Toronto Dominion Bank Shares Surpass Analyst Target Price of $62.75
In recent trading, Toronto Dominion Bank (Symbol: TD) shares have risen above the average analyst 12-month target price of $62.75, now priced at $63.27 per share. When shares reach an analyst’s target, they typically have two options: either downgrade the stock due to valuation or adjust their target price higher. The analysts’ decisions might also be influenced by any fundamental developments that contribute to the stock price increase—improving conditions for the company could warrant a revised target price.
Within Zacks Investment Research’s coverage universe, there are 12 different analyst targets for Toronto Dominion Bank affecting this average. However, this average is simply a mathematical calculation. Some analysts project lower targets, with one estimating a price of $55.89, while another forecasts a much higher figure of $68.66, leading to a standard deviation of $4.367.
The purpose of considering the average TD price target is to tap into a “wisdom of crowds” approach. This averages the insights from various analysts instead of relying on a single expert opinion. Now that TD’s stock is trading above the average target price of $62.75 per share, it signals an opportunity for investors to reassess their positions. They may consider whether $62.75 is just an interim target on the way to a higher level or if the current valuation suggests it might be wise to take some profits. Below is a summary of current analyst ratings for Toronto Dominion Bank:
| Recent TD Analyst Ratings Breakdown | ||||
|---|---|---|---|---|
| » | Current | 1 Month Ago | 2 Month Ago | 3 Month Ago |
| Strong buy ratings: | 6 | 6 | 6 | 6 |
| Buy ratings: | 1 | 1 | 1 | 1 |
| Hold ratings: | 5 | 5 | 5 | 5 |
| Sell ratings: | 0 | 0 | 0 | 0 |
| Strong sell ratings: | 1 | 1 | 1 | 1 |
| Average rating: | 2.15 | 2.15 | 2.15 | 2.15 |
The average rating, indicated in the table, follows a scale from 1 to 5, where 1 is Strong Buy and 5 is Strong Sell. The data used in this analysis is sourced from Zacks Investment Research via Quandl.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
