Regional banker U.S. Bancorp (USB) on Wednesday posted third quarter earnings that met Wall Street’s view, as a sharp upturn in mortgage banking revenue bolstered its bottom line.
The Minneapolis-based company reported third quarter net income of $1.47 billion, or 74 cents per share, compared with $1.27 billion, or 64 cents per share, in the year-ago period.
On average, Wall Street analysts expected a matching profit of 74 cents per share.
USB noted that mortgage banking revenue more than doubled from the same period last year to $519 million. CEO Richard Davis commented, “Our third-quarter earnings included continued strong mortgage banking activity, which contributed to our growth in fee income.”
U.S. Bancorp shares posted small gains in premarket trading Wednesday.
The Bottom Line
Shares of U.S. Bancorp (USB) have a 2.32% dividend yield, based on last night’s closing stock price of $33.61. The stock has technical support in the $29-$30 price area. If the shares can firm up, we see overhead resistance around the $35-$38 price levels.
U.S. Bancorp (USB) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.