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Capital One (COF) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Capital One (COF - Free Report) closed at $135.88, marking a +0.6% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.51%. Elsewhere, the Dow gained 0.44%, while the tech-heavy Nasdaq added 0.19%.
Heading into today, shares of the credit card issuer and bank had lost 8.59% over the past month, lagging the Finance sector's gain of 3.68% and the S&P 500's gain of 5.51% in that time.
Wall Street will be looking for positivity from Capital One as it approaches its next earnings report date. On that day, Capital One is projected to report earnings of $5.51 per share, which would represent a year-over-year decline of 21.62%. Meanwhile, our latest consensus estimate is calling for revenue of $8 billion, up 12.52% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.20 per share and revenue of $33.14 billion, which would represent changes of -25.05% and +8.89%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Capital One. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.09% lower. Capital One is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Capital One has a Forward P/E ratio of 6.69 right now. This represents a discount compared to its industry's average Forward P/E of 7.22.
It is also worth noting that COF currently has a PEG ratio of 0.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Consumer Loans stocks are, on average, holding a PEG ratio of 0.33 based on yesterday's closing prices.
The Financial - Consumer Loans industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 164, which puts it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow COF in the coming trading sessions, be sure to utilize Zacks.com.
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Capital One (COF) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Capital One (COF - Free Report) closed at $135.88, marking a +0.6% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.51%. Elsewhere, the Dow gained 0.44%, while the tech-heavy Nasdaq added 0.19%.
Heading into today, shares of the credit card issuer and bank had lost 8.59% over the past month, lagging the Finance sector's gain of 3.68% and the S&P 500's gain of 5.51% in that time.
Wall Street will be looking for positivity from Capital One as it approaches its next earnings report date. On that day, Capital One is projected to report earnings of $5.51 per share, which would represent a year-over-year decline of 21.62%. Meanwhile, our latest consensus estimate is calling for revenue of $8 billion, up 12.52% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.20 per share and revenue of $33.14 billion, which would represent changes of -25.05% and +8.89%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Capital One. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.09% lower. Capital One is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Capital One has a Forward P/E ratio of 6.69 right now. This represents a discount compared to its industry's average Forward P/E of 7.22.
It is also worth noting that COF currently has a PEG ratio of 0.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Consumer Loans stocks are, on average, holding a PEG ratio of 0.33 based on yesterday's closing prices.
The Financial - Consumer Loans industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 164, which puts it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow COF in the coming trading sessions, be sure to utilize Zacks.com.