These are top 10 stocks traded on the Robinhood UK platform in July
On Thursday, Wolfe Research analyst Bill Carcache upgraded U.S. Bancorp (BVMF:USBC34) stock, traded on the New York Stock Exchange under the ticker (NYSE:USB), from Peer Perform to Outperform, setting a price target of $49.00. The upgrade comes after a recent meeting with sell-side analysts where U.S. Bancorp’s new CEO, Gunjan Kedia, outlined her vision for the company’s future and her commitment to executing the necessary strategies. The bank, currently trading at $43.01 with a market cap of $67 billion, maintains a strong dividend yield of 4.65% and has raised its dividend for 14 consecutive years, according to InvestingPro data.
Carcache noted that Kedia has a clear understanding of the challenges facing U.S. Bancorp, acknowledging the negative perception among equity investors who see the bank as a "show-me story." Despite this, the analyst expressed optimism based on Kedia’s sense of urgency and determination to address these issues. Carcache emphasized that the leadership’s approach is a positive sign for the company’s direction. InvestingPro analysis shows the bank maintains a FAIR overall financial health score, with particularly strong marks in relative value and profit metrics.
The rationale behind the upgrade was also influenced by U.S. Bancorp’s performance relative to its peers. Carcache pointed out that the bank has been the biggest year-to-date underperformer within Wolfe Research’s Mid-Cap Banks coverage. This underperformance was seen as an opportunity, suggesting a compelling risk-reward scenario for investors.
The new price target of $49.00 represents Wolfe Research’s expectation for U.S. Bancorp’s stock value, initiated by Carcache following his analysis. The upgrade to Outperform indicates a recommendation that the stock is expected to perform better than the overall market or its sector in the analyst’s view.
Investors and market watchers will be closely monitoring U.S. Bancorp’s stock following this upgrade, looking for signs that the new CEO’s strategies are taking hold and whether the bank can reverse its recent underperformance compared to its industry counterparts.
In other recent news, U.S. Bancorp has announced its regular dividend payments to shareholders, with a quarterly dividend of $0.50 per common share, payable on April 15, 2025. This announcement also includes dividends on various series of preferred stock. Meanwhile, Citi analysts have maintained their Buy rating on U.S. Bancorp, setting a price target of $65, as the company prepares to report its first-quarter earnings. Analysts project a revenue growth of approximately 3.5%, supported by a predicted 3% increase in net interest income and a 4% rise in fee revenue.
In executive news, U.S. Bancorp has reported a plane crash involving a company plane linked to Terrance R. Dolan, the bank’s Vice Chair and Chief Administration Officer, with confirmation of his involvement still pending. Additionally, Kimberly J. Harris has resigned from the board of directors due to health reasons, effective immediately. The company has also announced that Shailesh M. Kotwal will step down as Vice Chair of Payment Services in February 2025, continuing in an advisory role until June 2025. These developments highlight ongoing changes within U.S. Bancorp’s leadership and governance structure.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.