Deutsche bank took its Capital One Financial [COF] rating to the equivalent of Buy from Hold, in a research note dated 2021-01-06. Other analysts also revised their coverage, with Evercore ISI’s analysts upgrading the shares from “an In-line” rating to “an Outperform” rating in a research note to investors issued in early December. Meanwhile, Morgan Stanley had raised its rating on COF to “an Overweight” from the earlier “an Equal-weight”, in a research note produced for clients November 30, 2020. In addition, Wolfe Research launched coverage on July 31, 2020. The research firm rated COF “an Outperform”.
Is Capital One Financial Corporation [NYSE:COF] a Good Buy Right Now?
It should be noted that COF technical indicators for short, intermediate as well as long term progress have placed an overall average of 100% as Buy. The average signal changed from 100% Buy in the last week and compares with 100% Buy in the past month. Data from Capital One Financial Corporation’s Trend Spotter indicated that the signals were Weakening. The stock current average is 2.68 million shares in the past 20 days and the short term average signal indicates a 100% Buy. In the last 50 days, the average trading volume was 2.93 million shares while the medium term average advocated for 100% Buy. The average long-term signal stands at 100% Buy and the 100-day average volume stands at 2.93 million shares.
COF Price Performance
On Wall Street, Capital One Financial Corporation [NYSE:COF] finished Tuesday’s session up 2.35% at $100.14. The stock went up to $100.575 at the same session while its lowest single day price was $97.79. In the last five days, it saw a rise of about 2.66%, Capital One Financial Corporation shares gained by almost 1.31% since the beginning of the year. However, the share price has dropped to as low as -6.92% below its one year high. On 01/05/21, the company shares recorded $100.57, the highest single-day price it has got to in the last 52-weeks and a 52-week low was seen on 01/04/21, the same year at $96.98. The company’s shares have declined by -0.93% in the past year. The 50-day SMA achieved is $87.98 while the 200-day SMA is $71.03. Volume dropped to 2.17 million from 3.43 million in the previous session.
Capital One Financial Corporation [COF] Valuation Measures
Notably, Capital One Financial Corporation [COF] stock cannot be classified as a good candidate in the listing of underestimated low-priced Credit Services companies to purchase soonest possible with the prevailing 12-month PE ratio of 48.97. The measure means the stock is exchanging at a premium as compared to the 14.83x trailing earnings of the industry. It can be helpful for investors to consider historical price-sales ratio, more specifically, a 1.69 PS value ratio is reported for the last one year of reported earnings. That is lower than the industry average of 2.78 which means COF serve an unattractive investment opportunity compared to its competitors.
COF Stock Support And Resistance Levels
On the 24-hour scale, the immediate backing is perceived around 98.43 level, and in case of violation of this particular level, it will cause more drop to 96.72 level. On the upper level, 102.29 is still the key resistance. The stock may increase to the subsequent resistance at 101.21. The Relative Strength Index (RSI) pinned on the 14-day chart is 66.40, implying a neutral technical stance while the MACD stands at 2.89, meaning price will increase in the next trading period. Percent R indicator moved to 4.01%, implying bullish price movement. Stochastic %K at 90.61% suggest selling the stock.
What is the short interest in Capital One Financial Corporation?
Short interest in the Capital One Financial Corporation stock has surged, increasing by 0.89 million shares to total 4.95 million shares on Dec 14, 2020. The interest had seen shares on Nov 12, 2020 stand at 5.84 million, data from Yahoo Finance shows. The decrease of -17.98% suggests the stock saw some decreased bullish sentiment. The stock’s days to cover (short ratio) moved to while the shorted shares account for just 1.09% of the overall float for the stock.
Capital One Financial Corporation’s Biggest Shareholders: Who Owns Capital One Financial Corporation [COF]?
Filings by Dodge & Cox showed that the firm now holds a total of 50,498,247 shares or roughly 11.04% of the outstanding COF shares. This means their shares have increased by 3,024,774 from the 50,498,247 the investor reportedly held in its prior 13-F filing. With the conclusion of the purchase, The Vanguard Group, Inc. updated stake is worth $2,779,357,563. Details in the latest 13F filings reveal that Capital Research & Management Co disposed off their -12.15% stake valued at $1,852,467,364 while Fidelity Management & Research Co added theirs at $1,786,562,931. During the last quarter, Capital Research & Management Co liquidated -2,992,956 of its shares in Capital One Financial Corporation while Fidelity Management & Research Co bought 393,787 shares. The BlackRock Fund Advisors’s holdings currently number 19,810,662 shares at $1983839692.68. According to the firm’s last 13F report, SSgA Funds Management, Inc. shares in the company at filing stood at 19,625,743 shares, roughly $1,680,748,631.
COF Earnings Forecast For The Current Quarter
Capital One Financial Corporation [COF] is expected to report strong earnings results for the quarter ending on Dec 2020. Consensus estimates give the company expected revenues of $6.97B and an earnings per share of $2.54 for Dec 2020. Looking further ahead, the company is expected to report revenue of $6.93B at an EPS of $2.63 for Mar 2021. The estimates represent a downside of 0.70% and 306.69% in the company’s revenue and earnings per share, respectively, on a year-on-year basis.
COF Earnings Estimates For The Current Year
For the financial year, Capital One Financial Corporation [NYSE:COF] is expected to bring in revenue of $28.1B. The returns are nearly $-490.0 million lower than the company’s actual revenue recorded in the fiscal year 2019. In terms of EPS for the 2020, estimate put it at 2.32, lower than that of FY19 by -$8.73. Estimates put this year’s earnings growth at -79.00%, 304.70% for the next, and at an annual 8.00% over the next 5-year period. As for sales, forecasts are for a decrease of -1.70% in the current fiscal year and a further 0.70% over the following year.