Topic: How To Invest

Dividend Advisor Hotline – Friday, September 8, 2017

Article Excerpt

TORONTO-DOMINION BANK, $66.13, Toronto symbol TD, is Canada’s second-largest bank with assets of $1.2 trillion. TD last raised its quarterly dividend with its May 2017 payment. Investors now receive $0.60 a share, up 9.1% from $0.55. The new annual rate of $2.40 yields 3.6%. In its fiscal 2017 third quarter, ended July 31, 2017, the bank earned $2.9 billion. That’s up 18.6% from $2.4 billion a year earlier. Due to fewer shares outstanding, per-share earnings rose at a faster pace of 18.9%, to $1.51 from $1.27. The gain easily beat the consensus estimate of $1.36. Earnings from TD’s Canadian banking operations (59% of the total) improved 14.3%. The bank benefitted from higher mortgage loan demand, lower insurance claims and growth at its wealth management operations. Earnings from U.S. banking (31%) also rose 14.3% thanks to stronger consumer and business demand for new loans and higher interest rates. However, earnings from wholesale banking (10%) fell 3.0%. That’s mainly because TD is spending more to expand…