Potent Capital Strength and 11 Consecutive Dividend Increases Earn JPMorgan's "Strong Buy" Backing
It has been learned that US Bank (BAC.US) announced on July 23rd that it will increase its quarterly dividend by 7.7%, to $0.28 per share. This marks the 11th consecutive year of dividend growth, making it a highly rated "strong buy" stock with a strong dividend yield. As of July 29th, the stock's dividend yield was 2.34%.
US Bank previously released its second-quarter results for 2025. The company reported Q2 revenue of $264.6 billion, up 4.2% from last year's same period. Ordinary shares per share book value increased by 8%, to $37.13; tangible ordinary shares per share book value increased by 9%, to $27.71.
US Bank's traders had a significant contribution in the second quarter, setting a record for the strongest second-quarter revenue ever, mainly due to the dramatic fluctuations in stock prices and the super-large rebound in US stocks, resulting in strong profits, while net interest income also exceeded Wall Street analysts' expectations.
The company recorded a provision for credit losses of $16 billion in Q2, slightly higher than the $15 billion in both 2024's second quarter and 2025's first quarter. Net write-offs remained stable at $15 billion, consistent with the previous two quarters. Under standardized methods, ordinary shares' tier one capital adequacy ratio (CET1) was 11.5%, significantly above regulatory minimum requirements.
Earlier, Warren Buffett, known as the "stock god," had significantly reduced his stake in US Bank stock during the 2008 financial crisis. Another key institutional investor, the Kuwait Sovereign Wealth Fund, also heavily reduced its holdings. However, with strong earnings driving growth, combined with relaxed regulations under Trump's leadership and strong dividends, US Bank stock price is likely to reach new highs.