U.S. Bancorp (USB) Stock

U.S. Bancorp trades at a P/E ratio of 11.33, which is below the market average of approximately 20. This lower valuation could indicate the market has modest growth expectations, or it might represent an undervalued opportunity if the fundamentals are strong. Looking ahead, the forward P/E of 10.59 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.71 indicates reasonable value when growth is considered.

With a beta of 1.02, U.S. Bancorp is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 1.34 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

U.S. Bancorp achieves a profit margin of 26.40%, meaning it retains $26.40 from every $100 in revenue after all expenses. This is an impressive margin, indicating strong pricing power and efficient cost management that allows the company to generate substantial profits. The operating margin of 35.70% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 11.50% and ROA at 0.99%, the company achieves moderate returns on invested capital.

U.S. Bancorp's revenue grew by 4.20% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings increased by 32.60% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against NATIONAL COMMERCIAL BANKS industry averages for proper context.

U.S. Bancorp offers a dividend yield of 4.37%, paying $1.99 per share annually. This high yield exceeds 4%, significantly outperforming the S&P 500 average of 1.5-2% and most investment-grade bonds. For income-focused investors, this represents an attractive cash flow opportunity, though high yields sometimes signal market concerns about sustainability. To receive the next dividend, shares must be purchased before the ex-dividend date of 6/30/2025.

The dividend sustainability can be assessed through the payout ratio - U.S. Bancorp pays $1.99 per share in dividends against earnings of $4.04 per share, resulting in a payout ratio of 49.26%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 7/15/2025.

U.S. Bancorp has a market capitalization of $71.30B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 1.56B shares outstanding, the company's ownership is widely distributed. As a participant in the NATIONAL COMMERCIAL BANKS industry, it competes with other firms in this sector.

U.S. Bancorp's book value per share is $34.15, while the current stock price is $46.89, resulting in a price-to-book (P/B) ratio of 1.37. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

24 analysts cover USB with 63% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $50.48 implies 7.7% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:6 Strong Buy, 9 Buy, 8 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

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MACD and moving average data are not available for this stock.