5. U.S. Bancorp
Shares of U.S. Bancorp (USB) are up 13% in January, with the bank continuing to outperform on loan growth.
The Minneapolis lender reported fourth-quarter earnings of $1.35 billion, or 69 cents a share, improving from $1.27 billion, or 64 cents a share, during the third quarter, and $974 million, or 49 cents a share, during the fourth quarter of 2010.Return on Assets jumped to 1.50% in 2011 from 1.14% in 2010. The bank has been gaining market share in commercial lending. Stifel Nicolaus analysts said the bank's fourth quarter performance was "the best combination of earnings quality and quantity" of any large bank in their coverage. Analysts also praise the bank for its diversified revenue stream. "We would much rather purchase USB shares in a challenging operating environment (no rate hikes until late in 2014?), then chase some of the other regionals that have moved higher in recent weeks that we expect will not be able to generate the type profitability in a normalized earnings environment that USB is generating today," Stifel analyst Chris Mutascio wrote in a report. The stock trades at about 10.4 times consensus estimates for 2012. 19 analysts rate the stock a buy or outperform, 13 have a hold rating while 2 analysts rate it a sell or underperform.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV