Overview

• CIBC reported a Q4 profit of $1.88 billion, or $1.91 per share adjusted, surpassing analysts' expectations of $1.79 per share, driven by higher loan profit margins and reduced credit loss provisions.
• CIBC increased its quarterly dividend by nearly 8% to $0.97 per share, signaling strength in its core Canadian and U.S. retail banking businesses.
• TD Bank is prioritizing anti-money laundering compliance after a $3 billion penalty and U.S. regulatory sanctions, suspending its medium-term financial targets for profitability and growth.
• TD's Q4 earnings missed expectations, with adjusted earnings at $1.72 per share compared to analysts' forecast of $1.82, as the bank set aside $1.1 billion in provisions for potential loan defaults.
• Analysts remain cautious about TD's near-term outlook, citing ongoing compliance costs, asset growth restrictions in the U.S., and uncertainty over when the bank will regain investor confidence.