Headquartered in Minneapolis, Minnesota, U.S. Bancorp (USB) is a financial services holding company, that provides various financial services to individuals, businesses, institutional organizations, governmental entities, and other financial institutions in the United States. Valued at a market cap of $67 billion, the company operates through Wealth, Corporate, Commercial, and Institutional Banking; Consumer and Business Banking; Payment Services; and Treasury and Corporate Support segments. The company is expected to announce its fiscal Q1 earnings on Wednesday, Apr. 16, before the market opens.

Ahead of the event, analysts expect USB to report a profit of $0.99 per share on a diluted basis, increasing 10% from the year-ago value of $0.90. The company has surpassed the consensus estimates in each of the last four quarters. In the previous quarter, it reported an EPS of $1.07, which surpassed the consensus estimate marginally, primarily caused by higher fee revenue across most segments.

For the current year, analysts expect USB to report EPS of $4.32, up 8.5% from $3.98 in fiscal 2024. Looking ahead, analysts expect its EPS to rise 11.3% annually to $4.81 in fiscal 2026.

Over the past year, USB shares have plunged 10%, trailing the S&P 500 Index ($SPX) 3.6% gain and The Financial Select Sector SPDR Fund’s (XLF) 14.5% return over the same time frame.

While USB remains a dominant player in the financial services industry, its shares dropped 5.6% following its Q4 earnings release on Jan. 16. The company’s total net revenue edged 2.1% higher year-over-year to $7 billion. Its noninterest income increased by 3.3% to $2.8 billion. However, net interest income declined 8.9% year-over-year to $4.1 billion, primarily due to the impact of higher interest rates on deposit mix and pricing.

Nevertheless, analysts' consensus rating on USB stock is moderately bullish, with a "Moderate Buy" rating overall. Among the 23 analysts in coverage, 10 analysts give it a “Strong Buy,” two give a "Moderate Buy," and the remaining 11 analysts advocate a “Hold.”. The average analyst price target for USB is $55.27, indicating a robust potential upside of 42.5% from the current price levels.