Topic: How To Invest

Dividend Advisor Hotline – Friday, August 12, 2022

Article Excerpt

TORONTO-DOMINION BANK, $86.45, Toronto symbol TD, is a buy. TD last raised your quarterly dividend with the January 2022 payment. Investors now receive $0.89 a share, up 12.7% from $0.79. The new annual rate of $3.56 yields a high 4.1%. The bank has now agreed to acquire U.S.-based investment banking firm Cowen Inc. (Nasdaq symbol COWN). Founded in 1918, Cowen provides a wide range of services to corporate clients, including brokerage, stock and bond underwriting, initial public offerings and advice on mergers and acquisitions. TD will pay $1.3 billion U.S. in cash when it completes the purchase in the first quarter of 2023. To put that cost in context, it earned $3.71 billion (Canadian), or $2.02 a share, in the quarter ended April 30, 2022. To help pay for this acquisition, TD has sold some of its shares in U.S. discount brokerage firm Charles Schwab Corp. (New York symbol SCHW) for $1.9 billion U.S. That cut its stake from 13.4% to 12.0%. The purchase gives…