Toronto Dominion Gross Profit vs. Price To Sales

TD Stock  USD 53.11  0.46  0.87%   
Considering Toronto Dominion's profitability and operating efficiency indicators, Toronto Dominion Bank is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in January. Profitability indicators assess Toronto Dominion's ability to earn profits and add value for shareholders.
 
Gross Profit  
First Reported
1996-01-31
Previous Quarter
30.4 B
Current Value
14.4 B
Quarterly Volatility
5.2 B
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
The current year's Operating Cash Flow Sales Ratio is expected to grow to 1.03, whereas Price To Sales Ratio is forecasted to decline to 2.46. At present, Toronto Dominion's Total Other Income Expense Net is projected to increase significantly based on the last few years of reporting. The current year's Net Income From Continuing Ops is expected to grow to about 13 B, whereas Income Before Tax is forecasted to decline to about 7.6 B.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.80.93
Fairly Down
Slightly volatile
Net Profit Margin0.180.158
Fairly Up
Very volatile
Operating Profit Margin0.330.35
Notably Down
Slightly volatile
Pretax Profit Margin0.230.1936
Fairly Up
Pretty Stable
Return On Assets0.00570.0043
Significantly Up
Slightly volatile
Return On Equity0.140.0768
Way Up
Pretty Stable
For Toronto Dominion profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Toronto Dominion to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Toronto Dominion Bank utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Toronto Dominion's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Toronto Dominion Bank over time as well as its relative position and ranking within its peers.
  
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Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Toronto Dominion. If investors know Toronto will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Toronto Dominion listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.20)
Earnings Share
3.34
Revenue Per Share
29.497
Quarterly Revenue Growth
0.079
Return On Assets
0.0043
The market value of Toronto Dominion Bank is measured differently than its book value, which is the value of Toronto that is recorded on the company's balance sheet. Investors also form their own opinion of Toronto Dominion's value that differs from its market value or its book value, called intrinsic value, which is Toronto Dominion's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Toronto Dominion's market value can be influenced by many factors that don't directly affect Toronto Dominion's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Toronto Dominion's value and its price as these two are different measures arrived at by different means. Investors typically determine if Toronto Dominion is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Toronto Dominion's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Toronto Dominion Bank Price To Sales vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Toronto Dominion's current stock value. Our valuation model uses many indicators to compare Toronto Dominion value to that of its competitors to determine the firm's financial worth.
Toronto Dominion Bank is currently regarded as top stock in gross profit category among its peers. It also is currently regarded as top stock in price to sales category among its peers . The ratio of Gross Profit to Price To Sales for Toronto Dominion Bank is about  27,642,564,189 . At present, Toronto Dominion's Gross Profit is projected to increase significantly based on the last few years of reporting. Comparative valuation analysis is a catch-all technique that is used if you cannot value Toronto Dominion by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Toronto Price To Sales vs. Gross Profit

Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

Toronto Dominion

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
49.2 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Toronto Dominion

P/S

 = 

MV Per Share

Revenue Per Share

 = 
1.78 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.

Toronto Price To Sales Comparison

Toronto Dominion is currently under evaluation in price to sales category among its peers.

Toronto Dominion Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Toronto Dominion, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Toronto Dominion will eventually generate negative long term returns. The profitability progress is the general direction of Toronto Dominion's change in net profit over the period of time. It can combine multiple indicators of Toronto Dominion, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income7.9 B8.3 B
Operating Income29.2 B15.5 B
Income Before Tax10.8 B7.6 B
Total Other Income Expense Net10.8 B11.4 B
Net Income8.8 B7.1 B
Income Tax Expense2.7 B1.5 B
Net Income From Continuing Ops12.4 B13 B
Net Income Applicable To Common Shares11.8 B6.9 B
Net Interest Income34.4 B26 B
Interest Income92.8 B97.4 B
Change To NetincomeB1.3 B
Net Income Per Share 5.32  5.59 
Income Quality 6.21  6.52 
Net Income Per E B T 0.82  0.64 

Toronto Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Toronto Dominion. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Toronto Dominion position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Toronto Dominion's important profitability drivers and their relationship over time.

Use Toronto Dominion in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Toronto Dominion position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Toronto Dominion will appreciate offsetting losses from the drop in the long position's value.

Toronto Dominion Pair Trading

Toronto Dominion Bank Pair Trading Analysis

The ability to find closely correlated positions to Toronto Dominion could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Toronto Dominion when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Toronto Dominion - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Toronto Dominion Bank to buy it.
The correlation of Toronto Dominion is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Toronto Dominion moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Toronto Dominion Bank moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Toronto Dominion can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Toronto Dominion position

In addition to having Toronto Dominion in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Insurance Providers Thematic Idea Now

Insurance Providers
Insurance Providers Theme
Companies providing all types of insurance and insurance services. The Insurance Providers theme has 38 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Insurance Providers Theme or any other thematic opportunities.
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To fully project Toronto Dominion's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Toronto Dominion Bank at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Toronto Dominion's income statement, its balance sheet, and the statement of cash flows.
Potential Toronto Dominion investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Toronto Dominion investors may work on each financial statement separately, they are all related. The changes in Toronto Dominion's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Toronto Dominion's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.