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FINANCIALS: US Bancorp: 2Q24 Appears Better, Relief Rally Possible

FINANCIALS

US Bancorp (USB: A3 neg/A/A) 2Q24 results headlines. USB is new to our EUR index and only has one bond in it (USB 4.009% ’32, issued 14-May). This has underperformed recently (12bp wider in the last week), as has the equity. CET1 appears 10bp better than consensus, as do the headline results, so some relief rally appears possible, we feel.

  • “*U.S. BANCORP 2Q PROVISION FOR CREDIT LOSSES $568M, EST. $594.2M
  • *U.S. BANCORP 2Q NET CHARGE-OFFS $538M, EST. $536.5M
  • *USB: EARLY & LATE STATE DELINQUENCIES MODERATED FROM 1Q24
  • *US BANCORP REAFFIRMS YEAR NET INTEREST INCOME FORECAST: SLIDES” - BBG
  • Net revenues appears slightly better than consensus, as do costs, meaning pre-tax beats by c.3%, we estimate.

Conf call is 1300 (London time) at: https://events.q4inc.com/attendee/910039056

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