US Bancorp, the Financial sector company, was revisited by a Wall Street analyst yesterday. Analyst Betsy Graseck from Morgan Stanley maintained a Buy rating on the stock and has a $52.00 price target.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Betsy Graseck has given her Buy rating due to a combination of factors that highlight US Bancorp’s strategic initiatives and financial performance. The new CEO is actively reshaping the company’s balance sheet by focusing on multi-service clients, which generate significantly more revenue compared to single-service clients. This strategic shift is expected to enhance the bank’s revenue trajectory.
Additionally, US Bancorp has demonstrated solid loan growth, particularly in the commercial and industrial sector, which has been accelerating over recent quarters. The company’s operational leverage has improved, driven by effective expense management, despite pressures on net interest income. Furthermore, the payments franchise has shown growth, and the bank’s capital position remains strong, supporting potential share buybacks. These factors contribute to the positive outlook and the increased price target for the stock.
Graseck covers the Financial sector, focusing on stocks such as Citigroup, Wells Fargo, and JPMorgan Chase. According to TipRanks, Graseck has an average return of 4.3% and a 50.00% success rate on recommended stocks.
In another report released today, Barclays also maintained a Buy rating on the stock with a $56.00 price target.