Topic: How To Invest

The Successful Investor Hotline – Friday, May 24, 2024

Article Excerpt

TORONTO-DOMINION BANK, $77.28, Toronto symbol TD, is still a buy. The lender recently set aside $615 million (or $450 million U.S.) for fines it expects to pay due to lapses in its anti-money laundering processes at its U.S. retail banking operations. The bank continues to negotiate with U.S. authorities, and probably faces additional fines and other punishments. Meantime, it’s strengthening its compliance systems at both its U.S. and Canadian operations. TD also continues to make progress with a major restructuring plan, which includes cutting 3% of its workforce. It expects these moves will save it $400 million in the fiscal year ending October 31, 2024. Those annual savings should rise to $725 million in future years. Meantime, the bank continues to benefit from higher interest rates, which is letting it earn higher interest income on its loans. In its 2024 second quarter, ended April 30, 2024, revenue rose 10.4%, to $13.88 billion from $12.57 billion a year earlier. That topped the consensus forecast of…