TORONTO-DOMINION BANK (TD)
CA8911605092 - Common Stock
Overall TD gets a fundamental rating of 3 out of 10. We evaluated TD against 404 industry peers in the Banks industry. TD may be in some trouble as it scores bad on both profitability and health. TD has a valuation in line with the averages, but on the other hand it scores bad on growth. TD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year TD was profitable.
In the past year TD has reported a negative cash flow from operations.
Each year in the past 5 years TD has been profitable.
Of the past 5 years TD 4 years had a positive operating cash flow.
1.2 Ratios
TD's Return On Assets of 0.38% is on the low side compared to the rest of the industry. TD is outperformed by 78.80% of its industry peers.
TD has a Return On Equity of 6.78%. This is in the lower half of the industry: TD underperforms 61.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.38% | ||
| ROE | 6.78% | ||
| ROIC | N/A |
ROA(3y)0.74%
ROA(5y)0.74%
ROE(3y)12.87%
ROE(5y)12.76%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
TD has a Profit Margin of 13.80%. This is in the lower half of the industry: TD underperforms 77.06% of its industry peers.
In the last couple of years the Profit Margin of TD has declined.
The Operating Margin and Gross Margin are not available for TD so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 13.8% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-8.76%
PM growth 5Y-6.56%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
TD does not have a ROIC to compare to the WACC, probably because it is not profitable.
TD has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TD has been reduced compared to 5 years ago.
TD has a worse debt/assets ratio than last year.
2.2 Solvency
TD has a Debt/Equity ratio of 2.14. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of TD (2.14) is worse than 91.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC14.44%
2.3 Liquidity
A Current Ratio of 1.46 indicates that TD should not have too much problems paying its short term obligations.
TD has a Current ratio of 1.46. This is amongst the best in the industry. TD outperforms 99.00% of its industry peers.
TD has a Quick Ratio of 1.46. This is a normal value and indicates that TD is financially healthy and should not expect problems in meeting its short term obligations.
TD's Quick ratio of 1.46 is amongst the best of the industry. TD outperforms 99.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
TD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.04%.
The Earnings Per Share has been growing slightly by 4.31% on average over the past years.
Looking at the last year, TD shows a small growth in Revenue. The Revenue has grown by 3.58% in the last year.
Measured over the past years, TD shows a small growth in Revenue. The Revenue has been growing by 5.36% on average per year.
EPS 1Y (TTM)-5.04%
EPS 3Y14.23%
EPS 5Y4.31%
EPS Q2Q%3.02%
Revenue 1Y (TTM)3.58%
Revenue growth 3Y4.98%
Revenue growth 5Y5.36%
Sales Q2Q%8.94%
3.2 Future
TD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.84% yearly.
TD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.03% yearly.
EPS Next Y2.47%
EPS Next 2Y2.05%
EPS Next 3Y3.84%
EPS Next 5YN/A
Revenue Next Year8.1%
Revenue Next 2Y5.54%
Revenue Next 3Y5.33%
Revenue Next 5Y3.03%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.86, the valuation of TD can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of TD indicates a rather cheap valuation: TD is cheaper than 86.53% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.65, TD is valued rather cheaply.
TD is valuated reasonably with a Price/Forward Earnings ratio of 9.37.
TD's Price/Forward Earnings ratio is rather cheap when compared to the industry. TD is cheaper than 83.79% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TD to the average of the S&P500 Index (23.56), we can say TD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.37 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)3.99
PEG (5Y)2.29
EPS Next 2Y2.05%
EPS Next 3Y3.84%
5. Dividend
5.1 Amount
TD has a Yearly Dividend Yield of 5.12%, which is a nice return.
Compared to an average industry Dividend Yield of 3.02, TD pays a better dividend. On top of this TD pays more dividend than 93.52% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, TD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
5.2 History
The dividend of TD has a limited annual growth rate of 5.03%.
TD has paid a dividend for at least 10 years, which is a reliable track record.
TD has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.03%
Div Incr Years13
Div Non Decr Years17
5.3 Sustainability
TD pays out 93.98% of its income as dividend. This is not a sustainable payout ratio.
TD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP93.98%
EPS Next 2Y2.05%
EPS Next 3Y3.84%
TORONTO-DOMINION BANK
NYSE:TD (11/21/2024, 12:23:05 PM)
55.785
-0.16 (-0.28%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap97.51B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.37 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.99
PEG (5Y)2.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.38% | ||
| ROE | 6.78% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 13.8% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-5.04%
EPS 3Y14.23%
EPS 5Y
EPS Q2Q%
EPS Next Y2.47%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.58%
Revenue growth 3Y4.98%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y