Toronto-Dominion Bank (TD) Competitors

Bank of America (NYSE:BAC) and Toronto-Dominion Bank (NYSE:TD) are both large-cap finance companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, valuation, risk, institutional ownership, media sentiment, earnings, community ranking, analyst recommendations and dividends.

Which has higher earnings and valuation, BAC or TD?

Bank of America has higher revenue and earnings than Toronto-Dominion Bank. Bank of America is trading at a lower price-to-earnings ratio than Toronto-Dominion Bank, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bank of America	$103.44B	3.25	$27.13B	$3.36	13.28
Toronto-Dominion Bank	$57.52B	1.95	$6.50B	$3.40	19.03

Which has more risk and volatility, BAC or TD?

Bank of America has a beta of 1.27, suggesting that its share price is 27% more volatile than the S&P 500. Comparatively, Toronto-Dominion Bank has a beta of 0.81, suggesting that its share price is 19% less volatile than the S&P 500.

Is BAC or TD a better dividend stock?

Bank of America pays an annual dividend of $1.04 per share and has a dividend yield of 2.3%. Toronto-Dominion Bank pays an annual dividend of $2.91 per share and has a dividend yield of 4.5%. Bank of America pays out 31.0% of its earnings in the form of a dividend. Toronto-Dominion Bank pays out 85.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Bank of America has increased its dividend for 11 consecutive years and Toronto-Dominion Bank has increased its dividend for 12 consecutive years. Toronto-Dominion Bank is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media favor BAC or TD?

In the previous week, Bank of America had 105 more articles in the media than Toronto-Dominion Bank. MarketBeat recorded 122 mentions for Bank of America and 17 mentions for Toronto-Dominion Bank. Toronto-Dominion Bank's average media sentiment score of 1.20 beat Bank of America's score of 0.90 indicating that Toronto-Dominion Bank is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Bank of America	71 Very Positive mention(s)	26 Positive mention(s)	22 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Positive
Toronto-Dominion Bank	10 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do insiders and institutionals hold more shares of BAC or TD?

70.7% of Bank of America shares are owned by institutional investors. Comparatively, 52.4% of Toronto-Dominion Bank shares are owned by institutional investors. 0.3% of Bank of America shares are owned by insiders. Comparatively, 0.1% of Toronto-Dominion Bank shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Do analysts rate BAC or TD?

Bank of America presently has a consensus target price of $47.50, indicating a potential upside of 6.45%. Toronto-Dominion Bank has a consensus target price of $80.50, indicating a potential upside of 24.42%. Given Toronto-Dominion Bank's higher possible upside, analysts plainly believe Toronto-Dominion Bank is more favorable than Bank of America.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bank of America	1 Sell rating(s)	5 Hold rating(s)	17 Buy rating(s)	4 Strong Buy rating(s)	2.89
Toronto-Dominion Bank	1 Sell rating(s)	6 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.30

Is BAC or TD more profitable?

Bank of America has a net margin of 14.10% compared to Toronto-Dominion Bank's net margin of 7.37%. Toronto-Dominion Bank's return on equity of 13.96% beat Bank of America's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Bank of America	14.10%	10.29%	0.84%
Toronto-Dominion Bank	7.37%	13.96%	0.72%

Does the MarketBeat Community believe in BAC or TD?

Bank of America received 1613 more outperform votes than Toronto-Dominion Bank when rated by MarketBeat users. Likewise, 64.75% of users gave Bank of America an outperform vote while only 53.91% of users gave Toronto-Dominion Bank an outperform vote.

Company	Underperform	Outperform
Bank of America	Outperform Votes 2144 64.75%	Underperform Votes 1167 35.25%
Toronto-Dominion Bank	Outperform Votes 531 53.91%	Underperform Votes 454 46.09%

Summary

Bank of America beats Toronto-Dominion Bank on 15 of the 22 factors compared between the two stocks.