Welcome to John Ransom's Stocks In The News, where the headline meets the trendline.
Stocks in the News is produced by Ransom Notes Radio and Goodfellow, LLC. Crista Huff manages Goodfellow LLC, a website that recommends outperforming stocks using fundamental and technical analysis.
Stock number one is:
U.S. Bancorp, (SYMBOL: USB) and the headline says:
U.S. Bancorp Quarterly Profit Rises 6.7%, Matches Estimates(Bloomberg)
U.S. Bancorp reported a first quarter in-line with analysts’ expectations. Morgan Stanley Research commented, “Lower fees were more than offset by lower expenses.” Expenses improved due to lower regulatory, litigation and insurance-related costs.
The company is expected to increase earnings per share between 7 and 9% over each of the next three years. The PE is 10.9, and the dividend yield is 2.34%.
U.S. Bancorp’s chart is neutral, recently trading in a tight range between $33 and $34.50. The stock has fallen below support today, and investors should be cautious. Citi Research says “expectations are too high for this stock.”
Our Ransom Note trendline says: STAY ON THE SIDELINES
Stock number two is:
Goldman Sachs Group, (SYMBOL: GS) and the headline says:
Goldman Profit Beats Estimates on Investment-Banking Gain (Bloomberg)