As the broader market continues to significantly underperform, stocks that generate high dividend income have become a popular alternative among investors. One of the best dividend stocks out there is US Bancorp (NYSE: USB), the fifth-largest bank in the country with $591 billion in assets.

US Bancorp has one of the highest dividend yields in its industry, and it is a favorite of Warren Buffett's, as it is one of the 10 largest holdings in his Berkshire Hathaway portfolio. Let's take a look at why this is a dividend stock to hold on to.

US Bancorp, the parent company of U.S. Bank, beat earnings estimates in the second quarter, posting revenue of $6 billion, up 4% year over year. However, net income was down about 22% to $1.5 billion due to higher provision for credit losses, caused by the worsening economy, and costs associated with its acquisition of MUFG Union Bank, which will close in the second half of this year.

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Source Fool.com