Toronto Dominion Bank (NYSE:TD) Posts Earnings Results, Beats Expectations By $0.13 EPS

Toronto Dominion Bank (NYSE:TD) (TSE:TD) issued its earnings results on Thursday. The bank reported $1.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.63 by $0.13, Zacks reports. Toronto Dominion Bank had a net margin of 16.52% and a return on equity of 13.90%. The firm had revenue of $11.01 billion for the quarter, compared to analysts’ expectations of $10.43 billion. During the same quarter last year, the business earned $2.02 earnings per share. The business’s revenue was up 18.1% on a year-over-year basis.

Here are the key takeaways from Toronto Dominion Bank’s conference call:

• Record quarter — TD reported Q1 record earnings of CAD 4.2 billion and EPS of CAD 2.44, driving ROE to about 14.2% and broad revenue growth across businesses.
• Capital returns and position — the bank completed an $8B buyback, launched a new $7B program (≈84M shares repurchased across both), and remains on a path to manage toward a 13% CET1 by H2 FY2027 while emphasizing consistent excess-capital returns.
• Credit pick-up in wholesale and U.S. commercial — impaired PCLs rose driven by a small number of borrowers (more than half of the increase from a single wholesale borrower), though management says overall PCLs remain within the guided 40–50 bps range.
• Cost and productivity program — restructuring charges this quarter totaled CAD 200M (CAD 886M cumulative) with expected annualized pre-tax savings of CAD 775M and a medium-term cost-takeout target of CAD 2.2–2.5B, supported by scaled AI initiatives targeting CAD 1B of value.
• U.S. Banking momentum and Nordstrom conversion — U.S. proprietary card balances grew ~15% YoY and the Nordstrom card conversion completed (scales the card franchise), but TD expects a Q2 receivable accounting adjustment of about $145M and is reclassifying certain tax-related items to improve U.S. efficiency metrics.

Toronto Dominion Bank Stock Down 1.5%

Shares of Toronto Dominion Bank stock traded down $1.47 during midday trading on Friday, hitting $97.31. The company had a trading volume of 3,482,584 shares, compared to its average volume of 2,574,451. Toronto Dominion Bank has a 52-week low of $54.87 and a 52-week high of $99.84. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.03 and a current ratio of 1.03. The stock has a market capitalization of $162.63 billion, a P/E ratio of 11.54, a P/E/G ratio of 1.30 and a beta of 0.67. The company has a 50 day moving average of $95.00 and a 200 day moving average of $85.38.

Toronto Dominion Bank Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, April 30th. Stockholders of record on Thursday, April 9th will be given a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date of this dividend is Thursday, April 9th. Toronto Dominion Bank’s payout ratio is currently 37.37%.

Institutional Investors Weigh In On Toronto Dominion Bank

Institutional investors have recently modified their holdings of the stock. The Manufacturers Life Insurance Company raised its position in shares of Toronto Dominion Bank by 10.6% in the 4th quarter. The Manufacturers Life Insurance Company now owns 17,014,836 shares of the bank’s stock worth $1,606,978,000 after purchasing an additional 1,629,062 shares during the last quarter. AQR Capital Management LLC grew its position in Toronto Dominion Bank by 1,443.3% during the 4th quarter. AQR Capital Management LLC now owns 1,449,855 shares of the bank’s stock valued at $136,642,000 after purchasing an additional 1,355,907 shares during the last quarter. Bank of Nova Scotia increased its stake in Toronto Dominion Bank by 6.8% during the 4th quarter. Bank of Nova Scotia now owns 19,486,741 shares of the bank’s stock valued at $1,836,518,000 after purchasing an additional 1,234,510 shares in the last quarter. Caisse de depot et placement du Quebec raised its holdings in Toronto Dominion Bank by 70.1% in the third quarter. Caisse de depot et placement du Quebec now owns 2,360,000 shares of the bank’s stock worth $188,746,000 after buying an additional 972,513 shares during the last quarter. Finally, Amundi raised its holdings in Toronto Dominion Bank by 27.3% in the fourth quarter. Amundi now owns 3,448,492 shares of the bank’s stock worth $324,894,000 after buying an additional 739,679 shares during the last quarter. 52.37% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Toronto Dominion Bank

Here are the key news stories impacting Toronto Dominion Bank this week:

• Positive Sentiment: Record Q1 results and beats — TD reported adjusted Q1 earnings that topped estimates and revenue grew ~18%, driven by Canadian P&C and wholesale fee growth; this is the primary bullish catalyst. The Toronto‑Dominion Bank (TD) Q1 2026 Earnings Call Highlights: Record Earnings and Strategic …
• Positive Sentiment: Dividend increase/confirmation — TD declared a CA$1.08 quarterly common share dividend (payable Apr. 30), supporting income investors and reinforcing capital return credibility. TD BANK GROUP DECLARES DIVIDENDS
• Positive Sentiment: Strategic investment in AI and digital — Management highlighted scaling AI to remediate the U.S. AML program and other tech investments, which may lower future compliance costs and improve efficiency. TD Bank Scales AI to Fix AML Program
• Positive Sentiment: Momentum/valuation interest — Shares recently hit a 52‑week high and analysts/publications are re‑rating TD after robust results and strong total shareholder returns, attracting momentum flows. Toronto Dominion Bank (The) (TD) Hit a 52 Week High, Can the Run Continue?
• Neutral Sentiment: Valuation and investor takeaways — Analysts are revisiting TD’s valuation after record adjusted earnings and the new dividend; some coverage balances growth vs. price, useful for medium‑term positioning. Assessing TD Bank (TSX:TD) Valuation After Record Q1 Earnings And New Dividend
• Neutral Sentiment: Full filings/presentation available — Management released the earnings presentation and slide deck (useful for modeling segment performance and guidance). The Toronto‑Dominion Bank 2026 Q1 – Results – Earnings Call Presentation
• Negative Sentiment: GAAP EPS down year‑over‑year — While adjusted EPS beat, reported GAAP EPS were lower versus the prior year, and remediation/one‑time items remain watchpoints that could temper near‑term investor enthusiasm. Toronto Dominion Bank’s quarterly profit rises on higher interest income

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on TD shares. Weiss Ratings reissued a “buy (b)” rating on shares of Toronto Dominion Bank in a report on Wednesday, January 21st. Raymond James Financial upgraded shares of Toronto Dominion Bank to a “hold” rating in a report on Monday, November 24th. Zacks Research upgraded Toronto Dominion Bank from a “hold” rating to a “strong-buy” rating in a report on Wednesday, February 18th. Canadian Imperial Bank of Commerce lowered Toronto Dominion Bank from a “strong-buy” rating to a “hold” rating in a research report on Thursday, February 12th. Finally, Jefferies Financial Group cut shares of Toronto Dominion Bank from a “buy” rating to a “hold” rating in a research report on Tuesday, November 25th. Two equities research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $93.00.

About Toronto Dominion Bank

Toronto-Dominion Bank (TD) is a Canadian multinational banking and financial services company headquartered in Toronto, Ontario. Formed through the 1955 merger of the Bank of Toronto (founded 1855) and the Dominion Bank (founded 1869), TD is one of Canada’s largest banks and offers a broad range of financial products and services to individual, small business, commercial and institutional clients.

TD’s core businesses include Canadian and U.S. personal and commercial banking, wealth management, wholesale banking and insurance.