Capital Research Global Investors Purchases New Position in U.S. Bancorp $USB

Key Points

• Capital Research Global Investors opened a new position in U.S. Bancorp, buying 5.55 million shares valued at about $296.4 million. The stake represented roughly 0.36% of the company.
• U.S. Bancorp recently reported better-than-expected quarterly results, with earnings per share of $1.18 versus estimates of $1.14 and revenue of $7.32 billion, up 4.7% year over year.
• Analysts currently have a Moderate Buy consensus on the stock with an average price target of $61.20, while the company also pays a quarterly dividend of $0.52 per share for a 3.7% yield.

Capital Research Global Investors purchased a new stake in U.S. Bancorp (NYSE:USB - Free Report) during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm purchased 5,554,298 shares of the financial services provider's stock, valued at approximately $296,377,000. Capital Research Global Investors owned approximately 0.36% of U.S. Bancorp as of its most recent filing with the Securities and Exchange Commission.

Several other large investors have also added to or reduced their stakes in the business. Paulson Wealth Management Inc. lifted its position in U.S. Bancorp by 2.0% in the 4th quarter. Paulson Wealth Management Inc. now owns 8,780 shares of the financial services provider's stock valued at $469,000 after acquiring an additional 173 shares in the last quarter. Gilbert & Cook Inc. lifted its position in shares of U.S. Bancorp by 1.2% during the 4th quarter. Gilbert & Cook Inc. now owns 15,590 shares of the financial services provider's stock worth $832,000 after buying an additional 184 shares in the last quarter. Flputnam Investment Management Co. lifted its position in shares of U.S. Bancorp by 1.4% during the 4th quarter. Flputnam Investment Management Co. now owns 13,721 shares of the financial services provider's stock worth $732,000 after buying an additional 186 shares in the last quarter. Genesis Private Wealth LLC lifted its position in shares of U.S. Bancorp by 2.3% during the 4th quarter. Genesis Private Wealth LLC now owns 8,348 shares of the financial services provider's stock worth $445,000 after buying an additional 187 shares in the last quarter. Finally, RiverFront Investment Group LLC lifted its position in shares of U.S. Bancorp by 3.0% during the 4th quarter. RiverFront Investment Group LLC now owns 6,623 shares of the financial services provider's stock worth $353,000 after buying an additional 196 shares in the last quarter. Institutional investors own 77.60% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms have commented on USB. Weiss Ratings raised shares of U.S. Bancorp from a "buy (b-)" rating to a "buy (b)" rating in a research report on Monday, May 4th. Jefferies Financial Group reissued a "hold" rating and set a $60.00 target price on shares of U.S. Bancorp in a research report on Thursday, April 16th. DA Davidson reissued a "buy" rating and set a $65.00 target price on shares of U.S. Bancorp in a research report on Friday, April 17th. JPMorgan Chase & Co. dropped their target price on shares of U.S. Bancorp from $58.00 to $57.50 and set an "underweight" rating on the stock in a research report on Thursday, April 30th. Finally, Royal Bank Of Canada lifted their target price on shares of U.S. Bancorp from $59.00 to $61.00 and gave the stock an "outperform" rating in a research report on Friday, April 17th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, U.S. Bancorp has a consensus rating of "Moderate Buy" and a consensus price target of $61.20.

U.S. Bancorp Stock Up 0.0%

U.S. Bancorp stock opened at $55.70 on Monday. U.S. Bancorp has a 1-year low of $42.55 and a 1-year high of $61.19. The firm has a market capitalization of $86.39 billion, a price-to-earnings ratio of 11.68, a P/E/G ratio of 1.00 and a beta of 0.97. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 1.03. The firm has a 50 day simple moving average of $54.71 and a 200 day simple moving average of $54.23.

U.S. Bancorp (NYSE:USB - Get Free Report) last released its quarterly earnings data on Thursday, April 16th. The financial services provider reported $1.18 earnings per share for the quarter, beating analysts' consensus estimates of $1.14 by $0.04. The business had revenue of $7.32 billion during the quarter, compared to analyst estimates of $7.27 billion. U.S. Bancorp had a net margin of 18.01% and a return on equity of 13.55%. U.S. Bancorp's revenue was up 4.7% compared to the same quarter last year. During the same period in the previous year, the business earned $1.03 EPS. On average, analysts predict that U.S. Bancorp will post 5.09 earnings per share for the current year.

U.S. Bancorp Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st were given a dividend of $0.52 per share. This represents a $2.08 dividend on an annualized basis and a dividend yield of 3.7%. The ex-dividend date was Tuesday, March 31st. U.S. Bancorp's payout ratio is 43.61%.

Insiders Place Their Bets

In other news, insider Jodi L. Richard sold 40,000 shares of the business's stock in a transaction on Tuesday, April 21st. The shares were sold at an average price of $57.00, for a total transaction of $2,280,000.00. Following the completion of the transaction, the insider directly owned 207,251 shares in the company, valued at $11,813,307. The trade was a 16.18% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Venkatachari Dilip sold 34,522 shares of the business's stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $55.52, for a total transaction of $1,916,661.44. Following the transaction, the executive vice president owned 51,292 shares of the company's stock, valued at $2,847,731.84. This trade represents a 40.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.21% of the stock is owned by insiders.

U.S. Bancorp Profile

U.S. Bancorp NYSE: USB is a bank holding company and the parent of U.S. Bank, a national commercial bank that provides a wide range of banking, investment, mortgage, trust and payment services. The company operates through consumer and business banking, commercial banking, payment services, and wealth management segments. Its product set includes deposit accounts, consumer and commercial lending, mortgage origination and servicing, credit and debit card services, treasury and cash management, merchant processing, and institutional and trust services.

Headquartered in Minneapolis, Minnesota, U.S.

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