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Capital One (COF) Gains As Market Dips: What You Should Know
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In the latest trading session, Capital One (COF - Free Report) closed at $120.19, marking a +0.8% move from the previous day. This change outpaced the S&P 500's 0.48% loss on the day. Meanwhile, the Dow lost 1.5%, and the Nasdaq, a tech-heavy index, added 0.56%.
Prior to today's trading, shares of the credit card issuer and bank had gained 11.61% over the past month. This has outpaced the Finance sector's gain of 5.46% and the S&P 500's loss of 0.53% in that time.
Wall Street will be looking for positivity from COF as it approaches its next earnings report date. On that day, COF is projected to report earnings of $3.58 per share, which would represent year-over-year growth of 218.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.95 billion, down 4.07% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.09 per share and revenue of $28.48 billion, which would represent changes of +132.95% and -0.15%, respectively, from the prior year.
Any recent changes to analyst estimates for COF should also be noted by investors. Recent revisions tend to reflect the latest 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 8.99% higher. COF currently has a Zacks Rank of #1 (Strong Buy).
In terms of valuation, COF is currently trading at a Forward P/E ratio of 9.87. For comparison, its industry has an average Forward P/E of 9.45, which means COF is trading at a premium to the group.
Meanwhile, COF's PEG ratio is currently 0.67. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial - Consumer Loans industry currently had an average PEG ratio of 0.73 as of yesterday's close.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 39, putting it in the top 16% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Capital One (COF) Gains As Market Dips: What You Should Know
In the latest trading session, Capital One (COF - Free Report) closed at $120.19, marking a +0.8% move from the previous day. This change outpaced the S&P 500's 0.48% loss on the day. Meanwhile, the Dow lost 1.5%, and the Nasdaq, a tech-heavy index, added 0.56%.
Prior to today's trading, shares of the credit card issuer and bank had gained 11.61% over the past month. This has outpaced the Finance sector's gain of 5.46% and the S&P 500's loss of 0.53% in that time.
Wall Street will be looking for positivity from COF as it approaches its next earnings report date. On that day, COF is projected to report earnings of $3.58 per share, which would represent year-over-year growth of 218.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.95 billion, down 4.07% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.09 per share and revenue of $28.48 billion, which would represent changes of +132.95% and -0.15%, respectively, from the prior year.
Any recent changes to analyst estimates for COF should also be noted by investors. Recent revisions tend to reflect the latest 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 8.99% higher. COF currently has a Zacks Rank of #1 (Strong Buy).
In terms of valuation, COF is currently trading at a Forward P/E ratio of 9.87. For comparison, its industry has an average Forward P/E of 9.45, which means COF is trading at a premium to the group.
Meanwhile, COF's PEG ratio is currently 0.67. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Financial - Consumer Loans industry currently had an average PEG ratio of 0.73 as of yesterday's close.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 39, putting it in the top 16% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.