U.S. Bancorp (USB) Downgraded by Zacks Investment Research
According to Zacks, “U.S. Bancorp recently lowered its profit expectations, citing the persistent global turmoil and slow economic recovery. Apart from reducing ROE and ROA targets, the company also cut its net income growth projection. The revised targets signal that the current stressed operating environment is likely to continue for a longer period. The company’s bottom-line growth remains hindered by mounting expenses. Further, the company continues to face margin pressure amid the slow rise in interest rates. However, the company’s growth prospects should continue get support from its solid business model, core franchise and diverse revenue streams.”
USB has been the subject of a number of other reports. Keefe, Bruyette & Woods dropped their price target on U.S. Bancorp from $45.00 to $43.00 and set a market perform rating for the company in a research note on Tuesday, July 5th. Piper Jaffray Cos. reissued an overweight rating and set a $47.00 price target (up from $46.00) on shares of U.S. Bancorp in a research note on Tuesday, July 19th. Deutsche Bank AG reissued a hold rating on shares of U.S. Bancorp in a research note on Wednesday, June 15th. FBR & Co reissued a buy rating on shares of U.S. Bancorp in a research note on Monday, July 18th. Finally, Portales Partners raised U.S. Bancorp from a sector perform rating to an outperform rating in a research note on Thursday, August 25th. One research analyst has rated the stock with a sell rating, fourteen have issued a hold rating and eleven have issued a buy rating to the stock. The stock currently has an average rating of Hold and an average price target of $45.18.
Shares of U.S. Bancorp (NYSE:USB) opened at 43.26 on Monday. The company has a market capitalization of $74.04 billion, a price-to-earnings ratio of 13.56 and a beta of 0.72. U.S. Bancorp has a 12 month low of $37.07 and a 12 month high of $44.58. The stock has a 50 day moving average price of $43.24 and a 200-day moving average price of $41.83.
U.S. Bancorp (NYSE:USB) last released its quarterly earnings data on Friday, July 15th. The financial services provider reported $0.83 earnings per share for the quarter, topping analysts’ consensus estimates of $0.80 by $0.03. The firm earned $5.45 billion during the quarter. U.S. Bancorp had a return on equity of 14.05% and a net margin of 26.56%. The business’s revenue was up 8.1% on a year-over-year basis. During the same period last year, the company earned $0.80 EPS. Analysts expect that U.S. Bancorp will post $3.25 earnings per share for the current fiscal year.
The business also recently announced a quarterly dividend, which will be paid on Monday, October 17th. Shareholders of record on Friday, September 30th will be given a dividend of $0.28 per share. This represents a $1.12 annualized dividend and a yield of 2.59%. The ex-dividend date is Wednesday, September 28th. This is a boost from U.S. Bancorp’s previous quarterly dividend of $0.26. U.S. Bancorp’s dividend payout ratio (DPR) is 31.88%.
In other news, Vice Chairman Gillern Jeffry H. Von sold 102,961 shares of the firm’s stock in a transaction on Friday, July 22nd. The stock was sold at an average price of $42.00, for a total value of $4,324,362.00. Following the completion of the sale, the insider now owns 178,422 shares of the company’s stock, valued at approximately $7,493,724. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Craig E. Gifford sold 2,500 shares of the firm’s stock in a transaction on Thursday, July 21st. The stock was sold at an average price of $41.87, for a total value of $104,675.00. Following the completion of the sale, the executive vice president now directly owns 49,881 shares of the company’s stock, valued at approximately $2,088,517.47. The disclosure for this sale can be found here. Company insiders own 0.68% of the company’s stock.
Hedge funds have recently bought and sold shares of the company. Massachusetts Financial Services Co. MA boosted its stake in U.S. Bancorp by 19.6% in the second quarter. Massachusetts Financial Services Co. MA now owns 34,933,283 shares of the financial services provider’s stock worth $1,408,860,000 after buying an additional 5,736,183 shares during the last quarter. American Century Companies Inc. boosted its stake in U.S. Bancorp by 106.9% in the second quarter. American Century Companies Inc. now owns 10,310,646 shares of the financial services provider’s stock worth $415,828,000 after buying an additional 5,326,919 shares during the last quarter. Emerald Acquisition Ltd. acquired a new stake in U.S. Bancorp during the second quarter worth $154,541,000. Bank of Montreal Can acquired a new stake in U.S. Bancorp during the second quarter worth $86,393,000. Finally, Canada Pension Plan Investment Board boosted its stake in U.S. Bancorp by 111.3% in the second quarter. Canada Pension Plan Investment Board now owns 2,702,320 shares of the financial services provider’s stock worth $108,985,000 after buying an additional 1,423,176 shares during the last quarter. 72.58% of the stock is owned by hedge funds and other institutional investors.
About U.S. Bancorp
U.S. Bancorp is a multi-state financial services holding company. The Company’s banking subsidiary, U.S. Bank National Association, is engaged in the general banking business in domestic markets. It provides a range of financial services, including lending and depository services, cash management, capital markets, and trust and investment management services.
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