Fairfax Financial (FFH) Competitors

Toronto-Dominion Bank (TSE:TD) and Fairfax Financial (TSE:FFH) are both large-cap financial services companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, risk, valuation, media sentiment and analyst recommendations.

Does the media refer more to TD or FFH?

In the previous week, Toronto-Dominion Bank had 1 more articles in the media than Fairfax Financial. MarketBeat recorded 3 mentions for Toronto-Dominion Bank and 2 mentions for Fairfax Financial. Fairfax Financial's average media sentiment score of 1.16 beat Toronto-Dominion Bank's score of 0.18 indicating that Fairfax Financial is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Toronto-Dominion Bank	1 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Fairfax Financial	1 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is TD or FFH a better dividend stock?

Toronto-Dominion Bank pays an annual dividend of C$4.17 per share and has a dividend yield of 3.9%. Fairfax Financial pays an annual dividend of C$15.00 per share and has a dividend yield of 0.6%. Toronto-Dominion Bank pays out 35.7% of its earnings in the form of a dividend. Fairfax Financial pays out 7.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Which has better earnings & valuation, TD or FFH?

Toronto-Dominion Bank has higher revenue and earnings than Fairfax Financial. Toronto-Dominion Bank is trading at a lower price-to-earnings ratio than Fairfax Financial, 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
Toronto-Dominion Bank	C$60.13B	3.10	C$8.88B	C$11.68	9.10
Fairfax Financial	C$30.86B	1.77	C$2.94B	C$196.88	12.40

Which has more risk & volatility, TD or FFH?

Toronto-Dominion Bank has a beta of 0.871261, suggesting that its stock price is 13% less volatile than the S&P 500. Comparatively, Fairfax Financial has a beta of 0.53282, suggesting that its stock price is 47% less volatile than the S&P 500.

Is TD or FFH more profitable?

Toronto-Dominion Bank has a net margin of 15.80% compared to Fairfax Financial's net margin of 13.90%. Fairfax Financial's return on equity of 17.43% beat Toronto-Dominion Bank's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Toronto-Dominion Bank	15.80%	7.84%	0.43%
Fairfax Financial	13.90%	17.43%	4.27%

Do analysts prefer TD or FFH?

Toronto-Dominion Bank presently has a consensus price target of C$100.17, suggesting a potential downside of 5.79%. Fairfax Financial has a consensus price target of C$2,742.86, suggesting a potential upside of 12.37%. Given Fairfax Financial's stronger consensus rating and higher possible upside, analysts clearly believe Fairfax Financial is more favorable than Toronto-Dominion Bank.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toronto-Dominion Bank	1 Sell rating(s)	4 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.33
Fairfax Financial	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83

Do institutionals and insiders believe in TD or FFH?

32.3% of Toronto-Dominion Bank shares are owned by institutional investors. Comparatively, 36.3% of Fairfax Financial shares are owned by institutional investors. 0.1% of Toronto-Dominion Bank shares are owned by company insiders. Comparatively, 3.8% of Fairfax Financial shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Fairfax Financial beats Toronto-Dominion Bank on 11 of the 18 factors compared between the two stocks.