A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south.
While some investors embrace risk, mistakes can be costly for those who aren’t prepared.
Financial services giant U.S. Bancorp (NYSE:USB) reported Q1 CY2025 results beating Wall Street’s revenue expectations, with sales up 3.6% year on year to $6.93 billion. Its non-GAAP profit of $1.03 per share was 5.7% above analysts’ consensus estimates.
Over the past six months, U.S. Bancorp’s shares (currently trading at $44.67) have posted a disappointing 8.9% loss while the S&P 500 was flat. This may have investors wondering how to approach the situation.
A surplus of cash can mean financial stability, but it can also indicate a reluctance (or inability) to invest in growth.
Some of these companies also face challenges like stagnating revenue, declining market share, or limited scalability.
Banks play a critical role in the financial system, providing everything from commercial loans to wealth management and payment processing services. Still, investors are uneasy as banks face challenges from credit quality concerns and potential regulatory changes.
These doubts have caused the industry to lag recently as banking stocks have collectively shed 10.1% over the past six months. This performance was disappointing since the S&P 500 stood firm.
Investors were glued to the lifting of the asset cap of Wells Fargo, an analyst’s report for Affirm, and a favorable government move in Texas for BlackRock.
Beeline Holdings announces new home equity access product through partnership with RealCo, offering homeowners quick and flexible cash without debt or monthly payments. Launching in July with beta testing in June.
Upcoming CEO Sanoke Viswanathan worked for 15 years at JPMorgan and headed the bank’s rapidly growing international banking unit in his most recent role.
