TSE:TD

Toronto-Dominion Bank (TD.TO)

170.03
-0.87 (0.51%)
as of Jun 26, 2026, 8:00:00 pm Market Open.
2225 watching
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Investor Insights
star iconJun 26, 2026, 12:00 am

This summary was created by AI, based on 61 opinions in the last 12 months.

Toronto-Dominion Bank (TD) has garnered mixed reviews from experts, reflecting a combination of concerns and optimism surrounding its recent performance and future outlook. The bank has rebounded from past issues, including a money-laundering scandal, showing strong earnings with growth primarily driven by its Canadian operations. However, many analysts caution that TD's stock is currently trading at historically high price-to-earnings (PE) ratios, suggesting the potential for overvaluation, and recommend trimming positions or waiting for better buying opportunities. Concerns about growth limitations in the US and the overall banking sector’s high valuations contribute to a cautious stance, despite the solid growth trajectory seen in earnings and dividends. Overall, while TD remains a strong player in Canadian banking, adjustments to holdings appear prudent for many investors at this stage.

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Consensus
Trim
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Valuation
Overvalued
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Similar
RY
COMMENT
Watch the entire sector. They have had a pretty good run. Don’t chase any of these financials. Be very selective. US expansion is going fairly well. TD has a plan in the states and so far so good. He doesn’t think a big bet in the US right now is that prudent and they are not doing that.
COMMENT
TD Capital Trust II Bonds callable 2012, due 2052 with a 6.792% coupon. Fairly confident these will be called Dec 31/12. When this was initiated, it was always intended to be a 10-year deal.
BUY
Has owned it forever along with BMO and RY. One of the worries he has, not for this year, is the direction of interest rates. There is a risk they will go up sometime next year. He thinks banks are selling at a discount to the market.
COMMENT
Starting to get a bit overbought and is starting to turn. Banks are decent long-term plays and you are getting a good dividend so good for a long-term hold. Dividend increase is forecast. If you want to trade, you can sell and buy back at $70-$72.50, the 50 and 200 day moving averages.
PAST TOP PICK
(A Top Pick Nov 19/09. Up 13%.) Gone substantially more into retail banking in the US. Well managed bank with a great model. (See Top Picks.)
TOP PICK
Just reported very solid numbers. Likes the US where they are quite profitable. Could see $80. About 3% yield and is almost certain they will raise the dividend in 2011.
TOP PICK
Has done a strategic job of getting into the US market and operating their acquisitions. He is buying below $70. There is no rush.
COMMENT
Capital Trust II bonds callable 12/31/2012 due 2025 with a 6.792 coupon rate. Likelihood of them being called on 12/31/2012? Very high probability as banks have always called them even during a crisis. Banks are over capitalized right now.
PAST TOP PICK
(A Top Pick June 24/09. Up 10.74%.) Bank rate reset preferred shares (TD.PR.A-T). Still likes.
TOP PICK
(A Top Pick Aug 5/09. Up 13% including dividends.) This is his core Canadian bank holding. Still reasonably priced at 10X next year's earnings. 3.5% dividend yield. Likes their recent moves into the US.
WEAK BUY
Deploys capital very efficiently. Big risks going forward would be expansion in the US but have such a dynamic retail business he is not concerned. Expect a normalized rate of return of dividend plus 5%.
PAST TOP PICK
(A Top Pick Aug 5/09. Up 13.39%.)
TOP PICK
Sees 14% earnings growth from 2011 versus 2010. Dominant market share in Canada in the personal/commercial business. Growing in the US. Part of the earnings growth comes from his belief that credit losses will continue to improve. As interest rates rise, it helps the margins.
PAST TOP PICK
(A Top Pick July 21/09. Up 13%.) 4.779% bond due12/14/16. This is one of his favourite banks. Good balance sheet.
BUY
If you have a horizon of more than 3 months you will be happy. The strong consumer franchise in the States will work out. Now is the time to buy.
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