U.S. Bancorp (NYSE:USB) Announces Dividend Increase – $0.50 Per Share

U.S. Bancorp (NYSE:USB) declared a quarterly dividend on Thursday, September 12th, RTT News reports. Investors of record on Monday, September 30th will be given a dividend of 0.50 per share by the financial services provider on Tuesday, October 15th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 4.48%. The ex-dividend date of this dividend is Monday, September 30th. This is an increase from U.S. Bancorp’s previous quarterly dividend of $0.49.

U.S. Bancorp has raised its dividend by an average of 4.7% annually over the last three years and has raised its dividend annually for the last 13 consecutive years. U.S. Bancorp has a payout ratio of 46.3% meaning its dividend is sufficiently covered by earnings. Equities analysts expect U.S. Bancorp to earn $4.22 per share next year, which means the company should continue to be able to cover its $1.96 annual dividend with an expected future payout ratio of 46.4%.

U.S. Bancorp Stock Performance

Shares of USB stock opened at $44.62 on Friday. U.S. Bancorp has a 52 week low of $30.47 and a 52 week high of $47.31. The company has a market capitalization of $69.63 billion, a price-to-earnings ratio of 14.77, a PEG ratio of 4.36 and a beta of 1.04. The company has a 50-day simple moving average of $43.93 and a 200 day simple moving average of $42.19. The company has a debt-to-equity ratio of 1.05, a quick ratio of 0.80 and a current ratio of 0.81.

U.S. Bancorp (NYSE:USB) last announced its earnings results on Wednesday, July 17th. The financial services provider reported $0.98 earnings per share for the quarter, topping analysts’ consensus estimates of $0.94 by $0.04. The company had revenue of $6.87 billion for the quarter, compared to analyst estimates of $6.81 billion. U.S. Bancorp had a return on equity of 13.34% and a net margin of 12.55%. The firm’s quarterly revenue was down 4.3% compared to the same quarter last year. During the same quarter last year, the company earned $1.12 earnings per share. On average, sell-side analysts predict that U.S. Bancorp will post 3.87 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Aleem Gillani bought 10,000 shares of the stock in a transaction that occurred on Thursday, July 18th. The stock was acquired at an average cost of $44.99 per share, with a total value of $449,900.00. Following the transaction, the director now directly owns 10,000 shares in the company, valued at $449,900. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.23% of the stock is currently owned by insiders.

Analyst Ratings Changes

A number of equities analysts recently commented on USB shares. The Goldman Sachs Group lowered their price target on shares of U.S. Bancorp from $48.00 to $46.00 and set a “neutral” rating on the stock in a research report on Wednesday. JPMorgan Chase & Co. cut U.S. Bancorp from an “overweight” rating to a “neutral” rating and set a $43.50 price target for the company. in a research note on Thursday, June 27th. Jefferies Financial Group dropped their price objective on U.S. Bancorp from $43.00 to $42.00 and set a “hold” rating for the company in a report on Wednesday, July 3rd. Evercore ISI increased their target price on U.S. Bancorp from $45.00 to $48.00 and gave the stock an “in-line” rating in a report on Tuesday, June 25th. Finally, Wells Fargo & Company boosted their price target on U.S. Bancorp from $48.00 to $52.00 and gave the company an “overweight” rating in a research note on Thursday, July 18th. Thirteen investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $48.18.

About U.S. Bancorp

U.S. Bancorp, a financial services holding company, provides various financial services to individuals, businesses, institutional organizations, governmental entities, and other financial institutions in the United States. It operates through Wealth, Corporate, Commercial and Institutional Banking; Consumer and Business Banking; Payment Services; and Treasury and Corporate Support segments.