NYSE:USB

Stock Analysis Report

Executive Summary

U.S. Bancorp, a financial services holding company, provides various financial services in the United States.

Snowflake

Fundamentals

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has U.S. Bancorp's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.7%

USB

2.9%

US Banks

0.07%

US Market


1 Year Return

12.5%

USB

8.6%

US Banks

8.9%

US Market

Return vs Industry: USB exceeded the US Banks industry which returned 8.6% over the past year.

Return vs Market: USB exceeded the US Market which returned 8.9% over the past year.


Shareholder returns

USBIndustryMarket
7 Day3.7%2.9%0.07%
30 Day1.6%3.4%-0.3%
90 Day0.03%2.1%-1.6%
1 Year16.0%12.5%11.8%8.6%11.3%8.9%
3 Year38.1%27.9%54.8%44.1%46.3%36.8%
5 Year53.3%35.2%70.2%51.6%62.1%44.3%

Price Volatility Vs. Market

How volatile is U.S. Bancorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is U.S. Bancorp undervalued compared to its fair value and its price relative to the market?

14.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: USB ($56.58) is trading below our estimate of fair value ($66.34)

Significantly Below Fair Value: USB is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: USB is poor value based on its PE Ratio (13x) compared to the Banks industry average (12.6x).

PE vs Market: USB is good value based on its PE Ratio (13x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: USB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: USB is overvalued based on its PB Ratio (1.9x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is U.S. Bancorp forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

-1.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: USB's earnings are forecast to decline over the next 3 years (-1.1% per year).

Earnings vs Market: USB's earnings are forecast to decline over the next 3 years (-1.1% per year).

High Growth Earnings: USB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: USB's revenue (1.8% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: USB's revenue (1.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: USB's Return on Equity is forecast to be low in 3 years time (14.4%).


Next Steps

Past Performance

How has U.S. Bancorp performed over the past 5 years?

4.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: USB's earnings have grown by 4.9% per year over the past 5 years.

Accelerating Growth: USB's earnings growth over the past year (5%) exceeds its 5-year average (4.9% per year).

Earnings vs Industry: USB earnings growth over the past year (5%) underperformed the Banks industry 29.7%.


Return on Equity

High ROE: USB's Return on Equity (13.5%) is considered low.


Return on Assets

ROA vs Industry: USB has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate USB's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is U.S. Bancorp's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: USB has a low level of unsold assets or inventory.

Debt Coverage by Assets: USB's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

Asset Level: USB's level of assets compared to its equity is low.

Allowance for Bad Loans: USB has a sufficient allowance for bad loans.

Low Risk Liabilities: USB's liabilities are made up of primarily low risk sources of funding.

Loan Level: USB has an acceptable proportion of non-loan assets held.

Low Risk Deposits: USB's loans are broadly funded by customer deposits.

Level of Bad Loans: USB has an appropriate level of bad loans (0.28%)


Next Steps

  • Explore more healthy companies in the Banks industry.

Dividend

What is U.S. Bancorp's current dividend yield, its reliability and sustainability?

2.97%

Current Dividend Yield


Dividend Yield vs Market

company3.0%marketbottom25%1.4%markettop25%3.7%industryaverage2.9%forecastin3Years3.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: USB's dividend (2.97%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: USB's dividend (2.97%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: USB's dividend payments have been volatile in the past 10 years.

Growing Dividend: USB's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.1%), USB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: USB's dividends in 3 years are forecast to be well covered by earnings (42.1% payout ratio).


Next Steps

Management

What is the CEO of U.S. Bancorp's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average management tenure


CEO

Andy Cecere (58yo)

2.5yrs

Tenure

US$13,437,128

Compensation

Mr. Andrew Cecere, also known as Andy, has been the Chief Executive Officer and President of U.S. Bancorp and U.S. Bank National Association since April 18, 2017 and January 19, 2016. Mr. Cecere served as  ...


CEO Compensation Analysis

Compensation vs. Market: Andy's total compensation ($USD13.44M) is about average for companies of similar size in the US market ($USD11.18M).

Compensation vs Earnings: Andy's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.0yrs

Average Tenure

54yo

Average Age

Experienced Management: USB's management team is considered experienced (3 years average tenure).


Board Age and Tenure

7.8yrs

Average Tenure

64.5yo

Average Age

Experienced Board: USB's board of directors are considered experienced (7.8 years average tenure).


Insider Trading

Insider Buying: USB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$303,58123 Oct 19
Jeffry von Gillern
EntityIndividual
Role
Chief Operating Officer
Vice Chairman of Technology & Operations Services
Shares5,357
Max PriceUS$56.67
SellUS$565,01616 Sep 19
David O'Maley
EntityIndividual
Role
Lead Director
Lead Director
Shares10,133
Max PriceUS$55.76
SellUS$1,146,60030 Jul 19
Shailesh Kotwal
EntityIndividual
Role
Senior Key Executive
Vice Chairman of Payment Services
Shares20,000
Max PriceUS$57.33
SellUS$520,89723 Jul 19
Jeffry von Gillern
EntityIndividual
Role
Chief Operating Officer
Vice Chairman of Technology & Operations Services
Shares9,428
Max PriceUS$55.25
SellUS$517,08803 May 19
Mark Runkel
EntityIndividual
Shares9,944
Max PriceUS$52.00
SellUS$248,11102 May 19
Jeffry von Gillern
EntityIndividual
Role
Chief Operating Officer
Vice Chairman of Technology & Operations Services
Shares4,669
Max PriceUS$53.14
SellUS$647,42323 Apr 19
Leslie J. Godridge
EntityIndividual
Shares12,564
Max PriceUS$51.53
SellUS$1,012,20019 Apr 19
James Kelligrew
EntityIndividual
Shares20,000
Max PriceUS$50.61
SellUS$585,00116 Nov 18
David O'Maley
EntityIndividual
Role
Lead Director
Lead Director
Shares10,902
Max PriceUS$53.66
SellUS$1,040,61115 Nov 18
John Elmore
EntityIndividual
Shares19,418
Max PriceUS$53.59

Ownership Breakdown


Management Team

  • Andy Cecere (58yo)

    Chairman

    • Tenure: 2.5yrs
    • Compensation: US$13.44m
  • Terry Dolan (57yo)

    Vice Chairman & CFO

    • Tenure: 3.2yrs
    • Compensation: US$5.14m
  • Jim Chosy (55yo)

    Executive VP & General Counsel

    • Tenure: 6.6yrs
  • Gunjan Kedia (48yo)

    Vice Chairman of Wealth Management & Investment Services

    • Tenure: 1.8yrs
    • Compensation: US$3.45m
  • Shailesh Kotwal (54yo)

    Vice Chairman of Payment Services

    • Tenure: 4.6yrs
    • Compensation: US$3.47m
  • Jen Thompson

    Executive Vice President of Investor Relations

    • Tenure: 0yrs
  • Eric Freedman

    Chief Investment Officer

    • Tenure: 3yrs
  • Jeffry von Gillern (53yo)

    Vice Chairman of Technology & Operations Services

    • Tenure: 0yrs
    • Compensation: US$3.78m
  • Kate Quinn (54yo)

    Vice Chairman & Chief Administrative Officer

    • Tenure: 2.5yrs
  • Dana Ripley

    Chief Communications Officer - Public Affairs & Communications

    • Tenure: 0yrs

Board Members

  • Art Collins (71yo)

    Independent Director

    • Tenure: 23.8yrs
    • Compensation: US$347.66k
  • Andy Cecere (58yo)

    Chairman

    • Tenure: 2.5yrs
    • Compensation: US$13.44m
  • Olivia Kirtley (68yo)

    Independent Director

    • Tenure: 13yrs
    • Compensation: US$364.83k
  • David O'Maley (72yo)

    Lead Director

    • Tenure: 2.8yrs
    • Compensation: US$391.16k
  • Jeff Jones (57yo)

    Member of the Advisory Board & President of Corporate Payment Systems for U.S. Bank

    • Tenure: 0yrs
  • O'dell Owens (71yo)

    Independent Director

    • Tenure: 28.8yrs
    • Compensation: US$342.50k
  • Roland Hernandez (61yo)

    Independent Director

    • Tenure: 7.8yrs
    • Compensation: US$365.83k
  • Craig Schnuck (70yo)

    Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$334.50k
  • Rick McKenney (50yo)

    Independent Director

    • Tenure: 2yrs
    • Compensation: US$339.00k
  • Scott Wine (52yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$353.00k

Company Information

U.S. Bancorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: U.S. Bancorp
  • Ticker: USB
  • Exchange: NYSE
  • Founded: 1863
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: US$88.887b
  • Shares outstanding: 1.57b
  • Website: https://www.usbank.com

Number of Employees


Location

  • U.S. Bancorp
  • 800 Nicollet Mall
  • Minneapolis
  • Minnesota
  • 55402
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
USBSNSE (Santiago Stock Exchange)YesCommon StockCLUSDJan 1980
USBNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1980
0LHYLSE (London Stock Exchange)YesCommon StockGBUSDJan 1980
UB5DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1980
USB *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1980
USBCWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1980
USB.PRHNYSE (New York Stock Exchange)PFD B 1/1000DPUSUSDMar 2006
USBBASE (Buenos Aires Stock Exchange)CEDEAR EACH REPR 1 COM USD0.01ARARSDec 2007
USB.PRMNYSE (New York Stock Exchange)DEP SHS PFD FUSUSDJan 2012
USB.PRONYSE (New York Stock Exchange)PFD 1/1000 PRP HUSUSDMay 2013
USBC34BOVESPA (Bolsa de Valores de Sao Paulo)EACH BDR REPR 1 COM USD0.01BRBRLDec 2014
UB5BBST (Boerse-Stuttgart)5.3%-FRN PERP USD 'J'DEUSDFeb 2017
USB.PRPNYSE (New York Stock Exchange)DEP PERP PFD KUSUSDAug 2018

Biography

U.S. Bancorp, a financial services holding company, provides various financial services in the United States. It operates in five segments: Corporate and Commercial Banking, Consumer and Business Banking,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 23:46
End of Day Share Price2019/10/23 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.