- U.S. Bancorp’s third-quarter earnings per share (EPS) were $1.03, surpassing analysts’ estimate of 99 cents.
- Provisions for credit losses totaled $557 million, which is lower than the expected $572.6 million.
- Net charge-offs were reported at $564 million, slightly above the estimate of $560.4 million.
- Net interest income on a fully taxable equivalent basis was $4.17 billion, exceeding the projected $4.06 billion.
- The net interest margin was 2.74%, higher than the estimated 2.66%.
- Non-interest income came in at $2.70 billion, which is below the forecasted $2.85 billion.
- The Basel III common equity Tier 1 ratio was in line with estimates at 10.5%.
- Non-interest expenses were consistent with expectations, at $4.20 billion.
- The effective tax rate was lower than projected, at 16.9% compared to the expected 21.6%.
- Analysts’ recommendations include 11 buy ratings, 13 hold ratings, and no sell ratings.
A look at US Bancorp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, U.S. Bancorp appears to have a positive long-term outlook. With strong scores in Value and Dividend at 4 each, the company is perceived favorably in terms of its valuation and dividend-paying potential. In addition, its high Momentum score of 5 suggests that U.S. Bancorp is experiencing positive investor sentiment and market momentum. However, the slightly lower scores in Growth and Resilience at 3 each indicate that there may be areas for improvement in terms of growth potential and resilience to market fluctuations. Overall, U.S. Bancorp, a diversified financial services company operating primarily in the Midwest and Western United States, seems to be positioned well for the future.
U.S. Bancorp’s strong scores in Value, Dividend, and Momentum reflect its standing as a reputable player in the financial services sector. With a wide range of offerings including lending, depository services, credit card services, and trust management, the company has built a solid foundation for continued success. While there is room for enhancing growth and resilience factors, the overall outlook for U.S. Bancorp remains positive. Investors may find comfort in the company’s stable performance and solid fundamentals, making it a potential long-term investment choice in the financial industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
