US BANCORP (USB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:USB - US9029733048 - Common Stock
51.57 USD
+0.16 (+0.31%)
51.57 USD
0 (0%)
USB gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 387 industry peers in the Banks industry. USB may be in some trouble as it scores bad on both profitability and health. USB has a correct valuation and a medium growth rate. 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.
In the past 5 years USB has always been profitable.
Each year in the past 5 years USB had a positive operating cash flow.
1.2 Ratios
USB has a Return On Assets (0.98%) which is in line with its industry peers.
USB has a Return On Equity of 10.75%. This is in the better half of the industry: USB outperforms 72.35% 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 of 24.16%. This is comparable to the rest of the industry: USB outperforms 49.35% of 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.
Compared to 5 years ago, USB has more shares outstanding
The debt/assets ratio for USB is higher compared to a year ago.
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.
The Debt to FCF ratio of USB (7.88) is worse than 77.26% of its industry peers.
USB has a Debt/Equity ratio of 1.23. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of USB (1.23) is worse than 86.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 7.88 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.57%
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.
Looking at the last year, USB shows a small growth in Revenue. The Revenue has grown by 4.04% in the last year.
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
Based on estimates for the next years, USB will show a small growth in Earnings Per Share. The EPS will grow by 7.43% on average per year.
The Revenue is expected to grow by 4.36% on average over the next years.
EPS Next Y15.05%
EPS Next 2Y11.6%
EPS Next 3Y11.52%
EPS Next 5Y7.43%
Revenue Next Year4.04%
Revenue Next 2Y4.25%
Revenue Next 3Y4.36%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.64, the valuation of USB can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of USB is on the same level as its industry peers.
USB is valuated cheaply when we compare the Price/Earnings ratio to 26.28, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.40, the valuation of USB can be described as reasonable.
USB's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.52, USB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.64 | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, USB is valued a bit cheaper than 78.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.11 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
USB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.77
PEG (5Y)N/A
EPS Next 2Y11.6%
EPS Next 3Y11.52%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.05%, USB is a good candidate for dividend investing.
USB's Dividend Yield is rather good when compared to the industry average which is at 3.11. USB pays more dividend than 82.69% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, USB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
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.
The dividend of USB decreased 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.
USB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP51.09%
EPS Next 2Y11.6%
EPS Next 3Y11.52%
51.57
+0.16 (+0.31%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners81.22%
Inst Owner Change-1.67%
Ins Owners0.07%
Ins Owner Change-0.62%
Market Cap80.25B
Revenue(TTM)28.18B
Net Income(TTM)6.81B
Analysts76.55
Price Target56.64 (9.83%)
Short Float %1.19%
Short Ratio2.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
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)-0.08%
PT rev (3m)3.87%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)4.02%
EPS NY rev (1m)0.05%
EPS NY rev (3m)3.44%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)1.18%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.64 | ||
| Fwd PE | 10.4 | ||
| P/S | 2.85 | ||
| P/FCF | 8.11 | ||
| P/OCF | 8.11 | ||
| P/B | 1.27 | ||
| P/tB | 1.76 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.43
EY8.59%
EPS(NY)4.96
Fwd EY9.61%
FCF(TTM)6.36
FCFY12.34%
OCF(TTM)6.36
OCFY12.34%
SpS18.11
BVpS40.7
TBVpS29.27
PEG (NY)0.77
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
WACC13.57%
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 Y15.05%
EPS Next 2Y11.6%
EPS Next 3Y11.52%
EPS Next 5Y7.43%
Revenue 1Y (TTM)4.04%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%6.83%
Revenue Next Year4.04%
Revenue Next 2Y4.25%
Revenue Next 3Y4.36%
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 5 / 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 15.05% in the next year.