U.S. Bancorp stock up 23% this year, strong Q3 results and potential for growth

From Nasdaq: 2024-12-15 21:32:34

U.S. Bancorp’s stock has risen 23% year-to-date, below the S&P 500 and JPMorgan. The bank reported better-than-expected Q3 results with total revenues of $6.86 billion, net income of $1.6 billion, and increased provisions for credit losses. Despite volatility, the stock value could improve with potential Federal Reserve rate cuts and a pro-banking Trump administration. Consider investing in the Trefis High Quality Portfolio for smoother returns.

Provisions for credit losses at U.S. Bancorp rose to $557 million in Q3, as the bank also increased its capital return program with a new share repurchase plan and raised its annual dividend. The stock’s performance over the past four years has been volatile compared to the S&P 500, while the Trefis High Quality Portfolio has shown less risk and better returns annually. The macroeconomic environment, rate cuts, and political landscape could impact USB’s future performance.

Looking ahead, USB’s net interest income could benefit from Federal Reserve rate cuts and a potential second term for President Trump. The focus on deregulation and tax cuts could boost bank revenues and profitability. The stock is valued at around $50 per share, in line with the current market price. Consider Trefis Market-Beating Portfolios for investment opportunities.



Read more at Nasdaq: Up 23% This Year, What’s New With U.S. Bancorp Stock?