Toronto-Dominion Bank (TSX:TD)(NYSE:TD) deserves to be an anchor position in many Canadian portfolios, but it rarely goes on sale. That’s not the case right now.

The shares have pulled back recently and new investors finally have a chance to buy TD at a reasonable price. Here’s why I think you should consider owning the stock.

1. Retail strength

Toronto-Dominion Bank has a fantastic retail operation that continues to produce strong results even as the Canadian banking sectors faces headwinds.

Part of the success lies in the company’s army of front-line staff who are always on the lookout for an opportunity to provide clients with new products or services. Every time a qualified customer meets with a teller or an advisor, the client is offered a credit limit increase, a new credit card, an expanded line of credit, or additional investment products.

The bank operates as one massive sales organization, and investors reap the rewards because of it.

2. Cost controls

Toronto-Dominion Bank has a strong history of earnings growth. The company manages to do this in challenging times as well as during favourable economic conditions because it manages costs as well as it drives new revenues.

In its Q2 2015 earnings statement Toronto-Dominion Bank announced a $228 million restructuring charge. The company realizes it is facing a difficult environment and is making the required changes to improve efficiency across the bank.

Toronto-Dominion Bank reported 330 fewer employees at the end of April as compared with its previous quarter-end numbers.

At the same time, revenue in the second quarter rose 4.4% compared with the same period in 2014.

3. Diversified revenue stream

The company is best known for its strong Canadian retail business, but Toronto-Dominion Bank also has a large operation south of the border.

In fact, Toronto-Dominion Bank has spent nearly $17 billion over the past 10 years to acquire and build a network of more than 1,300 U.S.-based branches.

With each U.S. dollar in profit now worth about CAD$1.30 the bank is getting some benefit from the weakening conditions in the Canadian economy.

The U.S. retail operations accounted for 23% of adjusted net income in the second quarter. That number should increase as the U.S. economy continues to recover and the company improves operating efficiency in the division.

4. Low risks in Canada

The rout in the energy market and a growing housing bubble has pundits concerned that the Canadian banks are in for some rough times.

Toronto-Dominion Bank has very little exposure to the oil and gas sector with roughly 1% of its outstanding loans tied to that industry.

The company finished Q2 with $236 billion in Canadian mortgages on its books. The insured portion accounts for 60% of the portfolio and the loan-to-value ratio on the uninsured mortgages is 60%.

This means the housing market would have to fall off a cliff in a big way for Toronto-Dominion Bank to get hit with any significant losses.

The company is very well capitalized with a Basel III CET1 ratio of 9.9%.

5. Dividend growth and attractive valuation

Toronto-Dominion Bank pays a dividend of $2.04 per share that yields a solid 3.9%. The distribution is very safe and investors should see the payout continue to grow on a yearly basis. The stock currently trades at an attractive 10.8 times forward earnings, which means new investors should face limited downside risk.

Toronto-Dominion Bank is a solid pick to anchor your portfolio, but one dividend-growth stock is even better right now!

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Fool contributor Andrew Walker has no position in any stocks mentioned.