Banks TD or BMO?

Awesome Mat. Yes I am leaning to the TD side as well. It is the bank I deal with for most banking needs too. Have never owned it but may be a time to take a small position in these times. Have still been able to create a 20% return in past 12 months with help from you both in decision making.
Cheers!
George S.

Hey there - tough call on this one. TD posted some of the bettter results from this quarter so far but BMO is only reporting next week.

Both are trading at similar discounts to historical valuations and both have similar yields. That said, TD does have a higher dividend growth rate and it'll likely be higher moving forward since it has better payout ratio. Likewise, it is expected to grow at a slightly fast pace than BMO according to analysts 3YR estimates, but not by much ~1% average more.

All in all, these are very, very close in terms of which is the better buy. I will say, both look attractive here. Honestly, super tough but I'll lean towards TD just because of its size, has been a better performer historically and since it typically commands a premiuem (along with RBC). Slight edge to TD in this case, but I'd be very comfortable with both.

Full disclosure...i own both.

Mat