U.S. Bancorp (NYSE: USB) early Wednesday posted market-beating first quarter earnings results, helped by better loan performance and investment banking fees.

Written by StockNews.com

The Minneapolis-based financial services giant reported:

  • Q1 earnings per share (EPS) of $0.82, which was $0.02 better than the Wall Street consensus estimate of $0.80.
  • Revenues rose 5.7% from last year to $5.32 billion, also beating analysts’ view for $5.27 billion…
  • Return on assets (ROA) was 1.35% in the latest period…
  • Return on common equity (RoE) was 13.3%.
  • Net interest income gained 3.7% from the year-ago period…
  • Net interest margins were 3.03%, helped by higher interest rates.
  • Average total loans were up 4.1% from Q1 2016, but the momentum all but ended on a sequential basis, as
  • Total loans gained just 0.2% from Q4 2016.
  • Noninterest income rose 8.4% from last year, on better credit and debit card revenue growth, along with higher investment management fees and rising mortgage banking revenue.

    • The company commented via press release:

    “U.S. Bancorp once again delivered industry-leading returns and profitability in the first quarter of 2017 as we leveraged our diverse business platform and our investments in innovation to deliver the entire bank to our customers in the ways they want to interact with us.

    We strive to continually improve upon our best-in-class performance, and we are well positioned to do so against the backdrop of an evolving economic and regulatory environment.”

    …Year-to-date, USB had declined -2.54% prior to today’s report, versus a +5.08% rise in the benchmark S&P 500 index during the same period.

    USB currently has a StockNews.com POWR Rating of B (Buy), and is ranked #3 of 11 stocks in the Money Center Banks category.

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