US BANCORP (USB) Stock Fundamental Analysis
USA - NYSE:USB - US9029733048 - Common Stock
49.44 USD
+0.41 (+0.84%)
49.46 USD
+0.02 (+0.04%)
Overall USB gets a fundamental rating of 3 out of 10. We evaluated USB against 392 industry peers in the Banks industry. USB may be in some trouble as it scores bad on both profitability and health. USB is not valued too expensively and it also shows a decent growth rate. Finally USB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year USB was profitable.
In the past year USB had a positive cash flow from operations.
USB had positive earnings in each of the past 5 years.
In the past 5 years USB always reported a positive cash flow from operatings.
1.2 Ratios
USB has a Return On Assets of 0.95%. This is comparable to the rest of the industry: USB outperforms 59.18% of its industry peers.
USB's Return On Equity of 10.61% is fine compared to the rest of the industry. USB outperforms 74.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 10.61% | ||
| 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 (23.52%) which is comparable to the rest of the industry.
USB's Profit Margin has declined in the last couple of years.
The Operating Margin and Gross Margin are not available for USB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 23.52% | ||
| 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.
The number of shares outstanding for USB remains at a similar level compared to 1 year ago.
Compared to 5 years ago, USB has more shares outstanding
USB has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of USB is 10.56, which is on the high side as it means it would take USB, 10.56 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 10.56, USB is not doing good in the industry: 76.79% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.29 is on the high side and indicates that USB has dependencies on debt financing.
The Debt to Equity ratio of USB (1.29) is worse than 86.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 10.56 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.95%
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 8.16%, which is quite good.
Measured over the past years, USB shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.63% on average per year.
Looking at the last year, USB shows a small growth in Revenue. The Revenue has grown by 1.69% 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)8.16%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%13.27%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%2%
3.2 Future
USB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.33% yearly.
USB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.04% yearly.
EPS Next Y11.38%
EPS Next 2Y10.29%
EPS Next 3Y10.64%
EPS Next 5Y5.33%
Revenue Next Year3.04%
Revenue Next 2Y3.78%
Revenue Next 3Y4.04%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.66, the valuation of USB can be described as reasonable.
Based on the Price/Earnings ratio, USB is valued a bit cheaper than 63.27% of the companies in the same industry.
USB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.54.
The Price/Forward Earnings ratio is 10.21, which indicates a very decent valuation of USB.
The rest of the industry has a similar Price/Forward Earnings ratio as USB.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.05, USB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.66 | ||
| Fwd PE | 10.21 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, USB is valued a bit cheaper than the industry average as 67.60% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.28 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.02
PEG (5Y)N/A
EPS Next 2Y10.29%
EPS Next 3Y10.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.55%, USB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.52, USB pays a better dividend. On top of this USB pays more dividend than 86.73% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, USB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.55% |
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
53.24% of the earnings are spent on dividend by USB. This is a bit on the high side, but may be sustainable.
The dividend of USB is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP53.24%
EPS Next 2Y10.29%
EPS Next 3Y10.64%
49.44
+0.41 (+0.84%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners82.28%
Inst Owner Change0.76%
Ins Owners0.07%
Ins Owner Change-0.56%
Market Cap76.94B
Analysts76.55
Price Target54.67 (10.58%)
Short Float %1.42%
Short Ratio2.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.55% |
Yearly Dividend2.21
Dividend Growth(5Y)4.83%
DP53.24%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.5%
Min EPS beat(2)2.83%
Max EPS beat(2)4.16%
EPS beat(4)4
Avg EPS beat(4)2.66%
Min EPS beat(4)0.45%
Max EPS beat(4)4.16%
EPS beat(8)7
Avg EPS beat(8)2.16%
EPS beat(12)10
Avg EPS beat(12)1.72%
EPS beat(16)13
Avg EPS beat(16)2.06%
Revenue beat(2)0
Avg Revenue beat(2)-1.38%
Min Revenue beat(2)-2.01%
Max Revenue beat(2)-0.76%
Revenue beat(4)0
Avg Revenue beat(4)-1.49%
Min Revenue beat(4)-2.01%
Max Revenue beat(4)-0.76%
Revenue beat(8)0
Avg Revenue beat(8)-1.26%
Revenue beat(12)0
Avg Revenue beat(12)-1.49%
Revenue beat(16)2
Avg Revenue beat(16)-1.24%
PT rev (1m)0.25%
PT rev (3m)5.74%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)1.03%
EPS NY rev (1m)0.14%
EPS NY rev (3m)1.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.66 | ||
| Fwd PE | 10.21 | ||
| P/S | 2.78 | ||
| P/FCF | 10.28 | ||
| P/OCF | 10.28 | ||
| P/B | 1.25 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.24
EY8.58%
EPS(NY)4.84
Fwd EY9.79%
FCF(TTM)4.81
FCFY9.73%
OCF(TTM)4.81
OCFY9.73%
SpS17.81
BVpS39.48
TBVpS27.96
PEG (NY)1.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 10.61% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 23.52% | ||
| GM | N/A | ||
| FCFM | 27% |
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
ROICexcg growth 3YN/A
ROICexcg 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 | 1.29 | ||
| Debt/FCF | 10.56 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 114.82% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC13.95%
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)8.16%
EPS 3Y-7.93%
EPS 5Y-1.63%
EPS Q2Q%13.27%
EPS Next Y11.38%
EPS Next 2Y10.29%
EPS Next 3Y10.64%
EPS Next 5Y5.33%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y6.36%
Revenue growth 5Y3.62%
Sales Q2Q%2%
Revenue Next Year3.04%
Revenue Next 2Y3.78%
Revenue Next 3Y4.04%
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-48.57%
FCF growth 3Y4.53%
FCF growth 5Y18.19%
OCF growth 1Y-48.57%
OCF growth 3Y4.53%
OCF growth 5Y18.19%