Canada's TD Bank Q2 revenue and adjusted EPS beat estimates on U.S. banking momentum

Toronto-Dominion Bank

28/05/2026 11:39

Corrects credit loss provision in the Key Details table to C$1 bln, from C$342 mln

Overview
Canada banking group's Q2 revenue rose yr/yr, beating analyst expectations
Adjusted EPS for Q2 beat analyst expectations
Company reported record earnings in Canadian Personal and Commercial Banking, Wealth, Insurance, and Wholesale Banking

Outlook
TD expects global economic growth to slow in 2026 due to elevated oil prices
Company maintains 2026 guidance for U.S. AML remediation spending at about US$500 mln pre-tax
TD sees continued volatility in financial and commodity markets amid uncertainty over oil flows

Result Drivers
CANADA BANKING GROWTH - Higher revenue and lower credit loss provisions in Canadian Personal and Commercial Banking, driven by loan and deposit growth and higher margins
U.S. BANKING MOMENTUM - U.S. Banking segment benefited from growth in core lending portfolios and credit card balances
WEALTH & INSURANCE STRENGTH - Record assets and higher insurance earned premiums contributed to earnings growth in Wealth Management and Insurance

Company press release: ID:nCNWqlmkda

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
C$15.80 bln
C$14.65 bln (4 Analysts)
Q2 Adjusted Revenue
 
C$16.04 bln
 
Q2 Adjusted EPS
Beat
C$2.38
C$2.26 (12 Analysts)
Q2 EPS
 
C$2.43
 
Q2 Adjusted Net Income
 
C$4.17 bln
 
Q2 Net Income
 
C$4.25 bln
 
Q2 Net Interest Income
 
C$8.86 bln
 
Q2 CET1 Capital Ratio
 
14.30%
 
Q2 Credit Loss Provision
 
C$1 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for Toronto-Dominion Bank is C$150.00, about 3.3% below its May 27 closing price of C$155.13
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 14 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)