Toronto-Dominion Bank (TD) Surpasses Earnings Estimates

Core Insights - Toronto-Dominion Bank (TD) reported earnings per share (EPS) of $1.56, exceeding the estimated $1.46, resulting in a 6.85% earnings surprise [2][6] - The bank achieved revenue of approximately $10.29 billion, surpassing the estimated $9.75 billion, although it represents a slight decrease from $11.36 billion reported a year ago [3][6] Financial Performance - TD's EPS of $1.56 marks an improvement from $1.26 EPS reported in the same quarter last year, indicating consistent outperformance against consensus EPS estimates over the past four quarters [2] - Revenue for the quarter ending October 2025 was reported at $11.06 billion, slightly above the consensus estimate by 0.14% [3] Financial Ratios - The bank has a price-to-earnings (P/E) ratio of approximately 9.88, indicating market valuation of its earnings [4][6] - The price-to-sales ratio is about 1.78, while the enterprise value to sales ratio is around 6.08, reflecting revenue valuation [4] - The enterprise value to operating cash flow ratio is approximately 36.77, highlighting cash flow efficiency [4][6] Debt and Liquidity - TD's debt-to-equity ratio is notably high at 5.02, suggesting significant reliance on debt financing [5] - The current ratio is 0.18, indicating a challenging short-term liquidity position [5] - Despite these figures, TD's earnings yield is about 10.12%, providing insight into the return on investment [5]