NYSE:COF

Stock Analysis Report

Executive Summary

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.

Snowflake

Fundamentals

Good value average dividend payer.


Similar Companies

Share Price & News

How has Capital One Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.3%

COF

1.7%

US Consumer Finance

0.07%

US Market


1 Year Return

5.9%

COF

9.9%

US Consumer Finance

8.9%

US Market

Return vs Industry: COF underperformed the US Consumer Finance industry which returned 9.9% over the past year.

Return vs Market: COF underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

COFIndustryMarket
7 Day2.3%1.7%0.07%
30 Day-0.6%-1.2%-0.3%
90 Day-4.9%-7.2%-1.6%
1 Year7.8%5.9%11.8%9.9%11.3%8.9%
3 Year29.2%22.2%55.7%48.2%46.3%36.8%
5 Year25.7%14.2%38.4%28.3%62.1%44.3%

Price Volatility Vs. Market

How volatile is Capital One Financial's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Capital One Financial undervalued compared to its fair value and its price relative to the market?

33.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: COF ($92.16) is trading below our estimate of fair value ($139.23)

Significantly Below Fair Value: COF is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: COF is good value based on its PE Ratio (7.9x) compared to the Consumer Finance industry average (8.5x).

PE vs Market: COF is good value based on its PE Ratio (7.9x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: COF is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: COF is good value based on its PB Ratio (0.8x) compared to the US Consumer Finance industry average (1.2x).


Next Steps

Future Growth

How is Capital One Financial forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

3.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: COF's forecast earnings growth (3.2% per year) is above the savings rate (2.7%).

Earnings vs Market: COF's earnings (3.2% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: COF's earnings are forecast to grow, but not significantly.

Revenue vs Market: COF's revenue (5.7% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: COF's revenue (5.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: COF's Return on Equity is forecast to be low in 3 years time (10.6%).


Next Steps

Past Performance

How has Capital One Financial performed over the past 5 years?

1.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: COF's earnings have grown by 1.4% per year over the past 5 years.

Accelerating Growth: COF's earnings growth over the past year (68.9%) exceeds its 5-year average (1.4% per year).

Earnings vs Industry: COF earnings growth over the past year (68.9%) exceeded the Consumer Finance industry 25.5%.


Return on Equity

High ROE: COF's Return on Equity (10.4%) is considered low.


Return on Assets

ROA vs Industry: COF's Return on Assets is below or equal to the Consumer Finance industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate COF's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Capital One Financial's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: COF has a low level of unsold assets or inventory.

Debt Coverage by Assets: COF's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

Asset Level: COF's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if COF has a sufficient allowance for bad loans.

Low Risk Liabilities: COF reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if COF has an acceptable proportion of non-loan assets held.

Low Risk Deposits: COF has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if COF has an appropriate level of bad loans.


Next Steps

Dividend

What is Capital One Financial's current dividend yield, its reliability and sustainability?

1.74%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years1.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: COF's dividend (1.74%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: COF's dividend (1.74%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: COF's dividend payments have been volatile in the past 10 years.

Growing Dividend: COF's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (13.8%), COF's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: COF's dividends in 3 years are forecast to be thoroughly covered by earnings (13.8% payout ratio).


Next Steps

Management

What is the CEO of Capital One Financial's salary, the management and board of directors tenure and is there insider trading?

10.3yrs

Average management tenure


CEO

Rich Fairbank (68yo)

25.3yrs

Tenure

US$17,333,796

Compensation

Mr. Richard D. Fairbank, also known as Rich, is the Founder of Capital One Bank and serves as its Chairman and Chief Executive Officer. Mr. Fairbank founded Capital One Financial Corporation in 1988 and ha ...


Management Age and Tenure

10.3yrs

Average Tenure

53yo

Average Age

Experienced Management: COF's management team is seasoned and experienced (10.3 years average tenure).


Board Age and Tenure

9.6yrs

Average Tenure

64yo

Average Age

Experienced Board: COF's board of directors are considered experienced (9.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Rich Fairbank (68yo)

    Founder

    • Tenure: 25.3yrs
    • Compensation: US$17.33m
  • John Finneran (69yo)

    Senior Advisor & Corporate Secretary

    • Tenure: 25.1yrs
    • Compensation: US$6.32m
  • Tatiana Stead

    Director of Corporate Communications

    • Tenure: 0yrs
  • Jory Berson (49yo)

    Chief Human Resources Officer

    • Tenure: 10.3yrs
  • Rob Alexander (54yo)

    Chief Information Officer

    • Tenure: 12.4yrs
  • Sanjiv Yajnik (62yo)

    President of Financial Services

    • Tenure: 10.3yrs
    • Compensation: US$6.25m
  • Frank LaPrade (52yo)

    Chief Enterprise Services Officer & Chief of Staff to the CEO

    • Tenure: 0yrs
    • Compensation: US$6.09m
  • Richard Blackley (51yo)

    Chief Financial Officer

    • Tenure: 3.4yrs
    • Compensation: US$5.68m
  • Jeff Norris

    SVP, Global Finance

    • Tenure: 0yrs
  • Matthew Cooper (47yo)

    General Counsel

    • Tenure: 1.7yrs

Board Members

  • Brad Warner (67yo)

    Independent Director

    • Tenure: 11.5yrs
    • Compensation: US$350.07k
  • Pierre Leroy (70yo)

    Independent Director

    • Tenure: 14.1yrs
    • Compensation: US$305.07k
  • Rich Fairbank (68yo)

    Founder

    • Tenure: 25.3yrs
    • Compensation: US$17.33m
  • Catherine West (59yo)

    Independent Director

    • Tenure: 6.7yrs
    • Compensation: US$320.07k
  • Peter Raskind (63yo)

    Independent Director

    • Tenure: 7.8yrs
    • Compensation: US$350.07k
  • Mayo Shattuck (65yo)

    Independent Director

    • Tenure: 16yrs
    • Compensation: US$335.07k
  • Ann Hackett (65yo)

    Lead Director

    • Tenure: 12.5yrs
    • Compensation: US$405.07k
  • Eli Adrianus Joseph Leenaars (58yo)

    Director

    • Tenure: 0.8yrs
  • Tom Killalea (51yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$315.07k
  • Aparna Chennapragada (42yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: US$302.63k

Company Information

Capital One Financial Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Capital One Financial Corporation
  • Ticker: COF
  • Exchange: NYSE
  • Founded: 1988
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: US$43.346b
  • Shares outstanding: 470.33m
  • Website: https://www.capitalone.com

Number of Employees


Location

  • Capital One Financial Corporation
  • 1680 Capital One Drive
  • McLean
  • Virginia
  • 22102
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
COFNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 1994
COF *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNNov 1994
CFXDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1994
0HT4LSE (London Stock Exchange)YesCommon StockGBUSDNov 1994
COF.PRPNYSE (New York Stock Exchange)DEP SHS 1/40THUSUSDAug 2012
COF.PRCNYSE (New York Stock Exchange)DEP SHS PFD CUSUSDJun 2014
COF.PRDNYSE (New York Stock Exchange)DEP SHS 1/40USUSDOct 2014
COF.PRFNYSE (New York Stock Exchange)PFD SER FUSUSDAug 2015
COF.PRGNYSE (New York Stock Exchange)DEP SHS PFD GUSUSDJul 2016
COF.PRHNYSE (New York Stock Exchange)DEP SHS PFD HUSUSDNov 2016
CAON34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REP 0.5 COM USD0.01BRBRLMay 2019
COF.PRINYSE (New York Stock Exchange)DP SHS PFD IUSUSDSep 2019

Biography

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 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:33
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.