There are significant recent developments related to U.S. Bancorp (USB). The company has expanded its Credit Card Line with 2 new launches and reported a 12% rise in its stock over the past 3 months, despite underperforming the S&P 500 by 17% YTD. However, Q2 revenues and earnings topped estimates, and Director Aleem Gillani purchased 10,000 shares of USB. The company's unit also announced a partnership with Edward Jones, implying potential strategic growth. On the downside, Farmers & Merchants Investments Inc. and Larson Financial Group LLC reduced their positions in USB, indicating some investor skepticism. In an unexpected turn of events, USB reported lower adjusted earnings for Q2. Despite this, USB's stock still seems cheap considering its surge. Notwithstanding a trailing performance and three-year loss of 24% in the stock, some are still choosing to invest in USB for its solid deposit base and high yield. However, the company cut its 2024 interest income forecast, causing some concern among investors. Adjusted profits have fallen due to deposit costs hurting interest income, and the lower net interest income (NII) is expected to hurt USB in Q2 earnings. Despite these challenges, USB's earnings beat top-line and bottom-line estimates in Q2 and plans to increase its quarterly dividend by 2% to $0.50.
US Bancorp USB News Analytics from Fri, 29 Dec 2023 08:00:00 GMT to Sun, 08 Sep 2024 23:53:40 GMT - Rating 4 - Innovation 2 - Information 6 - Rumor -5
