U.S. Bancorp (NYSE:USB) Reaches New 52-Week High - Still a Buy?

Key Points

• U.S. Bancorp shares reached a new 52-week high of $64.84, supported by a consensus “Moderate Buy” rating and an average analyst price target of $67.06. Several brokerages recently raised their targets, including Barclays to $75 and Evercore to $72.
• The bank exceeded quarterly expectations, reporting $1.35 in EPS versus the $1.28 consensus and revenue of $7.71 billion. Net margin was 18.49%, while return on equity reached 13.69%.
• U.S. Bancorp maintains a quarterly dividend of $0.52 per share, equivalent to an annualized $2.08 payout and a 3.2% yield; institutional investors own 77.6% of the company, while an insider recently sold 36,906 shares.

U.S. Bancorp (NYSE:USB - Get Free Report)'s share price hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $64.84 and last traded at $64.6580, with a volume of 4312056 shares. The stock had previously closed at $63.94.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on USB. Wells Fargo & Company upped their price target on shares of U.S. Bancorp from $66.00 to $69.00 and gave the stock an "overweight" rating in a report on Friday, July 17th. Barclays raised their target price on U.S. Bancorp from $67.00 to $75.00 and gave the company an "overweight" rating in a report on Friday, July 17th. Stephens boosted their price target on U.S. Bancorp from $63.00 to $67.00 and gave the stock an "equal weight" rating in a report on Friday, July 17th. Evercore raised U.S. Bancorp from an "in-line" rating to an "outperform" rating and set a $72.00 price objective on the stock in a research note on Monday, July 20th. Finally, UBS Group raised their price target on shares of U.S. Bancorp from $58.00 to $66.00 and gave the company a "neutral" rating in a research note on Tuesday, July 7th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $67.06.

U.S. Bancorp Price Performance

The company has a fifty day simple moving average of $60.00 and a 200 day simple moving average of $56.78. The stock has a market capitalization of $99.52 billion, a price-to-earnings ratio of 12.81, a P/E/G ratio of 1.03 and a beta of 0.96. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.82 and a current ratio of 0.83.

U.S. Bancorp (NYSE:USB - Get Free Report) last released its quarterly earnings results on Thursday, July 16th. The financial services provider reported $1.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.07. The firm had revenue of $7.71 billion during the quarter, compared to analyst estimates of $7.58 billion. U.S. Bancorp had a net margin of 18.49% and a return on equity of 13.69%. During the same quarter last year, the business earned $1.11 EPS. Equities research analysts forecast that U.S. Bancorp will post 5.22 EPS for the current fiscal year.

U.S. Bancorp Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were issued a dividend of $0.52 per share. This represents a $2.08 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date was Tuesday, June 30th. U.S. Bancorp's dividend payout ratio is presently 41.52%.

Insider Transactions at U.S. Bancorp

In other U.S. Bancorp news, insider Stephen L. Philipson sold 36,906 shares of the firm's stock in a transaction on Monday, July 20th. The shares were sold at an average price of $63.08, for a total value of $2,328,030.48. Following the completion of the sale, the insider directly owned 74,969 shares in the company, valued at approximately $4,729,044.52. This trade represents a 32.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.21% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On U.S. Bancorp

Institutional investors and hedge funds have recently made changes to their positions in the stock. Bank & Trust Co grew its stake in shares of U.S. Bancorp by 5.7% in the 2nd quarter. Bank & Trust Co now owns 10,912 shares of the financial services provider's stock valued at $659,000 after buying an additional 584 shares during the period. Wedge Capital Management L L P NC bought a new stake in U.S. Bancorp in the 2nd quarter valued at about $202,000. Annex Advisory Services LLC raised its stake in U.S. Bancorp by 1.7% during the 2nd quarter. Annex Advisory Services LLC now owns 36,218 shares of the financial services provider's stock worth $2,188,000 after buying an additional 600 shares during the period. Cardinal Capital Management Inc. raised its stake in U.S. Bancorp by 5.4% during the 2nd quarter. Cardinal Capital Management Inc. now owns 326,565 shares of the financial services provider's stock worth $19,725,000 after buying an additional 16,814 shares during the period. Finally, Tema ETFs LLC boosted its holdings in U.S. Bancorp by 10.3% in the second quarter. Tema ETFs LLC now owns 29,461 shares of the financial services provider's stock worth $1,779,000 after acquiring an additional 2,755 shares in the last quarter. Institutional investors own 77.60% of the company's stock.

U.S. Bancorp Company 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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