Toronto-Dominion Bank's (TD) price has declined sharply since it announced its last quarter results, which has made the stock attractive. TD's earnings are expected to increase in 2020 due to anticipated rise in loans. On the other hand, some pressure is expected on the bottom line from an increase in provisions for credit losses and a compression in net interest margin. Due to the prospects of earnings increase I'm expecting the bank to raise its dividends again next year.
Normalization of Provisions for Credit Losses to Constrain Earnings
TD booked high provision charge