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US BANCORP (USB) Stock Fundamental Analysis

NYSE:USB - New York Stock Exchange, Inc. - US9029733048 - Common Stock - Currency: USD

47.78  -0.15 (-0.31%)

After market: 47.8664 +0.09 (+0.18%)

Fundamental Rating

3

USB gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 397 industry peers in the Banks industry. Both the profitability and financial health of USB have multiple concerns. USB has a correct valuation and a medium growth rate. USB also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

USB had positive earnings in the past year.
In the past year USB had a positive cash flow from operations.
Each year in the past 5 years USB has been profitable.
In the past 5 years USB always reported a positive cash flow from operatings.
USB Yearly Net Income VS EBIT VS OCF VS FCFUSB Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

1.2 Ratios

USB's Return On Assets of 0.93% is in line compared to the rest of the industry. USB outperforms 58.44% of its industry peers.
Looking at the Return On Equity, with a value of 10.49%, USB is in the better half of the industry, outperforming 73.05% of the companies in the same industry.
Industry RankSector Rank
ROA 0.93%
ROE 10.49%
ROIC N/A
ROA(3y)0.82%
ROA(5y)0.92%
ROE(3y)10.02%
ROE(5y)10.52%
ROIC(3y)N/A
ROIC(5y)N/A
USB Yearly ROA, ROE, ROICUSB Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

USB's Profit Margin of 22.86% is in line compared to the rest of the industry. USB outperforms 45.09% of its industry peers.
USB's Profit Margin has declined in the last couple of years.
USB does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) 22.86%
GM N/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-13.56%
PM growth 5Y-5.56%
GM growth 3YN/A
GM growth 5YN/A
USB Yearly Profit, Operating, Gross MarginsUSB Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

0

2. Health

2.1 Basic Checks

USB does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for USB remains at a similar level compared to 1 year ago.
Compared to 5 years ago, USB has more shares outstanding
USB has a worse debt/assets ratio than last year.
USB Yearly Shares OutstandingUSB Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
USB Yearly Total Debt VS Total AssetsUSB Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200B 400B 600B

2.2 Solvency

The Debt to FCF ratio of USB is 9.25, which is on the high side as it means it would take USB, 9.25 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 9.25, USB is doing worse than 78.84% of the companies in the same industry.
A Debt/Equity ratio of 1.28 is on the high side and indicates that USB has dependencies on debt financing.
USB's Debt to Equity ratio of 1.28 is on the low side compared to the rest of the industry. USB is outperformed by 87.15% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.28
Debt/FCF 9.25
Altman-Z N/A
ROIC/WACCN/A
WACC13.97%
USB Yearly LT Debt VS Equity VS FCFUSB Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
USB Yearly Current Assets VS Current LiabilitesUSB Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

4

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 1.23% over the past year.
USB shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.63% yearly.
Looking at the last year, USB shows a small growth in Revenue. The Revenue has grown by 0.08% in the last year.
The Revenue has been growing slightly by 3.62% on average over the past years.
EPS 1Y (TTM)1.23%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%14.44%
Revenue 1Y (TTM)0.08%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%3.64%

3.2 Future

The Earnings Per Share is expected to grow by 5.38% on average over the next years.
The Revenue is expected to grow by 4.27% on average over the next years.
EPS Next Y9.95%
EPS Next 2Y10.21%
EPS Next 3Y10.29%
EPS Next 5Y5.38%
Revenue Next Year3.74%
Revenue Next 2Y4.17%
Revenue Next 3Y4.27%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
USB Yearly Revenue VS EstimatesUSB Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 10B 20B 30B
USB Yearly EPS VS EstimatesUSB Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2 4 6

5

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 11.63, the valuation of USB can be described as very reasonable.
Based on the Price/Earnings ratio, USB is valued a bit cheaper than 64.23% of the companies in the same industry.
USB is valuated cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.88 indicates a reasonable valuation of USB.
The rest of the industry has a similar Price/Forward Earnings ratio as USB.
The average S&P500 Price/Forward Earnings ratio is at 21.74. USB is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 11.63
Fwd PE 9.88
USB Price Earnings VS Forward Price EarningsUSB Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

75.31% of the companies in the same industry are more expensive than USB, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 8.94
EV/EBITDA N/A
USB Per share dataUSB EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

USB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y10.21%
EPS Next 3Y10.29%

7

5. Dividend

5.1 Amount

USB has a Yearly Dividend Yield of 4.17%, which is a nice return.
Compared to an average industry Dividend Yield of 3.30, USB pays a better dividend. On top of this USB pays more dividend than 80.35% of the companies listed in the same industry.
USB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
Industry RankSector Rank
Dividend Yield 4.17%

5.2 History

The dividend of USB has a limited annual growth rate of 4.83%.
USB has been paying a dividend for at least 10 years, so it has a reliable track record.
USB has decreased its dividend recently.
Dividend Growth(5Y)4.83%
Div Incr Years1
Div Non Decr Years1
USB Yearly Dividends per shareUSB Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

54.91% of the earnings are spent on dividend by USB. This is a bit on the high side, but may be sustainable.
USB's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP54.91%
EPS Next 2Y10.21%
EPS Next 3Y10.29%
USB Yearly Income VS Free CF VS DividendUSB Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B
USB Dividend Payout.USB Dividend Payout, showing the Payout Ratio.USB Dividend Payout.PayoutRetained Earnings

US BANCORP

NYSE:USB (7/7/2025, 8:04:00 PM)

After market: 47.8664 +0.09 (+0.18%)

47.78

-0.15 (-0.31%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)04-16 2025-04-16/bmo
Earnings (Next)07-17 2025-07-17/bmo
Inst Owners81.25%
Inst Owner Change0.01%
Ins Owners0.08%
Ins Owner Change6.86%
Market Cap74.44B
Analysts75.71
Price Target51.71 (8.23%)
Short Float %1.2%
Short Ratio2.07
Dividend
Industry RankSector Rank
Dividend Yield 4.17%
Yearly Dividend2.21
Dividend Growth(5Y)4.83%
DP54.91%
Div Incr Years1
Div Non Decr Years1
Ex-Date06-30 2025-06-30 (0.5)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.31%
Min EPS beat(2)0.45%
Max EPS beat(2)4.16%
EPS beat(4)4
Avg EPS beat(4)2.77%
Min EPS beat(4)0.45%
Max EPS beat(4)4.16%
EPS beat(8)6
Avg EPS beat(8)1.65%
EPS beat(12)10
Avg EPS beat(12)1.57%
EPS beat(16)13
Avg EPS beat(16)2.58%
Revenue beat(2)0
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-1.3%
Max Revenue beat(2)-0.76%
Revenue beat(4)0
Avg Revenue beat(4)-1.08%
Min Revenue beat(4)-1.88%
Max Revenue beat(4)-0.36%
Revenue beat(8)0
Avg Revenue beat(8)-1.17%
Revenue beat(12)1
Avg Revenue beat(12)-1.27%
Revenue beat(16)3
Avg Revenue beat(16)-1.03%
PT rev (1m)2.04%
PT rev (3m)-7.18%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)-0.88%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)-0.47%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)-1.14%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.52%
Valuation
Industry RankSector Rank
PE 11.63
Fwd PE 9.88
P/S 2.7
P/FCF 8.94
P/OCF 8.94
P/B 1.24
P/tB 1.77
EV/EBITDA N/A
EPS(TTM)4.11
EY8.6%
EPS(NY)4.83
Fwd EY10.12%
FCF(TTM)5.34
FCFY11.19%
OCF(TTM)5.34
OCFY11.19%
SpS17.7
BVpS38.57
TBVpS27.06
PEG (NY)1.17
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 0.93%
ROE 10.49%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) 22.86%
GM N/A
FCFM 30.19%
ROA(3y)0.82%
ROA(5y)0.92%
ROE(3y)10.02%
ROE(5y)10.52%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-13.56%
PM growth 5Y-5.56%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.04
Health
Industry RankSector Rank
Debt/Equity 1.28
Debt/FCF 9.25
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality 132.11%
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score8
WACC13.97%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)247.31%
Profit Quality(5y)190.42%
High Growth Momentum
Growth
EPS 1Y (TTM)1.23%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%14.44%
EPS Next Y9.95%
EPS Next 2Y10.21%
EPS Next 3Y10.29%
EPS Next 5Y5.38%
Revenue 1Y (TTM)0.08%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%3.64%
Revenue Next Year3.74%
Revenue Next 2Y4.17%
Revenue Next 3Y4.27%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-38.25%
FCF growth 3Y4.53%
FCF growth 5Y18.19%
OCF growth 1Y-38.25%
OCF growth 3Y4.53%
OCF growth 5Y18.19%