U.S. Bancorp (NYSE:USB) Posts Earnings Results, Beats Estimates By $0.07 EPS

U.S. Bancorp (NYSE:USB) released its quarterly earnings results on Thursday. The financial services provider reported $1.35 earnings per share for the quarter, topping analysts’ consensus estimates of $1.28 by $0.07, Zacks reports. The company had revenue of $7.71 billion during the quarter, compared to analysts’ expectations of $7.58 billion. U.S. Bancorp had a return on equity of 13.69% and a net margin of 18.49%.During the same period in the previous year, the firm posted $1.11 earnings per share.

Here are the key takeaways from U.S. Bancorp’s conference call:

• U.S. Bancorp reported EPS of $1.35, up about 22% year over year, on record net revenue of $7.7 billion and 10.1% revenue growth, citing strong diversified execution.
• The company said fee growth accelerated broadly, with fee revenue up 13.2% year over year and full-year fee growth expected in the low teens, helped by capital markets, payments, and investment services. Management said fee revenue should continue to outpace NII in the near term.
• The newly completed BTIG acquisition is already contributing meaningfully, generating about $98 million of revenue in its first month and exceeding expectations. Management expects BTIG to contribute about $200 million per quarter in the back half of 2026 and help capital markets grow to more than 10% of total revenue over time.
• Core profitability improved again, with ROTC E at 18.7%, ROA at 1.26%, and the efficiency ratio improving to 57.1%. The company said it remains committed to positive operating leverage even as it invests in growth.
• Credit and balance-sheet trends remained solid, with nonperforming assets to loans at 0.33%, net charge-offs at 0.53%, and consumer deposits reaching another record. Management also reaffirmed a path toward a 3% NIM in 2027, while noting deposit costs could edge higher if loan growth stays strong.

U.S. Bancorp Stock Down 1.4%

USB opened at $63.14 on Friday. U.S. Bancorp has a twelve month low of $43.46 and a twelve month high of $64.84. The firm has a market cap of $97.93 billion, a price-to-earnings ratio of 12.60, a PEG ratio of 1.10 and a beta of 0.96. The firm’s 50-day simple moving average is $57.89 and its 200-day simple moving average is $56.08. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.81 and a current ratio of 0.83.

U.S. Bancorp Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th were issued a $0.52 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $2.08 dividend on an annualized basis and a dividend yield of 3.3%. U.S. Bancorp’s dividend payout ratio is presently 43.61%.

Key Headlines Impacting U.S. Bancorp

Here are the key news stories impacting U.S. Bancorp this week:

• Positive Sentiment: U.S. Bancorp posted Q2 earnings of $1.35 per share on revenue of $7.71 billion, both above estimates, with record quarterly revenue driven by loan growth, fee income, and a boost from its BTIG acquisition. U.S. Bancorp Q2 Earnings Beat Estimates on NII & Fee Revenue Growth
• Positive Sentiment: Management raised full-year revenue guidance to a 7% to 9% growth range, signaling confidence that momentum from higher net interest income and fee revenue will continue. Is USB’s Stronger Outlook And BTIG Fee Push Altering The Investment Case For U.S. Bancorp (USB)?
• Positive Sentiment: Several firms lifted price targets after the earnings release, including Oppenheimer, Wells Fargo, Truist, RBC, and Baird, reflecting improved sentiment around USB’s outlook. US Bancorp analysts boost their forecasts after upbeat Q2 results

Insider Buying and Selling at U.S. Bancorp

In other news, insider Jodi L. Richard sold 40,000 shares of U.S. Bancorp stock in a transaction that occurred 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 sale, the insider owned 207,251 shares in the company, valued at $11,813,307. The trade was a 16.18% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Venkatachari Dilip sold 34,522 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $55.52, for a total value of $1,916,661.44. Following the completion of the transaction, the executive vice president directly owned 51,292 shares in the company, valued at $2,847,731.84. The trade was a 40.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.21% of the company’s stock.

Institutional Investors Weigh In On U.S. Bancorp

A number of institutional investors and hedge funds have recently modified their holdings of USB. Brighton Jones LLC boosted its holdings in U.S. Bancorp by 323.0% in the 4th quarter. Brighton Jones LLC now owns 48,274 shares of the financial services provider’s stock valued at $2,309,000 after purchasing an additional 36,863 shares during the period. Empowered Funds LLC boosted its stake in shares of U.S. Bancorp by 2.1% in the 1st quarter. Empowered Funds LLC now owns 34,411 shares of the financial services provider’s stock valued at $1,453,000 after purchasing an additional 714 shares during the last quarter. Intech Investment Management LLC boosted its position in shares of U.S. Bancorp by 18.9% during the 1st quarter. Intech Investment Management LLC now owns 39,276 shares of the financial services provider’s stock valued at $1,658,000 after purchasing an additional 6,252 shares in the last quarter. Sivia Capital Partners LLC bought a new position in shares of U.S. Bancorp during the 2nd quarter worth approximately $425,000. Finally, Nebula Research & Development LLC bought a new position in shares of U.S. Bancorp during the 2nd quarter worth about $701,000. 77.60% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

USB has been the subject of several recent research reports. 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. Stephens increased their target price on U.S. Bancorp from $63.00 to $67.00 and gave the stock an “equal weight” rating in a research report on Friday. Wells Fargo & Company boosted their price target on U.S. Bancorp from $66.00 to $69.00 and gave the stock an “overweight” rating in a research report on Friday. Royal Bank Of Canada raised their target price on shares of U.S. Bancorp from $61.00 to $68.00 and gave the company an “outperform” rating in a research note on Friday. Finally, UBS Group boosted their price target on shares of U.S. Bancorp from $58.00 to $66.00 and gave the stock a “neutral” rating in a research report on Tuesday, July 7th. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, U.S. Bancorp has an average rating of “Moderate Buy” and an average price target of $66.52.

About U.S. Bancorp

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.