Wednesday, October 1, 2014

Recent Buy - Toronto-Dominion Bank (NYSE:TD, TSE:TD)

29th Septermber 2014 I Bought 45 shares of Toronto-Dominion Bank (TSE: TD) at CA$54.79 per share plus commission.

The Toronto-Dominion Bank, together with its subsidiaries, provides financial and banking services in North America and internationally. The company’s Canadian Personal and Commercial Banking segment offers various financial products and services to approximately 14 million personal and small business customers through a network of 1,179 branches and 2,845 automated banking machines; and telephone, Internet, and mobile banking in Canada. This segment offers financing, investment, cash management, international trade services, and day-to-day banking needs to medium-sized Canadian businesses; financing options to customers at point-of-sale for automotive and recreational vehicle purchases through its auto dealer network; and credit cards. Its Wealth and Insurance segment offers direct investing, advice, and asset management services to institutional and retail clients; and a range of insurance products, including home, auto, credit protection, travel, life, and health insurance, as well as credit card balance protection products.
The company’s U.S. Personal and Commercial Banking segment provides retail and commercial banking services in the United States. This segment offers its financial products and services through a network of approximately 1,317 stores located along the east coast from Maine to Florida; telephone, mobile, and Internet banking; and automated banking machines. Its Wholesale Banking segment provides a range of capital markets and investment banking products and services comprising underwriting and distribution of new debt and equity issues; providing advice on strategic acquisitions and divestitures; and meeting the daily trading, funding, and investment needs to companies, governments, and institutions in financial markets worldwide. The Toronto-Dominion Bank was founded in 1855 and is headquartered in Toronto, Canada.

Toronto-Dominion Bank has paid dividend since 1857, that means 157 years of consecutive payouts. Dividend growth rates for 1, 3, 5 and 10 years are 12.1, 9.9, 6.5 and 10.8. (Canadian Dividend All-Star List)  
TD now pays quarterly dividends of CA$0.47 per share in January, April, July and October.

Data Source:

In the last ten years, TD's EPS has developed a variously. In 2007, 2008 and 2009 it fell from the previous year. After 2010, the EPS has returned to growth and the dividend has also begun to grow again. The dividend payout ratio is also returned to less than 50%, which gives hope for a good dividend yield also in the future.

Some ratings for RY:

My last purchase 45 shares of TD increases €44.52 (CA$63.03) of expected annual dividend net income, which increases my portfolio projected annual dividend net income to €7820.00. With purchase price CA$54.79 plus commission my starting yield on cost is 3.42%. 

I intend in the future to increase the Toronto-Dominion Bank number of shares in my portfolio.

Click here to see my portfolio.

Full Disclosure: Long TD



  1. You stated some ratings for RY
    Anyways great purchase DivHawk, TD, RY and BNS are on the top of my watchlist this october. When I see your forward dividend its just mouth watering and it makes me feel excited. I have more years to go before getting in to that level, thanks for sharing

  2. Good buy here at these levels, DH. After the recent pullback, definitely some great buying opportunities here. I am keeping an eye on them and want to add some, but waiting to replenish some cash in my portfolio.

    Best wishes

  3. Hi there!
    No buys from Canada yet, definitely something to keep mind on. Also thanks for sharing that list I did not know that there is such list.

  4. TD is a bank I use and have my online brokerage with. Regardless to say its my favorite bank holding. Canada regulation ensures they have limited competition and no headaches with growth. Great BUY!

  5. DH,

    Nice work! Adding quite a bit to your income, great payout ratio, strong dividend payer and grower. Seems to be a very smart and great pick. Congrats, love the Canadian banks - I own Canadian Imperial myself.


  6. Hey mate, how do you deal with the tax withheld by canadian government? How much is it and how do you get it back?

    1. Hi

      My stock broker reserves withholding tax at the rate of 15% for Canadian stocks. I do not get it back, because it is according to the tax treaty between Finland and Canada. Finland, however, take this into account and can I reduce it in my future taxes that I pay to Finland.

      Thanks for stopping by!

  7. Great buy DH, TD have continued countless amounts of time to prove it self as one of the big 5 banks in Canada. Happy to be a fellow share holder with you!

  8. Very solid buy. I'm long TD as well.

  9. I have been loving the Canadian banks for a while now and finally entered into a position a couple months ago. I added TD, BNS and RY with an eye still on BMO and CM. Love the TD purchase on your end too. Thanks for sharing.