Toronto-Dominion Bank (TD.TO)

RY-T vs. TD-T. They both look very attractive at these levels. From the beginning of September until the last week in November. This year rate increases are going to help. We are testing an all time high and they will likely head up.

Prefers US banks to Canadian banks, but this one is becoming more and more a US bank. If you don’t want to buy US banks directly, this is a reasonable way of playing the US banking business.

One of his favourite banks. They’ve done an exceptional job of moving into the US market place. A well-known bank brand, and he sees that continuing. It is a back-door way of getting US exposure into a Canadian portfolio. He sees the dividend continuing to grow. A well-managed bank and they don’t make missteps.

This is in the right sector. It is going to give you as much safety as you are going to get by and large, through the SPDR Financial ETF (XLF-N). Chart shows a good long base from 2014 and into 2016, followed by the 1^st thrust in the latter part of 2016, i.e., the Trump bump. You want to see it get above the recent high of around $71-$72. It is the best bank out there. (Analysts’ price target is $74.)

(Market Call Minute.) Canadian banks are all great Holds, and this is still the best performing stock over the last 20 years in the banking sector, and will probably do just fine going forward

Just announced they were buying back about 20 million shares.He generally likes share buybacks. Feels this is a sign that they feel that they have more cash than they need. That is a good sign for the market. This price is as good as any.

This just blew out the numbers last quarter. Trading at a reasonable 1.7X BV. Great ROE in Canada, but are adding a fair amount of earnings power through their US network. With interest rates going up in Canada, and somewhat in the US, that benefits the bank. Dividend yield of 3.6%. (Analysts’ price target is $74.)

She likes the banks, and this one in particular. They had a very strong quarter. A year ago, people thought they were overvalued versus historical. Now, in terms of price to earnings and price to BV, they are in line with historical. Rising interest rates should be positive for banks. She also likes their US exposure. Dividend yield of 3.6%. (Analysts’ price target is $74.)

Historically Canadian banks reach a fairly important low around the end of September, and then move higher through until the end of November, when banks report 4^th quarter results. CEOs love to give you good news at that time. We are just about to enter a period of seasonal strength for this bank. Chart shows the price has been coming down, but has formed a nice base. Recently the stock has started to show positive momentum, and also has moved above its 20-day moving average. It might be a little early for a seasonal trade, but this is an interesting opportunity going into the fall.

Numbers were good, but he was disappointed in their US numbers. Thinks they have sorted things out with their branches and their staffing and will do better. At one time, they were trading at a premium, but that premium has gone away, but it will come back. Dividend yield of 3.6%. (Analysts’ price target is $74.)

They have never cut their dividend to his knowledge. They reported very strong earnings. They are about the 10^th largest bank in the US. The ROE is starting to come up in the US. The yield is decent.

Power Financial (PWF-T) or Toronto Dominion Bank (TD-T)? He would take the simpler course and go the bank, because Power Financial is associated with all kinds of financial services. Then there is the parent, and then there is the family. The Canadian banking base is tremendously strong.

The Canadian bank stock group is one of the cheapest groups. Their latest earnings were superb. From a long-term point of view, the $64 level has been about a 9-year base on a P/B basis. The one thing that has thrown him is that they’ve said they are going to be buying back stock. He doesn’t like companies that buy back stocks. Dividend yield of 3.5%. (Analysts’ price target is $74.)

They had an issue in March with respect to aggressive sales practices, which has kind of hung over them a little. They’ve always been one of the better banks, but seem to be lagging a little. He didn’t own this bank because the exposure to the US was a concern, but it is no longer a concern.

Thinks we are going to see pretty good earnings. They had a very strong 1^st quarter, and then the stock got smacked around because of sales practices. These things should pass over time. All Canadian banks are inexpensive. He is expecting lots of dividend increases and good future growth. In the past few years, Canadian banks have defied expectations with 6%-8% earnings growth. The stock prices have gone up, but not enough to compensate for the 6%-8% earnings growth. If they can deliver 4%-5% earnings growth going forward, plus a 4% dividend yield and dividend increases, you are going to make double digit returns going forward.