Capital One Financial Corp. Upgraded to “Outperform” at Zacks (COF)
Capital One Financial Corp. (NYSE:COF) was upgraded by Zacks from a “neutral” rating to an “outperform” rating in a report released on Friday, American Banking & Market News reports. The firm currently has a $74.00 target price on the stock. Zacks‘ target price suggests a potential upside of 7.59% from the stock’s previous close.
Zacks‘ analyst wrote, “We are upgrading our long-term recommendation on Capital One to Outperform due to its enhanced capital deployment plans. Additionally, the company’s second-quarter 2013 earnings substantially surpassed the Zacks Consensus Estimate. The results were driven by top-line growth, partially offset by a rise in operating expenses. Moreover, strong profitability and capital ratios as well as improved asset quality were the positives for the quarter. Exposures to commercial real estate, weak demand for loans, elevated expenses and the impact of new regulations are expected to adversely impact the company’s financials. However, we anticipate continued synergies from its geographic diversification and inorganic growth strategy. Also, the resurgence across all its businesses will continue to support financials.”
Shares of Capital One Financial Corp. (NYSE:COF) traded up 1.79% on Friday, hitting $70.01. The stock had a trading volume of 1,049,127 shares. Capital One Financial Corp. has a 52 week low of $50.21 and a 52 week high of $70.00. The stock has a 50-day moving average of $67.21 and a 200-day moving average of $62.67. The company has a market cap of $40.711 billion and a P/E ratio of 9.73.
Capital One Financial Corp. (NYSE:COF) last posted its quarterly earnings results on Thursday, July 18th. The company reported $1.87 EPS for the quarter, beating the Thomson Reuters consensus estimate of $1.73 by $0.14. The company had revenue of $5.64 billion for the quarter, compared to the consensus estimate of $5.53 billion. During the same quarter in the prior year, the company posted $0.16 earnings per share. The company’s quarterly revenue was up 11.5% on a year-over-year basis. On average, analysts predict that Capital One Financial Corp. will post $6.88 earnings per share for the current fiscal year.
Other equities research analysts have also recently issued reports about the stock. Analysts at Morgan Stanley downgraded shares of Capital One Financial Corp. (NYSE:COF) from an “overweight” rating to an “equal weight” rating in a research note to investors on Thursday, July 25th. Separately, analysts at Barclays Capital raised their price target on shares of Capital One Financial Corp. (NYSE:COF) from $68.00 to $74.00 in a research note to investors on Monday, July 22nd. Finally, analysts at Susquehanna raised their price target on shares of Capital One Financial Corp. (NYSE:COF) from $69.00 to $78.00 in a research note to investors on Friday, July 19th. They now have a “positive” rating on the stock. Six investment analysts have rated the stock with a hold rating and seventeen have given a buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and a consensus price target of $72.00.
Capital One Financial Corporation is a diversified financial services holding company with banking and non-banking subsidiaries.
To view Zacks’ full report, visit www.zacks.com
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