Investment Thesis
TD Bank (TD) ((TSX:TD)) rebounded back and delivered positive top and bottom line growth in Q2 F2019. We believe TD Bank will be able to continue to meet its target of mid- to high-single-digit top and bottom line growth in 2019 and beyond thanks to:
- its investment in Wholesales segment,
- strong growth momentum in its U.S. Retail segment, and
- a stabilization of the Canadian housing market.
TD Bank is currently undervalued when compared to its 5-year average P/E ratio. The bank also pays an attractive and growing 3.7%-yielding dividend. We believe