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U.S. Bancorp (USB) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, U.S. Bancorp (USB - Free Report) closed at $47.33, marking a -0.55% move from the previous day. This move lagged the S&P 500's daily gain of 0.4%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 1.1%.

Prior to today's trading, shares of the company had gained 11.09% over the past month. This has outpaced the Finance sector's gain of 3.81% and the S&P 500's loss of 0.01% in that time.

U.S. Bancorp will be looking to display strength as it nears its next earnings release, which is expected to be January 25, 2023. The company is expected to report EPS of $1.11, up 3.74% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.66 billion, up 17.64% from the year-ago period.

Any recent changes to analyst estimates for U.S. Bancorp should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.83% lower within the past month. U.S. Bancorp is currently a Zacks Rank #3 (Hold).

Digging into valuation, U.S. Bancorp currently has a Forward P/E ratio of 9.63. This valuation marks a premium compared to its industry's average Forward P/E of 9.53.

Investors should also note that USB has a PEG ratio of 1.48 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Banks - Major Regional was holding an average PEG ratio of 1.43 at yesterday's closing price.

The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 89, which puts it in the top 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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