US BANCORP (USB) Stock Fundamental Analysis
USA - NYSE:USB - US9029733048 - Common Stock
45.92 USD
+0.45 (+0.99%)
45.62 USD
-0.3 (-0.65%)
We assign a fundamental rating of 3 out of 10 to USB. USB was compared to 388 industry peers in the Banks industry. Both the profitability and financial health of USB have multiple concerns. USB has a decent growth rate and is not valued too expensively. Finally USB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year USB was profitable.
USB had a positive operating cash flow in the past year.
Each year in the past 5 years USB has been profitable.
Each year in the past 5 years USB had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.98%, USB is in the better half of the industry, outperforming 60.82% of the companies in the same industry.
USB's Return On Equity of 10.75% is fine compared to the rest of the industry. USB outperforms 73.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 10.75% | ||
| 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
1.3 Margins
USB has a Profit Margin (24.16%) which is in line with its industry peers.
In the last couple of years the Profit Margin of USB has declined.
USB does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 24.16% | ||
| 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
2. Health
2.1 Basic Checks
USB does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, USB has about the same amount of shares outstanding.
USB has more shares outstanding than it did 5 years ago.
USB has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of USB is 7.88, which is on the high side as it means it would take USB, 7.88 years of fcf income to pay off all of its debts.
USB's Debt to FCF ratio of 7.88 is on the low side compared to the rest of the industry. USB is outperformed by 75.52% of its industry peers.
A Debt/Equity ratio of 1.23 is on the high side and indicates that USB has dependencies on debt financing.
USB has a Debt to Equity ratio of 1.23. This is amonst the worse of the industry: USB underperforms 86.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 7.88 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.84%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
USB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.59%, which is quite good.
USB shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.63% yearly.
USB shows a small growth in Revenue. In the last year, the Revenue has grown by 4.04%.
USB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.62% yearly.
EPS 1Y (TTM)13.59%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%18.45%
Revenue 1Y (TTM)4.04%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%6.83%
3.2 Future
USB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.43% yearly.
The Revenue is expected to grow by 4.35% on average over the next years.
EPS Next Y14.99%
EPS Next 2Y11.59%
EPS Next 3Y11.54%
EPS Next 5Y7.43%
Revenue Next Year4.03%
Revenue Next 2Y4.22%
Revenue Next 3Y4.35%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.37, which indicates a very decent valuation of USB.
Compared to the rest of the industry, the Price/Earnings ratio of USB indicates a somewhat cheap valuation: USB is cheaper than 65.21% of the companies listed in the same industry.
USB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.51.
A Price/Forward Earnings ratio of 9.27 indicates a reasonable valuation of USB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of USB is on the same level as its industry peers.
USB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.37 | ||
| Fwd PE | 9.27 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of USB indicates a rather cheap valuation: USB is cheaper than 82.47% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.22 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.69
PEG (5Y)N/A
EPS Next 2Y11.59%
EPS Next 3Y11.54%
5. Dividend
5.1 Amount
USB has a Yearly Dividend Yield of 4.40%, which is a nice return.
USB's Dividend Yield is rather good when compared to the industry average which is at 3.39. USB pays more dividend than 82.99% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, USB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.4% |
5.2 History
The dividend of USB has a limited annual growth rate of 4.83%.
USB has paid a dividend for at least 10 years, which is a reliable track record.
USB has decreased its dividend recently.
Dividend Growth(5Y)4.83%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
USB pays out 51.09% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of USB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP51.09%
EPS Next 2Y11.59%
EPS Next 3Y11.54%
45.92
+0.45 (+0.99%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners82.28%
Inst Owner Change-1.91%
Ins Owners0.07%
Ins Owner Change-1.19%
Market Cap71.46B
Revenue(TTM)28.18B
Net Income(TTM)6.81B
Analysts76.55
Price Target56.68 (23.43%)
Short Float %1.12%
Short Ratio1.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.4% |
Yearly Dividend2.21
Dividend Growth(5Y)4.83%
DP51.09%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.11%
Min EPS beat(2)2.83%
Max EPS beat(2)7.4%
EPS beat(4)4
Avg EPS beat(4)3.71%
Min EPS beat(4)0.45%
Max EPS beat(4)7.4%
EPS beat(8)7
Avg EPS beat(8)2.85%
EPS beat(12)10
Avg EPS beat(12)2.34%
EPS beat(16)13
Avg EPS beat(16)1.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.53%
Min Revenue beat(2)-2.01%
Max Revenue beat(2)0.95%
Revenue beat(4)1
Avg Revenue beat(4)-0.78%
Min Revenue beat(4)-2.01%
Max Revenue beat(4)0.95%
Revenue beat(8)1
Avg Revenue beat(8)-0.98%
Revenue beat(12)1
Avg Revenue beat(12)-1.39%
Revenue beat(16)2
Avg Revenue beat(16)-1.23%
PT rev (1m)2.64%
PT rev (3m)3.95%
EPS NQ rev (1m)3.11%
EPS NQ rev (3m)3.98%
EPS NY rev (1m)3.24%
EPS NY rev (3m)4.79%
Revenue NQ rev (1m)1.02%
Revenue NQ rev (3m)1.17%
Revenue NY rev (1m)0.92%
Revenue NY rev (3m)0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.37 | ||
| Fwd PE | 9.27 | ||
| P/S | 2.54 | ||
| P/FCF | 7.22 | ||
| P/OCF | 7.22 | ||
| P/B | 1.13 | ||
| P/tB | 1.57 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.43
EY9.65%
EPS(NY)4.96
Fwd EY10.79%
FCF(TTM)6.36
FCFY13.85%
OCF(TTM)6.36
OCFY13.85%
SpS18.11
BVpS40.7
TBVpS29.27
PEG (NY)0.69
PEG (5Y)N/A
Graham Number63.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 10.75% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 24.16% | ||
| GM | N/A | ||
| FCFM | 35.13% |
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
ROICexgc growth 3YN/A
ROICexgc 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 7.88 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 145.37% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC13.84%
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)13.59%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%18.45%
EPS Next Y14.99%
EPS Next 2Y11.59%
EPS Next 3Y11.54%
EPS Next 5Y7.43%
Revenue 1Y (TTM)4.04%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%6.83%
Revenue Next Year4.03%
Revenue Next 2Y4.22%
Revenue Next 3Y4.35%
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-33.64%
FCF growth 3Y4.53%
FCF growth 5Y18.19%
OCF growth 1Y-33.64%
OCF growth 3Y4.53%
OCF growth 5Y18.19%
US BANCORP / USB FAQ
Can you provide the ChartMill fundamental rating for US BANCORP?
ChartMill assigns a fundamental rating of 3 / 10 to USB.
What is the valuation status for USB stock?
ChartMill assigns a valuation rating of 6 / 10 to US BANCORP (USB). This can be considered as Fairly Valued.
How profitable is US BANCORP (USB) stock?
US BANCORP (USB) has a profitability rating of 3 / 10.
How financially healthy is US BANCORP?
The financial health rating of US BANCORP (USB) is 0 / 10.
What is the earnings growth outlook for US BANCORP?
The Earnings per Share (EPS) of US BANCORP (USB) is expected to grow by 14.99% in the next year.