Wall Street analysts expect U.S. Bancorp (USB) to post quarterly earnings of $0.99 per share in its upcoming report, which indicates a year-over-year increase of 10%. Revenues are expected to be $6.92 billion, up 3.6% from the year-ago quarter.
The consensus EPS estimate for the quarter has been revised 1.7% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific U.S. Bancorp metrics that are routinely monitored and predicted by Wall Street analysts.
The collective assessment of analysts points to an estimated 'Efficiency Ratio' of 60.9%. The estimate compares to the year-ago value of 66.4%.
The consensus among analysts is that 'Average Balances - Total earning assets' will reach $614.98 billion. Compared to the present estimate, the company reported $596.14 billion in the same quarter last year.
The consensus estimate for 'Total nonperforming loans' stands at $1.84 billion. The estimate is in contrast to the year-ago figure of $1.74 billion.
Analysts' assessment points toward 'Total nonperforming assets' reaching $1.87 billion. The estimate compares to the year-ago value of $1.79 billion.
According to the collective judgment of analysts, 'Leverage ratio' should come in at 8.4%. The estimate compares to the year-ago value of 8.1%.
Analysts expect 'Tier 1 Capital Ratio' to come in at 12.5%. Compared to the current estimate, the company reported 11.6% in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Total Noninterest Income' should arrive at $2.80 billion. The estimate compares to the year-ago value of $2.70 billion.
Analysts predict that the 'Net interest income (taxable-equivalent basis)' will reach $4.13 billion. Compared to the present estimate, the company reported $4.02 billion in the same quarter last year.
The combined assessment of analysts suggests that 'Mortgage banking revenue' will likely reach $144.60 million. The estimate is in contrast to the year-ago figure of $166 million.
Analysts forecast 'Other- noninterest income' to reach $148.38 million. Compared to the present estimate, the company reported $134 million in the same quarter last year.
It is projected by analysts that the 'Commercial products revenue' will reach $372.70 million. Compared to the present estimate, the company reported $388 million in the same quarter last year.
The average prediction of analysts places 'Service charges' at $318.08 million. The estimate is in contrast to the year-ago figure of $315 million.
View all Key Company Metrics for U.S. Bancorp here>>>
U.S. Bancorp shares have witnessed a change of -9% in the past month, in contrast to the Zacks S&P 500 composite's -6.1% move. With a Zacks Rank #3 (Hold), USB is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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U.S. Bancorp (USB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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