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Choppy session before tariffsThis Week’s Stock Picks & BNN Top Picks Summary: AMZN-Q, CB-N and 23 Stock and 1 ETF Top Picks (Mar 21-27)Tariff reports lift stocksThis summary was created by AI, based on 95 opinions in the last 12 months.
Toronto Dominion (TD) is currently navigating significant challenges, including a $3 billion fine related to money laundering and restrictions on its U.S. growth, leading many analysts to express caution. Despite these issues, TD is recognized as a strong player in the Canadian banking sector, with a solid balance sheet and a robust dividend yield. While some experts see a potential for recovery, particularly in its Canadian operations, the consensus is that TD will remain in the 'penalty box' for some time as it addresses regulatory scrutiny. Analysts highlight that the stock is trading at a discount to its peers, making it an attractive option for long-term investors focused on income rather than growth. Overall, while there are many uncertainties, the sentiment suggests a mix of cautious optimism for eventual rebounds in both profitability and stock valuation once the regulatory clouds clear.
Held up fairly well all things considered, as money's rotated out of large-cap financials. Support is around $74 with the December retest. Bumping up against resistance close to $86. That's the range, and we're waiting to see if it goes through. Financials have started to struggle, so this could go either way.
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.
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.
(Analysts’ price target is $87.44)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%.
Toronto Dominion is a Canadian stock, trading under the symbol TD-T on the Toronto Stock Exchange (TD-CT). It is usually referred to as TSX:TD or TD-T
In the last year, 30 stock analysts published opinions about TD-T. 10 analysts recommended to BUY the stock. 10 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Toronto Dominion.
Toronto Dominion was recommended as a Top Pick by on . Read the latest stock experts ratings for Toronto Dominion.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
30 stock analysts on Stockchase covered Toronto Dominion In the last year. It is a trending stock that is worth watching.
On 2025-04-03, Toronto Dominion (TD-T) stock closed at a price of $82.64.
Issues in US last year, and growth is probably capped there. Strong Canadian branch presence with consistent earnings and growth. Still have to see new management performance. Increased costs due to compliance and risk assessment procedures. Stock's done well, still some room to go.