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Toronto-Dominion Bank (TD) Beats Stock Market Upswing: What Investors Need to Know

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Toronto-Dominion Bank (TD - Free Report) ended the recent trading session at $74.48, demonstrating a +1.73% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.32% for the day. On the other hand, the Dow registered a gain of 1.04%, and the technology-centric Nasdaq increased by 0.14%.

The stock of retail and wholesale bank has fallen by 0.33% in the past month, lagging the Finance sector's gain of 1.94% and the S&P 500's gain of 3.08%.

Analysts and investors alike will be keeping a close eye on the performance of Toronto-Dominion Bank in its upcoming earnings disclosure. The company's earnings report is set to go public on August 28, 2025. In that report, analysts expect Toronto-Dominion Bank to post earnings of $1.41 per share. This would mark a year-over-year decline of 6%.

For the full year, the Zacks Consensus Estimates are projecting earnings of $5.71 per share and revenue of $43.92 billion, which would represent changes of -0.52% and +4.65%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Toronto-Dominion Bank. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Toronto-Dominion Bank is currently sporting a Zacks Rank of #2 (Buy).

Investors should also note Toronto-Dominion Bank's current valuation metrics, including its Forward P/E ratio of 12.81. This valuation marks a premium compared to its industry average Forward P/E of 10.49.

Also, we should mention that TD has a PEG ratio of 1.66. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Banks - Foreign stocks are, on average, holding a PEG ratio of 1.04 based on yesterday's closing prices.

The Banks - Foreign industry is part of the Finance sector. With its current Zacks Industry Rank of 34, this industry ranks in the top 14% of all industries, numbering over 250.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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