Warren Buffett is Selling These 5 Stocks

1. U.S. Bancorp (NYSE:USB)

Number of Hedge Fund Holders: 42

Percentage Decline in Stake: 2%

U.S. Bancorp (NYSE:USB) is one of the biggest banks in the US, holding $567 billion in assets as of the third quarter of 2021. The bank stock is also one of Berkshire Hathaway’s oldest holdings, having been in the company’s portfolio since 2006. In Q3, the hedge fund slashed just 2% of its stake in the company, a small adjustment.

The company posted earnings in the third quarter, reporting a revenue of $5.89 billion, up nearly 2% from $5.78 billion in Q2 2021, and beating analyst consensus by $105 million. On October 15, RBC Capital analyst Gerard Cassidy maintained an Outperform rating on U.S. Bancorp (NYSE:USB) following strong Q3 results. Cassidy raised his price target for the bank stock to $66 from $62, citing the company’s well-balanced business risk and growth outlook.

U.S. Bancorp (NYSE:USB) has been on a buying spree this year. The company’s recently acquired TravelBank, a California-based fintech firm, in November. The transaction, which is estimated to be worth $8 billion, is expected to close in the fourth quarter of 2021.

The bank stock is also a good investment option for income investors as U.S. Bancorp (NYSE:USB) offers a dividend yield of 3.06%. 

At the end of the third quarter of 2021, 42 hedge funds in the database of Insider Monkey held stakes worth $8.39 billion in U.S. Bancorp (NYSE:USB), up from 41 in the previous quarter worth $8.3 million.

You can also take a peek at the 10 Blue Chip Dividend Stocks with Over 8% Yield and 10 Latest Stock Picks of Billionaire Ray Dalio.

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