USB · Q2 FY2026
US BANCORP \DE\ Q2 FY2026 earnings analysis
By SageNoodle ResearchBullish
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $7.71B | $7.00B (yr ago) | Beat |
| EPS | $1.35 | $1.11 (yr ago) | Beat |
| Free Cash Flow | N/M for a bank (table: $4.82B) | N/M (yr ago table: $1.91B) | Miss |
| Gross Margin | N/M for a bank | N/M (yr ago) | Miss |
| Operating Margin (pre-tax margin) | 35.3% | 32.7% (yr ago) | Beat |
What changed
Revenue increased 10.1% year over year to $7.71 billion, while EPS rose 21.6% to $1.35. Pre-tax margin expanded 2.6 percentage points to 35.3%, showing that earnings grew faster than revenue; free cash flow and gross margin are not meaningful measures for a bank.
Impact on the investment thesis
There is no prior SageNoodle fair value to revise. We establish fair value at $65.30 per share, as the stronger quarter supports a modest premium to the current 12.4x TTM P/E but does not justify assuming materially higher earnings without additional guidance.