The Toronto-Dominion Bank (NYSE: TD) stock fell -2.63% on Friday to $63.97 against a previous-day closing price of $65.70. With 1.74 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.86 million shares. During the session, the Banks – Diversified company that operates in wider Financial sector, reached to the highest price of $65.88 whereas the lowest price it dropped to was $63.97. The 52-week range on TD shows that it touched its highest point at $86.01 and its lowest point at $58.64 during that stretch. It currently has a 1-year price target of $83.21. With its current market cap of 117.49 billion, TD has annualized dividend of $2.75 while the current yield stands at 4.31%. Beta for the stock currently stands at 0.91.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of TD was down-trending over the past week, with a drop of -3.86%, but this was down by -2.71% over a month. Three-month performance dropped to -4.65% while six-month performance fell -21.88%. The stock lost -0.19% in the past year, while it has lost -16.58% so far this year. A look at the trailing 12-month EPS for TD yields 5.96 with Next year EPS estimates of 8.97. For the next quarter, that number is 2.07. This implies an EPS growth rate of 20.10% for this year and 8.81% for next year. EPS is expected to grow by 8.65% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 10.50%.
Float and Shares Shorts:
At present, 1.80 billion TD shares are outstanding with a float of 1.79 billion shares on hand for trading. On Jul 14, 2022, short shares totaled 45.33 million, which was 2.51% higher than short shares on Jun 14, 2022. In addition to Mr. Bharat B. Masrani as the firm’s Group Pres, CEO & Director, Mr. Kelvin Vi Luan Tran serves as its Sr. EVP & CFO.
Through their ownership of 57.08% of TD’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 33.01% of TD, in contrast to 20.35% held by mutual funds. Shares owned by individuals account for –. As the largest shareholder in TD with 5.89% of the stake, RBC Global Asset Management, Inc. holds 106,206,881 shares worth 106,206,881. A second-largest stockholder of TD, 1832 Asset Management LP, holds 59,563,287 shares, controlling over 3.30% of the firm’s shares. The Vanguard Group, Inc. is the third largest shareholder in TD, holding 44,264,518 shares or 2.45% stake. With a 1.33% stake in TD, the Vanguard Total International Stoc is the largest stakeholder. A total of 23,922,025 shares are owned by the mutual fund manager. The Government Pension Fund – Global, which owns about 1.21% of TD stock, is the second-largest Mutual Fund holder. It holds 21,736,176 shares valued at 1.4 billion. Capital Income Builder holds 0.81% of the stake in TD, owning 14,673,348 shares worth 944.08 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for TD since 7 analysts follow the stock currently. There are 3 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 4 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With TD analysts setting a high price target of $75.00 and a low target of $74.21, the average target price over the next 12 months is $74.61. Based on these targets, TD could surge 17.24% to reach the target high and rise by 16.01% to reach the target low. Reaching the average price target will result in a growth of 16.63% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. TD will report FY 2022 earnings on 12/01/2022. Analysts have provided yearly estimates in a range of $6.44 being high and $6.18 being low. For TD, this leads to a yearly average estimate of $6.31. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. The Toronto-Dominion Bank surprised analysts by $0.03 when it reported $1.62 EPS against a consensus estimate of $1.59. The surprise factor in the prior quarter was $0.07. Based on analyst estimates, the high estimate for the next quarter is $1.66 and the low estimate is $1.50. The average estimate for the next quarter is thus $1.58.