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Capital One (COF) Gains But Lags Market: What You Should Know
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Capital One (COF - Free Report) closed the most recent trading day at $143.73, moving +0.15% from the previous trading session. This move lagged the S&P 500's daily gain of 1.02%. At the same time, the Dow added 0.74%, and the tech-heavy Nasdaq lost 0.4%.
Heading into today, shares of the credit card issuer and bank had lost 8.18% over the past month, lagging the Finance sector's loss of 1.63% and the S&P 500's loss of 0.91% in that time.
Wall Street will be looking for positivity from Capital One as it approaches its next earnings report date. The company is expected to report EPS of $5.16, down 2.46% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $7.87 billion, up 7.21% from the prior-year quarter.
COF's full-year Zacks Consensus Estimates are calling for earnings of $26.63 per share and revenue of $30.16 billion. These results would represent year-over-year changes of +413.1% and +5.72%, respectively.
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 such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
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 0.5% higher. Capital One is currently a Zacks Rank #3 (Hold).
Digging into valuation, Capital One currently has a Forward P/E ratio of 5.39. This valuation marks a discount compared to its industry's average Forward P/E of 5.54.
We can also see that COF currently has a PEG ratio of 0.26. 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 0.26 based on yesterday's closing prices.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 110, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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) Gains But Lags Market: What You Should Know
Capital One (COF - Free Report) closed the most recent trading day at $143.73, moving +0.15% from the previous trading session. This move lagged the S&P 500's daily gain of 1.02%. At the same time, the Dow added 0.74%, and the tech-heavy Nasdaq lost 0.4%.
Heading into today, shares of the credit card issuer and bank had lost 8.18% over the past month, lagging the Finance sector's loss of 1.63% and the S&P 500's loss of 0.91% in that time.
Wall Street will be looking for positivity from Capital One as it approaches its next earnings report date. The company is expected to report EPS of $5.16, down 2.46% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $7.87 billion, up 7.21% from the prior-year quarter.
COF's full-year Zacks Consensus Estimates are calling for earnings of $26.63 per share and revenue of $30.16 billion. These results would represent year-over-year changes of +413.1% and +5.72%, respectively.
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 such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
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 0.5% higher. Capital One is currently a Zacks Rank #3 (Hold).
Digging into valuation, Capital One currently has a Forward P/E ratio of 5.39. This valuation marks a discount compared to its industry's average Forward P/E of 5.54.
We can also see that COF currently has a PEG ratio of 0.26. 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 0.26 based on yesterday's closing prices.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 110, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.