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HSBC vs. TD: HSBC vs. Toronto-Dominion Bank Stock Comparison

How do HSBC (HSBC) and Toronto-Dominion Bank (TD) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

HSBC (HSBC) and Toronto-Dominion Bank (TD) are both classified in the Diversified Banks sub-industry within the broader Banks industry, placing them in the closest GICS peer bucket.

Toronto-Dominion Bank (TD) trades as ordinary local shares, while HSBC (HSBC) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for HSBC (HSBC) and Toronto-Dominion Bank (TD)
Profile ItemHSBCTD
NameHSBC Holdings plc Sponsored ADRToronto-Dominion Bank
Country/RegionUnited KingdomCanada
GICS SectorFinancialsFinancials
GICS Industry GroupBanksBanks
GICS IndustryBanksBanks
GICS Sub-IndustryDiversified BanksDiversified Banks
Market Capitalization310.12 billion USD203.49 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJuly 16, 1999August 30, 1996
Security TypeADRCommon Stock

Price Performance

Cumulative Growth

HSBC
TD
GSPC
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for HSBC (HSBC) and Toronto-Dominion Bank (TD). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for HSBC (HSBC) and Toronto-Dominion Bank (TD). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Total Return (1Y)43.17%57.37%
Total Return (3Y, Annualized)43.38%34.26%
Total Return (5Y, Annualized)32.49%15.98%

Risk Profile

Drawdown History

HSBC
TD
GSPC
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for HSBC (HSBC) and Toronto-Dominion Bank (TD). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Volatility (1Y, Annualized)27.37%18.32%
Beta (5Y)0.550.72
Max Drawdown (5Y)-31.80%-31.16%
Avg. Volume (3M)1.47M2.01M

Risk-Adjusted Performance

Risk-Return Positioning

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HSBC and TD are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Sharpe Ratio (1Y)1.422.89
Sortino Ratio (1Y)2.264.39

Profitability

ROE (TTM)

Both HSBC (HSBC) at 13.11% and Toronto-Dominion Bank (TD) at 12.83% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

HSBC

Banks industry group

13.11%

Max
19.41%
Q3
13.49%
HSBC
13.11%
Median
11.36%
Q1
9.48%
Min
3.81%

TD

Banks industry group

12.83%

Max
19.41%
Q3
13.49%
TD
12.83%
Median
11.36%
Q1
9.48%
Min
3.81%
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their ROE against the Banks industry group benchmark.

Net Margin (TTM)

HSBC (HSBC) at 37.80% keeps a top-quartile share of each sales dollar as profit, while Toronto-Dominion Bank (TD) at 26.62% keeps a bottom-quartile share.

HSBC

Banks industry group

37.80%

Max
47.33%
HSBC
37.80%
Q3
35.30%
Median
31.10%
Q1
27.27%
Min
16.98%

TD

Banks industry group

26.62%

Max
47.33%
Q3
35.30%
Median
31.10%
Q1
27.27%
TD
26.62%
Min
16.98%
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their net margin against the Banks industry group benchmark.

Operating Margin (TTM)

Neither side reports a meaningful operating margin: for HSBC (HSBC) in Banks and Toronto-Dominion Bank (TD) in Banks, funding costs are part of the core business, so net margin and ROE are the cleaner profitability reads.

Profitability Metrics

Profitability metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
ROE (TTM)13.11%12.83%
ROA (TTM)0.78%0.78%
Net Margin (TTM)37.80%26.62%
Operating Margin (TTM)----
Gross Margin (TTM)----

Growth

Revenue Growth

Toronto-Dominion Bank (TD) at 8.93% is around its peer norm for revenue growth, while HSBC (HSBC) at 5.38% drops into the bottom quartile, signaling weaker demand or pricing momentum.

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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their Revenue Growth across different time periods.

EPS Growth

Toronto-Dominion Bank (TD) at 144.92% delivers above-range EPS growth, while HSBC (HSBC) at -3.23% falls into the bottom quartile — a wide split in earnings momentum.

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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Revenue Growth (YoY)5.38%8.93%
Revenue Growth (3Y CAGR)9.75%10.22%
EPS Growth (YoY)-3.23%144.92%
EPS Growth (3Y CAGR)17.49%6.87%

Financial Strength

Current Ratio (MRQ)

current ratio doesn’t apply on either side: HSBC (HSBC) in Banks and Toronto-Dominion Bank (TD) in Banks both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for both: HSBC (HSBC) in Banks and Toronto-Dominion Bank (TD) in Banks run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Financial strength metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Toronto-Dominion Bank (TD) at 3.46% offers top-quartile income, while HSBC (HSBC) at 0.82% sits in the bottom quartile — a wide gap in cash returned to shareholders.

HSBC

Banks industry group

0.82%

Max
5.71%
Q3
3.12%
Median
2.29%
Q1
0.97%
HSBC
0.82%
Min
0.00%

TD

Banks industry group

3.46%

Max
5.71%
TD
3.46%
Q3
3.12%
Median
2.29%
Q1
0.97%
Min
0.00%
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their dividend yield against the Banks industry group benchmark.

Dividend Payout Ratio (TTM)

Both HSBC (HSBC) at 53.57% and Toronto-Dominion Bank (TD) at 46.36% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

HSBC

Banks industry group

53.57%

Max
68.56%
HSBC
53.57%
Q3
42.20%
Median
29.17%
Q1
19.91%
Min
0.00%

TD

Banks industry group

46.36%

Max
68.56%
TD
46.36%
Q3
42.20%
Median
29.17%
Q1
19.91%
Min
0.00%
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their payout ratio against the Banks industry group benchmark.

Dividend Metrics

Dividend metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
Dividend Yield (TTM)0.82%3.46%
Dividend Payout Ratio (TTM)53.57%46.36%

Valuation

P/E Ratio (TTM)

HSBC (HSBC) at 12.95 is near its industry’s usual P/E ratio, while Toronto-Dominion Bank (TD) at 18.49 sits in the richer quartile — TD needs stronger growth or earnings quality to justify the premium.

HSBC

Banks industry group

12.95

Max
18.61
Q3
13.99
HSBC
12.95
Median
12.13
Q1
10.90
Min
7.07

TD

Banks industry group

18.49

Max
18.61
TD
18.49
Q3
13.99
Median
12.13
Q1
10.90
Min
7.07
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their P/E ratio against the Banks industry group benchmark.

P/S Ratio (TTM)

P/S ratio is set aside for both HSBC (HSBC) in Banks and Toronto-Dominion Bank (TD) in Banks: without a conventional revenue line, pricing per dollar of sales isn’t meaningful, and book- or earnings-based multiples make the better comparison.

P/B Ratio (MRQ)

Both look rich against book: Toronto-Dominion Bank (TD) at 2.31 sits in the upper P/B ratio quartile, and HSBC (HSBC) at 7.20 prices even higher, above its industry range.

HSBC

Banks industry group

7.20

HSBC
7.20
Max
2.31
Q3
1.59
Median
1.33
Q1
1.10
Min
0.41

TD

Banks industry group

2.31

TD
2.31
Max
2.31
Q3
1.59
Median
1.33
Q1
1.10
Min
0.41
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HSBC (HSBC) vs. Toronto-Dominion Bank (TD): A comparison of their P/B ratio against the Banks industry group benchmark.

Valuation Metrics

Valuation metrics for HSBC (HSBC) and Toronto-Dominion Bank (TD)
MetricHSBCTD
P/E Ratio (TTM)12.9518.49
P/S Ratio (TTM)----
P/B Ratio (MRQ)7.202.31
Free Cash Flow Yield (TTM)----