Why U.S. Bancorp (USB) is a Top Dividend Stock for Your Portfolio

Core Viewpoint - Income investors prioritize generating consistent cash flow from investments, with dividends being a key focus for returns [2][5]. Company Overview - U.S. Bancorp (USB) is headquartered in Minneapolis and has experienced a price change of -3.49% this year [3]. - The company currently pays a dividend of $0.50 per share, resulting in a dividend yield of 4.33%, which is significantly higher than the Banks - Major Regional industry's yield of 3.35% and the S&P 500's yield of 1.48% [3]. Dividend Growth - U.S. Bancorp's annualized dividend of $2.00 has increased by 1% from the previous year, with an average annual increase of 4.01% over the last five years [4]. - The company's current payout ratio is 47%, indicating that it pays out 47% of its trailing 12-month earnings per share as dividends [4]. Earnings Growth Expectations - For the fiscal year, U.S. Bancorp anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 at $4.34 per share, reflecting a year-over-year growth rate of 9.05% [5]. Investment Considerations - U.S. Bancorp is viewed as a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6].