Toronto-Dominion Bank (TD) Competitors

Royal Bank of Canada (TSE:RY) and Toronto-Dominion Bank (TSE:TD) are both large-cap financial services companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, valuation, dividends, risk, profitability, earnings and media sentiment.

Is RY or TD a better dividend stock?

Royal Bank of Canada pays an annual dividend of C$5.68 per share and has a dividend yield of 3.2%. Toronto-Dominion Bank pays an annual dividend of C$4.08 per share and has a dividend yield of 4.0%. Royal Bank of Canada pays out 49.5% of its earnings in the form of a dividend. Toronto-Dominion Bank pays out 80.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Which has more volatility and risk, RY or TD?

Royal Bank of Canada has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500. Comparatively, Toronto-Dominion Bank has a beta of 0.82, indicating that its stock price is 18% less volatile than the S&P 500.

Does the media refer more to RY or TD?

In the previous week, Toronto-Dominion Bank had 2 more articles in the media than Royal Bank of Canada. MarketBeat recorded 5 mentions for Toronto-Dominion Bank and 3 mentions for Royal Bank of Canada. Royal Bank of Canada's average media sentiment score of 0.89 beat Toronto-Dominion Bank's score of 0.24 indicating that Royal Bank of Canada is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Royal Bank of Canada	0 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Toronto-Dominion Bank	0 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do analysts prefer RY or TD?

Royal Bank of Canada currently has a consensus price target of C$184.54, suggesting a potential upside of 2.78%. Toronto-Dominion Bank has a consensus price target of C$90.85, suggesting a potential downside of 10.66%. Given Royal Bank of Canada's stronger consensus rating and higher possible upside, equities analysts plainly believe Royal Bank of Canada is more favorable than Toronto-Dominion Bank.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Bank of Canada	0 Sell rating(s)	2 Hold rating(s)	6 Buy rating(s)	3 Strong Buy rating(s)	3.09
Toronto-Dominion Bank	1 Sell rating(s)	6 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.27

Which has preferable valuation and earnings, RY or TD?

Royal Bank of Canada has higher revenue and earnings than Toronto-Dominion Bank. Royal Bank of Canada 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
Royal Bank of Canada	C$57.52B	4.42	C$16.24B	C$11.48	15.65
Toronto-Dominion Bank	C$56.16B	3.18	C$8.88B	C$5.05	20.15

Is RY or TD more profitable?

Royal Bank of Canada has a net margin of 28.23% compared to Toronto-Dominion Bank's net margin of 15.80%. Royal Bank of Canada's return on equity of 13.27% beat Toronto-Dominion Bank's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Royal Bank of Canada	28.23%	13.27%	0.80%
Toronto-Dominion Bank	15.80%	7.84%	0.43%

Do institutionals and insiders believe in RY or TD?

52.5% of Royal Bank of Canada shares are owned by institutional investors. Comparatively, 58.1% of Toronto-Dominion Bank shares are owned by institutional investors. 0.1% of Toronto-Dominion Bank shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Royal Bank of Canada beats Toronto-Dominion Bank on 14 of the 19 factors compared between the two stocks.