Zacks Investment Research cut shares of Capital One Financial (NYSE:COF) from a buy rating to a hold rating in a research report report published on Wednesday morning.
According to Zacks, “Capital One’s shares have outperformed the industry over the past 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 as well. Also, benefits from the lower tax rates and restructuring initiatives will support its financials. However, mounting operating expenses mainly due to investments in the franchise are expected to hurt bottom line growth to some extent. Further, deteriorating asset quality remains a major concern for the company.”
COF has been the subject of a number of other reports. BMO Capital Markets lifted their price target on shares of Capital One Financial from $132.00 to $135.00 and gave the stock an outperform rating in a research note on Monday, July 30th. Piper Jaffray Companies raised shares of Capital One Financial from a neutral rating to an overweight rating in a research report on Thursday, June 14th. Oppenheimer set a $116.00 price objective on shares of Capital One Financial and gave the company a buy rating in a research report on Tuesday, September 18th. Morgan Stanley boosted their price objective on shares of Capital One Financial from $104.00 to $109.00 and gave the company an equal weight rating in a research report on Friday, July 20th. Finally, UBS Group lowered their price objective on shares of Capital One Financial from $116.00 to $113.00 and set a buy rating for the company in a research report on Tuesday, August 7th. Eight equities research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company’s stock. Capital One Financial presently has an average rating of Buy and a consensus target price of $111.10.
Capital One Financial stock opened at $90.79 on Wednesday. Capital One Financial has a twelve month low of $83.88 and a twelve month high of $106.50. The company has a debt-to-equity ratio of 1.06, a quick ratio of 0.98 and a current ratio of 0.98. The stock has a market capitalization of $45.42 billion, a PE ratio of 11.65, a price-to-earnings-growth ratio of 0.81 and a beta of 1.29.
Capital One Financial (NYSE:COF) last posted its earnings results on Thursday, July 19th. The financial services provider reported $3.22 earnings per share for the quarter, topping analysts’ consensus estimates of $2.63 by $0.59. Capital One Financial had a net margin of 10.73% and a return on equity of 10.44%. The firm had revenue of $7.19 billion for the quarter, compared to the consensus estimate of $6.95 billion. During the same period in the previous year, the firm posted $1.96 EPS. The business’s quarterly revenue was up 7.3% on a year-over-year basis. On average, equities analysts forecast that Capital One Financial will post 11.04 earnings per share for the current fiscal year.
In other Capital One Financial news, insider Kevin S. Borgmann sold 19,117 shares of the stock in a transaction on Tuesday, July 24th. The shares were sold at an average price of $100.00, for a total transaction of $1,911,700.00. Following the transaction, the insider now directly owns 62,567 shares of the company’s stock, valued at $6,256,700. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Lewis Hay III sold 16,446 shares of the stock in a transaction dated Tuesday, July 24th. The shares were sold at an average price of $100.00, for a total transaction of $1,644,600.00. Following the completion of the sale, the director now owns 61,636 shares of the company’s stock, valued at $6,163,600. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 281,726 shares of company stock worth $27,993,497. Insiders own 1.40% of the company’s stock.
Hedge funds and other institutional investors have recently modified their holdings of the company. Bank of Montreal Can acquired a new stake in Capital One Financial during the second quarter worth about $162,373,000. Epoch Investment Partners Inc. acquired a new stake in shares of Capital One Financial during the second quarter valued at about $75,707,000. TD Asset Management Inc. boosted its stake in shares of Capital One Financial by 339.9% in the second quarter. TD Asset Management Inc. now owns 886,903 shares of the financial services provider’s stock valued at $81,506,000 after purchasing an additional 685,275 shares during the period. Pzena Investment Management LLC boosted its stake in shares of Capital One Financial by 11.5% in the second quarter. Pzena Investment Management LLC now owns 5,437,557 shares of the financial services provider’s stock valued at $499,711,000 after purchasing an additional 559,856 shares during the period. Finally, ANTIPODES PARTNERS Ltd purchased a new position in Capital One Financial in the second quarter worth approximately $48,038,000. Institutional investors and hedge funds own 88.29% of the company’s stock.
About Capital One Financial
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.
Read More: What are the Benefits of Index Funds?
Get a free copy of the Zacks research report on Capital One Financial (COF)
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Capital One Financial Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Capital One Financial and related companies with MarketBeat.com's FREE daily email newsletter.