
U.S. Bancorp (USB) Stock Forecast & Price Target
U.S. Bancorp (USB) Analyst Ratings
Bulls say
U.S. Bancorp has demonstrated a positive financial trajectory, with a 5.3% increase in fee income to $3.085 billion, highlighting robust performance and efficiency in revenue generation. The bank's average deposits rose by 1.8% quarter-over-quarter to $511.78 billion, underscoring strong growth in interest-bearing deposits, which supports its liquidity position. Additionally, the net interest margin expanded by 9 basis points to 2.75%, driven by strategic balance sheet optimization and an expectation of continued mid-single-digit fee income growth, further solidifying a favorable outlook for the bank's earnings potential.
Bears say
U.S. Bancorp is currently experiencing its lowest relative valuation on a price-to-earnings (P/E) and price-to-tangible book value (P/TBV) basis in a decade, indicating persistent underperformance that has raised concerns among investors. The outlook is further complicated by anticipated economic recession risks, which are expected to negatively impact earnings per share (EPS) estimates for 2025 and 2026 due to increased credit losses and weak loan growth. Additionally, persistently low net interest margin (NIM) estimates and a drawn-out approval process for the MUFG Union deal reflect broader frustrations with the bank’s subpar growth trajectory and hinder its balance sheet strength.
This aggregate rating is based on analysts' research of U.S. Bancorp and is not a guaranteed prediction by Public.com or investment advice.
U.S. Bancorp (USB) Analyst Forecast & Price Prediction
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