TD Cowen Maintains a Constructive View on U.S. Bancorp (USB)

U.S. Bancorp (NYSE:USB) is included amongst

Dividend Contenders Listing: Prime 20 Shares.

TD Cowen Maintains a Constructive View on U.S. Bancorp (USB)

On January 21, TD Cowen raised its value goal on U.S. Bancorp (NYSE:USB) to $66 from $65 and stored a Purchase score.

The agency stated 4Q25 core EPS of $1.26 got here in forward of expectations. Internet curiosity revenue and charges each stunned to the upside, whereas expense management stayed tight. Pre-provision working leverage was stable throughout the quarter. With a extra supportive setup heading into 2026, the inventory outperformed after the earnings launch.

In a separate improvement, Reuters reported that U.S. Bancorp stated on January 20 it plans to amass Wall Road brokerage BTIG for as much as $1 billion in money and inventory. The deal brings in a well-recognized associate and strengthens the financial institution’s capital markets presence.

The acquisition offers U.S. Bancorp entry to BTIG’s funding banking, institutional gross sales and buying and selling, analysis, and prime brokerage capabilities because it continues to develop past conventional banking. Stephen Philipson, head of wealth, company, business and institutional banking at U.S. Bancorp, stated:

“BTIG’s addition to U.S. Bancorp is a strategic transfer to fill key product gaps for our company and institutional shoppers, enabling us to supply a extra complete suite of capital markets providers.”

The connection between the 2 companies goes again years. BTIG has served as U.S. Bancorp’s fairness capital markets referral associate since 2014.

U.S. Bancorp can pay $725 million in money and inventory upfront, with as much as a further $275 million in money over three years tied to efficiency targets. The deal is anticipated so as to add new capabilities in fairness capital markets, M&A advisory, and fairness buying and selling. It must also contribute roughly $750 million in annual income, largely fee-based.

U.S. Bancorp (NYSE:USB) is a monetary providers holding firm with operations throughout Wealth, Company, Business and Institutional Banking, Shopper and Enterprise Banking, Cost Providers, and Treasury and Company Assist.

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Disclosure: None.