Seek Returns logo

AXP vs. TD: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AXP and TD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAXPTD
Company NameAmerican Express CompanyThe Toronto-Dominion Bank
CountryUnited StatesCanada
GICS SectorFinancialsFinancials
GICS IndustryConsumer FinanceBanks
Market Capitalization214.61 billion USD127.59 billion USD
ExchangeNYSENYSE
Listing DateJune 1, 1972August 30, 1996
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AXP and TD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AXP vs. TD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAXPTD
5-Day Price Return0.22%-0.86%
13-Week Price Return3.04%13.20%
26-Week Price Return0.29%18.84%
52-Week Price Return21.39%25.54%
Month-to-Date Return3.04%0.76%
Year-to-Date Return3.91%32.88%
10-Day Avg. Volume2.33M4.11M
3-Month Avg. Volume2.74M6.74M
3-Month Volatility22.06%10.98%
Beta1.320.58

Profitability

Return on Equity (TTM)

AXP

32.87%

Consumer Finance Industry

Max
32.87%
Q3
20.39%
Median
14.14%
Q1
7.64%
Min
-10.63%

In the upper quartile for the Consumer Finance industry, AXP’s Return on Equity of 32.87% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

TD

14.73%

Banks Industry

Max
26.37%
Q3
15.92%
Median
12.25%
Q1
8.69%
Min
0.15%

TD’s Return on Equity of 14.73% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

AXP vs. TD: A comparison of their Return on Equity (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Net Profit Margin (TTM)

AXP

13.55%

Consumer Finance Industry

Max
19.68%
Q3
15.94%
Median
13.37%
Q1
9.73%
Min
3.66%

AXP’s Net Profit Margin of 13.55% is aligned with the median group of its peers in the Consumer Finance industry. This indicates its ability to convert revenue into profit is typical for the sector.

TD

25.63%

Banks Industry

Max
54.20%
Q3
35.70%
Median
28.97%
Q1
22.53%
Min
6.98%

TD’s Net Profit Margin of 25.63% is aligned with the median group of its peers in the Banks industry. This indicates its ability to convert revenue into profit is typical for the sector.

AXP vs. TD: A comparison of their Net Profit Margin (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Operating Profit Margin (TTM)

AXP

17.15%

Consumer Finance Industry

Max
50.11%
Q3
29.38%
Median
18.31%
Q1
14.26%
Min
-5.45%

AXP’s Operating Profit Margin of 17.15% is around the midpoint for the Consumer Finance industry, indicating that its efficiency in managing core business operations is typical for the sector.

TD

32.88%

Banks Industry

Max
63.35%
Q3
44.59%
Median
37.24%
Q1
28.25%
Min
13.37%

TD’s Operating Profit Margin of 32.88% is around the midpoint for the Banks industry, indicating that its efficiency in managing core business operations is typical for the sector.

AXP vs. TD: A comparison of their Operating Profit Margin (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Profitability at a Glance

SymbolAXPTD
Return on Equity (TTM)32.87%14.73%
Return on Assets (TTM)3.62%0.85%
Net Profit Margin (TTM)13.55%25.63%
Operating Profit Margin (TTM)17.15%32.88%
Gross Profit Margin (TTM)61.37%--

Financial Strength

Current Ratio (MRQ)

AXP

0.71

Consumer Finance Industry

Max
5.34
Q3
4.21
Median
2.67
Q1
0.71
Min
0.20

For the Consumer Finance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

TD

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

AXP vs. TD: A comparison of their Current Ratio (MRQ) against their respective Consumer Finance and Banks industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AXP

6.47

Consumer Finance Industry

Max
6.63
Q3
3.39
Median
2.21
Q1
0.94
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Consumer Finance industry.

TD

1.96

Banks Industry

Max
4.75
Q3
2.62
Median
1.02
Q1
0.39
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

AXP vs. TD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Consumer Finance and Banks industry benchmarks.

Interest Coverage Ratio (TTM)

AXP

33.37

Consumer Finance Industry

Max
49.63
Q3
39.33
Median
4.56
Q1
2.97
Min
-15.69

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Consumer Finance industry.

TD

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

AXP vs. TD: A comparison of their Interest Coverage Ratio (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Financial Strength at a Glance

SymbolAXPTD
Current Ratio (MRQ)0.71--
Quick Ratio (MRQ)0.71--
Debt-to-Equity Ratio (MRQ)6.471.96
Interest Coverage Ratio (TTM)33.37--

Growth

Revenue Growth

AXP vs. TD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AXP vs. TD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AXP

0.99%

Consumer Finance Industry

Max
8.31%
Q3
3.93%
Median
2.51%
Q1
0.84%
Min
0.00%

AXP’s Dividend Yield of 0.99% is consistent with its peers in the Consumer Finance industry, providing a dividend return that is standard for its sector.

TD

4.14%

Banks Industry

Max
10.27%
Q3
5.83%
Median
3.81%
Q1
2.50%
Min
0.00%

TD’s Dividend Yield of 4.14% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

AXP vs. TD: A comparison of their Dividend Yield (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Dividend Payout Ratio (TTM)

AXP

20.97%

Consumer Finance Industry

Max
145.89%
Q3
88.53%
Median
23.79%
Q1
0.00%
Min
0.00%

AXP’s Dividend Payout Ratio of 20.97% is within the typical range for the Consumer Finance industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

TD

32.19%

Banks Industry

Max
147.07%
Q3
80.55%
Median
54.40%
Q1
35.71%
Min
0.00%

TD’s Dividend Payout Ratio of 32.19% is in the lower quartile for the Banks industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

AXP vs. TD: A comparison of their Dividend Payout Ratio (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Dividend at a Glance

SymbolAXPTD
Dividend Yield (TTM)0.99%4.14%
Dividend Payout Ratio (TTM)20.97%32.19%

Valuation

Price-to-Earnings Ratio (TTM)

AXP

21.11

Consumer Finance Industry

Max
34.39
Q3
20.36
Median
13.05
Q1
9.29
Min
4.74

A P/E Ratio of 21.11 places AXP in the upper quartile for the Consumer Finance industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

TD

10.25

Banks Industry

Max
20.05
Q3
12.65
Median
10.21
Q1
7.54
Min
2.74

TD’s P/E Ratio of 10.25 is within the middle range for the Banks industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AXP vs. TD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Price-to-Sales Ratio (TTM)

AXP

2.86

Consumer Finance Industry

Max
4.28
Q3
2.67
Median
1.88
Q1
1.15
Min
0.55

AXP’s P/S Ratio of 2.86 is in the upper echelon for the Consumer Finance industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

TD

2.85

Banks Industry

Max
5.06
Q3
2.98
Median
2.24
Q1
1.59
Min
0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

AXP vs. TD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Consumer Finance and Banks industry benchmarks.

Price-to-Book Ratio (MRQ)

AXP

6.87

Consumer Finance Industry

Max
3.63
Q3
2.40
Median
1.96
Q1
1.16
Min
0.26

At 6.87, AXP’s P/B Ratio is at an extreme premium to the Consumer Finance industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

TD

1.22

Banks Industry

Max
2.18
Q3
1.36
Median
1.09
Q1
0.81
Min
0.20

TD’s P/B Ratio of 1.22 is within the conventional range for the Banks industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

AXP vs. TD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Consumer Finance and Banks industry benchmarks.

Valuation at a Glance

SymbolAXPTD
Price-to-Earnings Ratio (TTM)21.1110.25
Price-to-Sales Ratio (TTM)2.862.85
Price-to-Book Ratio (MRQ)6.871.22
Price-to-Free Cash Flow Ratio (TTM)16.031.97