U.S. Bancorp (USB) Shares Drop on Q3 Guidance Concerns

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4 days ago
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Key Insights:

  • U.S. Bancorp's Q3 guidance has led to a 4% drop in premarket trading.
  • Wall Street suggests a potential 16.29% upside based on average analyst price targets.
  • The stock is rated "Outperform" with a GF Value estimate slightly below its current price.

U.S. Bancorp (USB, Financial) Stock Under Pressure After Q3 Guidance

Shares of U.S. Bancorp (USB) experienced a notable 4% decline in premarket trading, following the bank's Q3 guidance announcement that failed to meet investor expectations. Despite maintaining its full-year 2025 revenue growth outlook at a steady 3%-5%, the adjusted forecast for Q3 net interest income presented a challenge. The bank now anticipates net interest income between $4.1 billion to $4.02 billion, falling short of the consensus estimate of $4.23 billion.

Wall Street Analysts' Outlook

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On analyzing the one-year price targets provided by 22 analysts, the average target price for U.S. Bancorp (USB, Financial) stands at $53.12. This projection comes with a high estimate of $65.00 and a low estimate of $43.00. The average target indicates the potential for a 16.29% upside from the current price of $45.68. For more in-depth estimate data, visit the U.S. Bancorp (USB) Forecast page.

Brokerage Recommendations and GF Value Assessment

The consensus recommendation from 24 brokerage firms positions U.S. Bancorp's (USB, Financial) average rating at 2.2, which translates to an "Outperform" status. The rating scale ranges from 1 to 5, where 1 represents a Strong Buy and 5 indicates a Sell.

According to GuruFocus estimates, the GF Value for U.S. Bancorp (USB, Financial) within a year is projected to be $45.52, reflecting a slight downside of 0.35% from its current trading price of $45.68. GF Value is GuruFocus’ fair value estimate, derived from historical trading multiples, past business growth, and future business performance projections. Additional detailed data is available on the U.S. Bancorp (USB) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.