously, before the regulators clobbered them with that penalty. TD should have changed their board and CEO faster and sooner; the market was upset with the lack of action and punished shares. Buying TD now at a discount and with the 3.5% dividend it pays is a bargain.

Keep holding - there have been sweeping changes to the board with good potential. It sold its stake in Schwab for $10 billion so it is well capitalized now. It is trading at 10 1/2 earnings which is better than the other banks. TD had under-performed and if catching up to its peers that would give 10% upside as well as the dividend.

This is his choice for those looking for income. Used to trade at a premium, but now trades at 10-11x PE, an absolute discount to peers. Really good balance sheet, and shareholders will benefit. Schwab sale should net ~$20B, and most of that will be for share buybacks. Business won't grow, but EPS has really good growth potential. 

Collect the dividend for 3-5 years while you wait for a multiple re-rating. That'll give income-seeking investors a better total return. Yield is 4.9%.

Is a lower-volatility stock, so options are less expensive than others. Also, call premiums will be weighed down by the dividend. Wait for a pullback before entering and selling a put. 

Will stick with it, still trading at a discount to peers, 10.5x PE vs. 11.9x PE. Investors are regaining some confidence recently with a new CEO, big board changes, including a compliance officer from JPM. Plus, it pays a 5% dividend yield. It has underperformed, but TD has more upside as it catches up.

During the Trump tariff sell-off yesterday, TD may have been the best performer among the Big Five banks, partly because shares are down far already, but also because they are diversified outside Canada. The more Canadian-exposed banks got hit worse. Nobody knows the impact of tariffs, but TD is in a better position than peers.

Yes, very safe. Payout ratio is ~53%, in line with the bank average around 54%, so put away that worry. The better question is do you want to put new $$ to work here right now? It'll go higher if Canadian banks go higher, and they will grind higher under friendlier regulations. If banks go up over the next year, TD will participate but move up less.

Relative to the group, this one's going to be in the penalty box for quite a while. Growth will slow due to extra compliance. M&A seriously challenged due to lack of targets in Canada and regulatory constraints in US. You're better with US banks here, or BMO in Canada.

If you own it already, you'll be fine to hold and collect your dividend. If it goes to $78-79, write some puts and oblige yourself to own it.

Board changes and accelerated CEO start date are steps in the right direction. Gave investors the right message about being serious and changing the guard. Market cheered that, but stock probably got ahead of itself.

Money-laundering issues made them rethink their thesis. Limits on US personal banking growth mean it can't execute on expected numbers. Rotated out and into RY with its strong wealth management, giving their portfolio the needed US exposure.