Empowered Funds LLC Expands Stake in U.S. Bancorp

Empowered Funds LLC has announced a 22.0% increase in its holdings of U.S. Bancorp (NYSE:USB - Free Report) during the fourth quarter, according to a recent filing with the Securities and Exchange Commission (SEC). After this transaction, the firm now owns 33,697 shares of the financial services company, having purchased an additional 6,079 shares in the quarter. The total value of Empowered Funds LLC's investment in U.S. Bancorp stands at approximately $1.61 million based on the latest SEC disclosure.

Institutional Investor Activity

Alongside Empowered Funds, numerous other institutional investors and hedge funds have recently adjusted their holdings in U.S. Bancorp. For instance, FMR LLC has increased its stake by 32.7% in the third quarter, now owning 63,913,931 shares valued at about $2.92 billion following the addition of 15,746,852 shares. Similarly, Franklin Resources Inc. boosted its position by an impressive 153.0%, acquiring 4,807,662 more shares, resulting in a total ownership of 7,949,347 shares worth around $374.57 million.

Additionally, Los Angeles Capital Management LLC saw a dramatic increase of 723.7% in its stake, now holding 3,211,555 shares valued at approximately $146.86 million, after an increase of 2,821,642 shares. The Healthcare of Ontario Pension Plan Trust Fund also raised its stake by 109.7%, now owning 3,531,400 shares valued at $161.49 million after purchasing 1,847,000 shares. Charles Schwab Investment Management Inc. also increased its stake by 3.9%, resulting in ownership of 47,328,880 shares worth about $2.16 billion. Collectively, institutional investors and hedge funds hold around 77.60% of the total shares in U.S. Bancorp.

Insider Transactions

In related news, insider trading activities have also been reported. James L. Chosy, an executive vice president, sold 21,451 shares on February 5th at an average price of $47.65, amounting to a total of $1,022,140.15. After the sale, Chosy still owns 198,127 shares, valued at $9.44 million, reflecting a 9.77% reduction in his holdings. Furthermore, on February 3rd, Terrance R. Dolan, another insider, sold 66,317 shares for a total of $3,114,246.32, with a subsequent decrease in ownership by 24.05%. In total, insiders have sold 219,812 shares in the last three months, amounting to $10,385,665, with insiders currently holding 0.23% of the stock.

Analyst Ratings

Recent analyst evaluations indicate various outlooks for U.S. Bancorp. Deutsche Bank Aktiengesellschaft downgraded the stock from a "buy" to a "hold" with a target price of $51.00. Conversely, Evercore ISI raised their target price from $51.00 to $54.00 while maintaining an "in-line" rating. In another development, Piper Sandler upgraded the stock from "neutral" to "overweight," setting a target of $58.00, while Wells Fargo & Company also increased their target from $60.00 to $62.00, reiterating their "overweight" rating. The consensus rating for U.S. Bancorp is currently a "Moderate Buy," with an average price target of $54.21 determined by a survey of analysts.

Current Stock Performance

As of the latest trading day, shares of U.S. Bancorp opened at $47.73. The stock has experienced a 12-month low of $37.81 and a high of $53.98. The moving averages over the past fifty days and two hundred days are $48.61 and $47.52 respectively. U.S. Bancorp also has a current ratio of 0.81 and a debt-to-equity ratio of 1.11, with an overall market capitalization of $74.46 billion.

Financial Results and Dividends

In its last quarterly earnings report released on January 16th, U.S. Bancorp reported earnings per share (EPS) of $1.07, surpassing analysts' expectations of $1.06 by a margin of $0.01. The company's revenue for the quarter was $7.01 billion, slightly exceeding anticipated figures of $7 billion. U.S. Bancorp achieved a return on equity of 12.94% and maintained a net margin of 14.75%. Its revenue showed a year-on-year increase of 3.7%, compared to the previous year's corresponding quarter, where the EPS stood at $0.99. Analysts project a total EPS of 4.38 for the current fiscal year.

Furthermore, U.S. Bancorp declared a quarterly dividend of $0.50, which was paid on January 15th. Shareholders recorded on December 31st were eligible for this payment, representing an annualized dividend of $2.00 and a yield of 4.19%. The payout ratio currently stands at 52.77%.

Understanding U.S. Bancorp

U.S. Bancorp is a financial services holding company that delivers a range of financial products and services to individuals, businesses, institutional clients, governmental organizations, and other financial institutions across the United States. It operates through various divisions including Wealth Management, Corporate and Institutional Banking, Consumer and Business Banking, and Payment Services.

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