These 10 Dividend Stocks are Outperforming the Market in 2025

3. The Toronto-Dominion Bank (NYSE:TD)

Dividend yield: 4.89%

Dividend payout ratio: 87.08%

Ex-Dividend Date: April 10, 2025

Number of Hedge Funds: 26

The Toronto-Dominion Bank (NYSE:TD), headquartered in Ontario, Canada, offers financial services including personal, small business, and commercial banking solutions. The company’s customer base comprises both institutional and retail clients.

With a year-to-date increase of 12.53%, the banking company saw a year-over-year revenue growth of 91% in its most recent quarter. The EPS of Toronto-Dominion Bank (NYSE:TD), reported to be $2.02 in the first quarter of 2025, has surpassed the analyst’s forecast of $1.99. The sale of its Schwab stake and a substantial $ billion share buyback program allow the company to overcome unfavorable market conditions.

Toronto-Dominion (NYSE:TD) delivers a 4.89% dividend yield with an 87.08% payout ratio. Though the payout ratio is notably high, it indicates the potential of the company’s dividend policy to cover its dividend payments with its earnings. Twenty-six hedge funds in the Insider Monkey database hold ownership of the company’s stocks, suggesting a high institutional interest.

Analysts are maintaining a consensus Buy rating with a 1-year median price target of $67.44, suggesting a 12.57% upside from the current price as of March 3, 2025. Investors can purchase the shares before April 10, 2025, to be qualified for the next dividend payout.