Is U.S. Bancorp (USB) One of the Best Bank Dividend Stocks to Buy Now?

U.S. Bancorp (NYSE:USB) is included among the 11 Best Bank Dividend Stocks to Buy.

Is U.S. Bancorp (USB) One of the Best Bank Dividend Stocks to Buy Now?

U.S. Bancorp (NYSE:USB) operates mainly as a commercial bank, with the bulk of its revenue coming from loans and consumer banking services. Widely recognized as U.S. Bank, it stands out in the industry for its strong profitability, efficiency, and reputation as a reliable dividend payer.

Since it avoids the more unpredictable business of investment banking, U.S. Bancorp (NYSE:USB)’s earnings and revenue are typically steadier than those of many peers. Although much of its income relies on interest, and margins have tightened across the sector recently, the bank’s resilience is well proven. It remained profitable even through the 2008–09 financial crisis and has built a track record of disciplined risk management, making it well-equipped to handle periods of economic stress.

In addition, U.S. Bancorp (NYSE:USB) is also popular among income investors because of its strong dividend history. The company currently offers a quarterly dividend of $0.52 per share, having raised it by 4% in September this year. Through this increase, USB stretched its dividend growth streak to 15 years. The stock has a dividend yield of 4.23%, as of September 24.

While we acknowledge the potential of USB as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than USB and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.