Zacks Investment Research upgraded shares of Capital One Financial (NYSE:COF) from a hold rating to a buy rating in a report published on Wednesday. The brokerage currently has $96.00 price target on the financial services provider’s stock.
According to Zacks, “Capital One’s shares have outperformed the industry so far this year. Further, the company has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate for earnings in three of the trailing four quarters. A strong liquidity position, strength in its credit card and online banking businesses, higher interest rates and solid loan balance will aid growth further. While mounting operating expenses and deteriorating asset quality remain major concerns, benefits from lower tax rates and restructuring initiatives will support financials.”
A number of other equities analysts have also recently weighed in on the company. Citigroup reduced their price target on Capital One Financial from $110.00 to $105.00 and set a buy rating for the company in a report on Thursday, November 1st. Barclays reaffirmed a buy rating on shares of Capital One Financial in a report on Monday, October 29th. Sandler O’Neill upped their price target on Capital One Financial from $113.00 to $115.00 and gave the stock a buy rating in a report on Wednesday, October 24th. Wells Fargo & Co reduced their price target on Capital One Financial from $110.00 to $103.00 and set an outperform rating for the company in a report on Wednesday, October 24th. Finally, Nomura reduced their target price on Capital One Financial from $109.00 to $98.00 and set a neutral rating for the company in a report on Wednesday, October 24th. One investment analyst has rated the stock with a sell rating, six have given a hold rating and fifteen have issued a buy rating to the company’s stock. The stock has a consensus rating of Buy and an average price target of $109.19.
Capital One Financial (NYSE:COF) last released its quarterly earnings results on Tuesday, October 23rd. The financial services provider reported $3.12 earnings per share for the quarter, topping analysts’ consensus estimates of $2.89 by $0.23. The company had revenue of $6.96 billion during the quarter, compared to analysts’ expectations of $6.88 billion. Capital One Financial had a return on equity of 11.01% and a net margin of 11.84%. Capital One Financial’s quarterly revenue was down .3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.42 EPS. As a group, equities research analysts expect that Capital One Financial will post 11.38 EPS for the current year.
The company also recently announced a quarterly dividend, which was paid on Friday, November 23rd. Shareholders of record on Monday, November 12th were issued a dividend of $0.40 per share. The ex-dividend date of this dividend was Thursday, November 8th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.87%. Capital One Financial’s payout ratio is currently 20.54%.
Several institutional investors have recently made changes to their positions in COF. Capital International Investors acquired a new stake in shares of Capital One Financial in the third quarter valued at approximately $259,357,000. Panagora Asset Management Inc. increased its holdings in shares of Capital One Financial by 81.0% in the third quarter. Panagora Asset Management Inc. now owns 2,266,047 shares of the financial services provider’s stock valued at $215,116,000 after purchasing an additional 1,014,394 shares during the last quarter. Rehmann Capital Advisory Group increased its holdings in shares of Capital One Financial by 9,386.2% in the third quarter. Rehmann Capital Advisory Group now owns 879,848 shares of the financial services provider’s stock valued at $9,268,000 after purchasing an additional 870,573 shares during the last quarter. Renaissance Technologies LLC increased its holdings in shares of Capital One Financial by 422.8% in the third quarter. Renaissance Technologies LLC now owns 1,051,399 shares of the financial services provider’s stock valued at $99,809,000 after purchasing an additional 850,300 shares during the last quarter. Finally, Epoch Investment Partners Inc. acquired a new stake in shares of Capital One Financial in the second quarter valued at approximately $75,707,000. 89.33% of the stock is owned by institutional investors and hedge funds.
Capital One Financial Company Profile
Capital One Financial Corporation operates as the bank holding company for the Capital One Bank (USA), National Association; and Capital One, National Association, which provides various financial products and services in the United States, the United Kingdom, and Canada. It operates through three segments: Credit Card, Consumer Banking, and Commercial Banking.
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