Morgan Stanley Upgrades U.S. Bancorp (NYSE:USB) to “Overweight”

U.S. Bancorp (NYSE:USB) was upgraded by research analysts at Morgan Stanley from an “equal weight” rating to an “overweight” rating in a research note issued to investors on Monday, Marketbeat Ratings reports. The firm currently has a $57.00 price objective on the financial services provider’s stock, up from their previous price objective of $54.00. Morgan Stanley’s target price indicates a potential upside of 28.21% from the stock’s current price.

Several other equities analysts also recently issued reports on the stock. DA Davidson upped their price objective on shares of U.S. Bancorp from $44.00 to $49.00 and gave the company a “neutral” rating in a report on Thursday, July 18th. Jefferies Financial Group decreased their price target on shares of 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 boosted their price objective on shares of U.S. Bancorp from $45.00 to $48.00 and gave the company an “in-line” rating in a report on Tuesday, June 25th. StockNews.com upgraded U.S. Bancorp from a “sell” rating to a “hold” rating in a research note on Wednesday, July 17th. Finally, UBS Group boosted their price target on U.S. Bancorp from $43.00 to $46.00 and gave the company a “neutral” rating in a research note on Thursday, July 18th. Twelve investment analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $48.34.

U.S. Bancorp Price Performance

Shares of USB opened at $44.46 on Monday. The company has a 50 day moving average of $44.52 and a two-hundred day moving average of $42.42. The company has a quick ratio of 0.80, a current ratio of 0.81 and a debt-to-equity ratio of 1.05. U.S. Bancorp has a twelve month low of $30.47 and a twelve month high of $47.31. The company has a market cap of $69.38 billion, a price-to-earnings ratio of 14.72, a price-to-earnings-growth ratio of 3.06 and a beta of 1.04.

U.S. Bancorp (NYSE:USB) last posted its quarterly earnings data 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. U.S. Bancorp had a return on equity of 13.34% and a net margin of 12.55%. The firm had revenue of $6.87 billion during the quarter, compared to analysts’ expectations of $6.81 billion. During the same quarter last year, the firm earned $1.12 EPS. The business’s quarterly revenue was down 4.3% on a year-over-year basis. As a group, analysts predict that U.S. Bancorp will post 3.86 earnings per share for the current fiscal year.

U.S. Bancorp announced that its board has approved a share buyback plan on Thursday, September 12th that allows the company to buyback $5.00 billion in outstanding shares. This buyback authorization allows the financial services provider to purchase up to 7% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s leadership believes its shares are undervalued.

Insider Activity at U.S. Bancorp

In other U.S. Bancorp news, Director Aleem Gillani bought 10,000 shares of U.S. Bancorp stock in a transaction dated 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 purchase, the director now directly owns 10,000 shares in the company, valued at approximately $449,900. The acquisition was disclosed in a filing with the SEC, which is available at this link. 0.23% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of USB. Gilbert & Cook Inc. lifted its position in shares of U.S. Bancorp by 4.0% in the fourth quarter. Gilbert & Cook Inc. now owns 15,483 shares of the financial services provider’s stock valued at $670,000 after acquiring an additional 593 shares in the last quarter. Aveo Capital Partners LLC boosted its stake in U.S. Bancorp by 5.6% during the 4th quarter. Aveo Capital Partners LLC now owns 11,167 shares of the financial services provider’s stock worth $483,000 after purchasing an additional 592 shares during the last quarter. Alberta Investment Management Corp grew its holdings in shares of U.S. Bancorp by 55.2% during the fourth quarter. Alberta Investment Management Corp now owns 45,950 shares of the financial services provider’s stock worth $1,989,000 after buying an additional 16,350 shares in the last quarter. Jones Financial Companies Lllp raised its position in shares of U.S. Bancorp by 7.7% in the fourth quarter. Jones Financial Companies Lllp now owns 9,028 shares of the financial services provider’s stock valued at $391,000 after buying an additional 647 shares during the last quarter. Finally, The Manufacturers Life Insurance Company lifted its stake in shares of U.S. Bancorp by 20.2% in the fourth quarter. The Manufacturers Life Insurance Company now owns 3,268,069 shares of the financial services provider’s stock worth $141,442,000 after buying an additional 549,603 shares in the last quarter. 77.60% of the stock is owned by hedge funds and other institutional investors.

U.S. Bancorp Company Profile

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.