TD vs. CM

Last updated Jun 3, 2026

TD (The Toronto-Dominion Bank) and CM (Canadian Imperial Bank of Commerce) are both stocks. Both operate in the Banks - Diversified industry within the Financial Services sector. Over the past 10 years, TD returned 14.55%/yr vs 16.90%/yr for CM. A 0.74 correlation means they provide meaningful diversification when combined.

Performance

TD vs. CM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in The Toronto-Dominion Bank (TD) and Canadian Imperial Bank of Commerce (CM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TD achieves a 22.26% return, which is significantly higher than CM's 20.82% return. Over the past 10 years, TD has underperformed CM with an annualized return of 14.55%, while CM has yielded a comparatively higher 16.90% annualized return.

TD

• 1D: 2.34%
• 1M: 5.60%
• YTD: 22.26%
• 6M: 36.21%
• 1Y: 69.51%
• 3Y*: 30.45%
• 5Y*: 14.26%
• 10Y*: 14.55%

CM

• 1D: 2.45%
• 1M: -3.18%
• YTD: 20.82%
• 6M: 27.50%
• 1Y: 66.05%
• 3Y*: 43.33%
• 5Y*: 18.61%
• 10Y*: 16.90%

*Multi-year figures are annualized to reflect compound growth (CAGR)

TD vs. CM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TD The Toronto-Dominion Bank	22.26%	85.32%	-13.40%	5.04%	-12.19%	41.25%	5.58%	17.45%	-12.10%	22.85%
CM Canadian Imperial Bank of Commerce	20.82%	49.02%	37.83%	27.23%	-25.71%	42.29%	9.25%	19.22%	-19.75%	26.58%

Correlation

The correlation between TD and CM is 0.69, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.69
Correlation (3Y) Calculated over the trailing 3-year period	0.62
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (10Y) Calculated over the trailing 10-year period	0.74
Correlation (All Time) Calculated using the full available price history since Nov 14, 1997	0.74

The correlation between TD and CM shifts across timeframes, from 0.62 (3 years) to 0.74 (all time), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap TD : $138.85B CM : $73.83B
EPS TD : $10.11 CM : $12.14
PE Ratio TD : 11.21 CM : 8.94
PEG Ratio TD : 0.40 CM : 1.10
PS Ratio TD : 1.48 CM : 1.42
PB Ratio TD : 1.23 CM : 1.27
Total Revenue (TTM) TD : $112.63B CM : $61.84B
Gross Profit (TTM) TD : $59.49B CM : $28.74B
EBITDA (TTM) TD : $19.99B CM : $13.01B

Return for Risk

TD vs. CM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

TD

TD Risk / Return Rank: 98
TD Sharpe Ratio Rank: 97
TD Sortino Ratio Rank: 98
TD Omega Ratio Rank: 97
TD Calmar Ratio Rank: 97
TD Martin Ratio Rank: 98

CM

CM Risk / Return Rank: 95
CM Sharpe Ratio Rank: 96
CM Sortino Ratio Rank: 96
CM Omega Ratio Rank: 95
CM Calmar Ratio Rank: 93
CM Martin Ratio Rank: 97

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

TD vs. CM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for The Toronto-Dominion Bank (TD) and Canadian Imperial Bank of Commerce (CM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	TD	CM	Difference
Sharpe ratio Return per unit of total volatility	4.24	3.53	+0.70
Sortino ratio Return per unit of downside risk	5.32	4.37	+0.94
Omega ratio Gain probability vs. loss probability	1.69	1.60	+0.10
Calmar ratio Return relative to maximum drawdown	9.35	6.08	+3.27
Martin ratio Return relative to average drawdown	36.58	25.42	+11.16
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TD vs. CM - Sharpe Ratio Comparison

The current TD Sharpe Ratio is 4.24, which is comparable to the CM Sharpe Ratio of 3.53. The chart below compares the historical Sharpe Ratios of TD and CM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	TD	CM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	4.24	3.53	+0.70
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.72	0.88	-0.15
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.67	0.75	-0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.60	0.50	+0.10

Drawdowns

TD vs. CM - Drawdown Comparison

The maximum TD drawdown since its inception was -64.18%, smaller than the maximum CM drawdown of -71.70%. Use the drawdown chart below to compare losses from any high point for TD and CM.

Drawdown Indicators

	TD	CM	Difference
Max Drawdown Largest peak-to-trough decline	-64.18%	-71.70%	+7.52%
Max Drawdown (1Y) Largest decline over 1 year	-7.50%	-10.79%	+3.29%
Max Drawdown (3Y) Largest decline over 3 years	-19.19%	-19.47%	+0.28%
Max Drawdown (5Y) Largest decline over 5 years	-30.93%	-40.61%	+9.68%
Max Drawdown (10Y) Largest decline over 10 years	-41.98%	-47.82%	+5.84%
Current Drawdown Current decline from peak	-0.23%	-6.22%	+5.99%
Average Drawdown Average peak-to-trough decline	-11.24%	-14.67%	+3.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.92%	2.58%	-0.66%

Volatility

TD vs. CM - Volatility Comparison

The current volatility for The Toronto-Dominion Bank (TD) is 5.61%, while Canadian Imperial Bank of Commerce (CM) has a volatility of 8.01%. This indicates that TD experiences smaller price fluctuations and is considered to be less risky than CM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TD	CM	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.61%	8.01%	-2.40%
Volatility (6M) Calculated over the trailing 6-month period	12.96%	16.39%	-3.43%
Volatility (1Y) Calculated over the trailing 1-year period	16.50%	18.80%	-2.30%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.81%	21.38%	-1.57%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.72%	22.62%	-0.90%

Dividends

TD vs. CM - Dividend Comparison

TD's dividend yield for the trailing twelve months is around 2.71%, which matches CM's 2.73% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CM Canadian Imperial Bank of Commerce	2.73%	3.17%	4.21%	5.88%	7.77%	4.08%	5.06%	6.47%	5.48%	5.28%	5.93%	6.71%
TD The Toronto-Dominion Bank	2.71%	3.17%	5.65%	4.80%	4.24%	3.27%	4.10%	3.89%	4.08%	3.03%	3.58%	5.11%

Financials

TD vs. CM - Profitability Comparison

The chart below illustrates the profitability comparison between The Toronto-Dominion Bank and Canadian Imperial Bank of Commerce over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

TD - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, The Toronto-Dominion Bank reported a gross profit of 14.90B and revenue of 27.02B. Therefore, the gross margin over that period was 55.2%.

CM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Canadian Imperial Bank of Commerce reported a gross profit of 7.36B and revenue of 15.22B. Therefore, the gross margin over that period was 48.4%.

TD - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, The Toronto-Dominion Bank reported an operating income of 5.02B and revenue of 27.02B, resulting in an operating margin of 18.6%.

CM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Canadian Imperial Bank of Commerce reported an operating income of 3.20B and revenue of 15.22B, resulting in an operating margin of 21.0%.

TD - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, The Toronto-Dominion Bank reported a net income of 4.25B and revenue of 27.02B, resulting in a net margin of 15.7%.

CM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Canadian Imperial Bank of Commerce reported a net income of 2.46B and revenue of 15.22B, resulting in a net margin of 16.1%.

Frequently Asked Questions

Can I hold both TD and CM in my portfolio?

TD and CM have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TD or CM?

CM has higher volatility (8.01%) compared to TD (5.61%). In terms of maximum drawdown, TD dropped -64.18% vs CM's -71.70%.

Which has better risk-adjusted returns?

TD currently has the higher Sharpe Ratio (4.24 vs 3.53), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.