Raymond James upgrades U.S. Bancorp to Strong Buy

Raymond James upgraded U.S. Bancorp (NYSE:USB) to Strong Buy and raised price target to $57 from $51, citing confidence in bank’s medium-term profitability goals. Analysts expect positive operating leverage of over 200 basis points this year and over 150 basis points in 2026 to drive margin expansion and earnings growth.

Shares of USB still trading at a discount to peers, presenting a unique buying opportunity. Raymond James believes reaching profitability milestones could lead to a re-rating of the stock and offer significant upside for investors. The upgrade aims to shift investor sentiment from skepticism to optimism, transforming USB’s narrative into a compelling growth story.