
Capital One (COF) Stock Forecast & Price Target
Capital One (COF) Analyst Ratings
Bulls say
Capital One Financial has demonstrated a solid financial performance, with total revenues increasing by 6.5% year-over-year and a comparable rise in purchase volume, reflecting robust consumer activity. The firm's loan growth, excluding Discover, was also positive at 3.5% year-over-year, indicating strong demand for its lending products amidst a favorable economic landscape. Despite increased integration costs from the Discover acquisition, management remains optimistic about achieving significant synergies, supported by a 35% earnings per share beat in the latest quarter, which highlights the underlying strength and resilience of the business.
Bears say
Capital One's recent announcement of a $16 billion share repurchase authorization, coupled with an adjustment of its long-term CET1 target to 11% from 14.4%, suggests a potential strain on the bank's net interest margin (NIM) in the short term. Additionally, uncertainties regarding the acquisition of Discover, particularly the expectations for integration expenses and potential regulatory challenges, could lead to higher costs and diminished synergies than initially forecasted. Such factors, combined with a decrease in credit provisions, point towards a cautious outlook for Capital One’s financial stability and profitability in the near future.
This aggregate rating is based on analysts' research of Capital One and is not a guaranteed prediction by Public.com or investment advice.
Capital One (COF) Analyst Forecast & Price Prediction
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