- TD Bank’s second quarter adjusted EPS (Earnings Per Share) has beaten estimates, scoring C$2.04 against a projected C$1.85.
- The bank’s provision for credit losses amounted to C$1.07 billion, slightly higher than the estimated C$1 billion.
- Common equity Tier 1 ratio stood a bit lower at 13.4% as compared to the estimated 13.5%.
- TD Bank achieved a return on equity of 9.5% while the adjusted ROE turned out to be 14.5%, significantly higher than the estimated 13.2%.
- The efficiency ratio of the bank was recorded at 60.8%.
- Net income for this quarter was reported at C$2.56 billion.
- Income from Canadian personal and commercial business reached C$1.74 billion while the U.S. Retail net income stood at C$580 million.
- Wealth Management & Insurance recorded a net income of C$621 million whereas the Wholesale Banking net income was revealed to be C$361 million.
- The bank’s total revenue for this quarter was C$13.82 billion.
- Book value per share was sightly less than estimated, being C$57.69 against the estimated C$57.81.
- Finally, the bank received 9 buys, 7 holds and 2 sells from analysts.
A look at Toronto Dominion Bank Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to Smartkarma Smart Scores, the long-term outlook for Toronto Dominion Bank appears promising. With high scores in Value and Dividend at 4 each, the bank showcases strong fundamentals and a commitment to rewarding its shareholders. This indicates a stable financial position and a focus on generating returns for investors through dividends.
While the Growth score is slightly lower at 3, indicating moderate growth prospects, the bank has scores of 2 in Resilience and 3 in Momentum. This suggests a need for potential improvements in withstanding economic downturns and seizing opportunities to enhance performance in the market. Overall, The Toronto-Dominion Bank holds a diversified business offering banking services nationally and internationally, catering to various clients and sectors.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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