TSE:TD

Toronto-Dominion Bank (TD.TO)

158.67
+0.64 (0.40%)
as of Jun 5, 2026, 2:04:35 pm Market Open.
2224 watching
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Investor Insights
star iconJun 5, 2026, 12:00 am

This summary was created by AI, based on 64 opinions in the last 12 months.

Toronto-Dominion Bank (TD) has demonstrated significant recovery over the past year following its past money laundering scandal. Although the bank has recorded strong earnings and benefits from a robust Canadian economy, many analysts consider its current valuation to be on the higher end, with price-to-earnings (PE) ratios reaching levels beyond historical norms. Despite the impressive stock performance, experts suggest that the valuation may now be too rich, prompting some to recommend trimming positions or waiting for a more favorable buying opportunity. While TD maintains a strong position within the Canadian banking sector, growth prospects remain constrained, particularly in the U.S. market due to regulatory issues. Overall, while the outlook for TD remains positive, caution is advised due to potentially high valuations and limited growth avenues.

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Consensus
Hold
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Valuation
Overvalued
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RY, RY
BUY
Likes the banks in general. Favourites are this and Bank of Montreal (BMO-T) as they are the cheapest.
BUY
Management has done a good job in reducing the risk profile in the last several years. Their new acquisition, Banknorth Group will give them a US growth platform. Valuation is still reasonable at 12 1/2 X earnings. 3% yield.
BUY
There's always a risk with making US acquisitions, so will wacth this one. Generally he's a fan of the CEO and what he's done at the bank. Taken a lot of the risk out of the bank, educing the loan portfolio, moved more into a retail environment and stabilized the earnings.
TOP PICK
Enthusiastic about the changes put into play over the last couple of years in terms of risk management on the corporate side and also developing the retail side. Feels their entry into the US is a very prudent way of entry. 12 X earnings. 3% or so of dividends. Has decengt growth.
TOP PICK
Valuation looks attractive. Trading at an average multiple and over time it should get back to a premium multiple. Likes the acquisition in the US although it comes with some risk.
PAST TOP PICK
(A Top Pick Nov 18/04. Down slightly.) Likes their US Banknorth acquisition which is going to give them a good foray into the US market.
BUY
You could buy BankNorth shares, but owning TD is a better way to go. Not sure that TD's shares will bump up on this acquisition, more likely after BankNorth completes its acquisitions.
BUY ON WEAKNESS
Management team is the best in the business. They have a defined strategy of growth for the US. Short term will be difficult as valuations of financials in the US are at a premium so it will be hard to do accretive acquisitions. Longer term there will be some attractive assets come up. Can grow around 10%. Wait for a pull back.
TOP PICK
Not expensive and pays a good dividend. Has a great wealth management business. 2nd best Canadian retail franchise. Going into the US through Bank North is very risk averse and makes a lot of sense in the long term.
TOP PICK
Biggest challenge for banks is how to grow revenue. TD has gone outside of Canada and bought a 51% stake in Bank North. This has created a platform in the US to continue to grow and increase revenues. Of all the 5 banks, TD and Bank of Nova Scotia have the most amount of cash on their balance sheets.
HOLD
Doing well in their retail banking. Good management.
BUY
If your outlook is long term, Canadian banks are reasonable and could be bought now. For playing the market, wait for a drop by $1/2.
BUY
Favourite in the banks, but prefers insurance companies at this time. This is the cheapest bank based on projected earnings. The 2nd cheapest is the Bank of Montreal.
TOP PICK
This and CIBC are the more investment banking oriented banks, so tend to be more volatile, but also recover the best. Buying regional US banks, but leaving them to local management and leaving them as is on the NYSE. Raising their dividend.
BUY
#1 bank for value today is National. Differential of 21% between what they think it's worth and the current stock price. Toronto Dominion is #2 and Royal is #3. Not much difference between the current price and their model price. Banks have paused here for awhile.
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