With a market cap of $69.1 billion, U.S. Bancorp (USB) is a leading American financial services holding company and the parent of U.S. Bank National Association. Headquartered in Minneapolis, Minnesota, it ranks as the fifth-largest commercial bank in the United States.

Companies valued at $10 billion or more are generally considered “large-cap” stocks, and U.S. Bancorp fits this criterion perfectly. Its diverse portfolio of services, including consumer and commercial banking, wealth management, and payment processing, and its strong regional footprint across 26 states, establishes its market leadership.

Despite its notable strengths, the stock has fallen 18.7% from its 52-week high of $53.98 achieved on Nov. 27. In addition, shares of USB have declined 1.6% over the past three months, compared to the broader Dow Jones Industrial Average’s ($DOWI) marginal fall during the same time frame.

Focussing on the long term, USB is down 8.2% on a YTD basis, lagging behind $DOWI's marginal decline. Moreover, shares of U.S. Bancorp have dipped 2.1% over the past 52 weeks, compared to $DOWI’s 12.7% return over the same time frame.

While USB has been trading above its 50-day moving average since early May, it has fallen below its 200-day moving average since early March.

On Apr. 16, USB shares plunged 2.1% after announcing its Q1 2025 earnings. Its net income rose 32.1% to $1.03 per share, and total revenue grew 3.6% year-over-year to $6.96 billion, supported by a 2.7% increase in net interest income and a 5% rise in noninterest income from payment services and investment fees. Operating expenses fell 5.1%, while provisions for credit losses declined by 2.9%, reflecting improved credit quality. 

Moreover, U.S. Bancorp shares fell over 3% on Apr. 7, after Morgan Stanley (MS) downgraded large-cap and mid-cap banks from "Attractive" to "Inline," putting pressure on major bank stocks. 

Among the bank peers, The PNC Financial Services Group, Inc. (PNC) has outperformed USB, with a 13.4% rise over the past year.

Nevertheless, analysts remain fairly bullish about its prospects. Among the 24 analysts covering the stock, there is a consensus rating of “Moderate Buy,” and the mean price target of $50.67 indicates an upswing potential of 15.4% from the current market prices.