CAPITAL ONE FINANCIAL CORP (COF) Stock Fundamental Analysis
NYSE:COF - New York Stock Exchange, Inc. - US14040H1059 - Common Stock - Currency: USD
Taking everything into account, COF scores 3 out of 10 in our fundamental rating. COF was compared to 53 industry peers in the Consumer Finance industry. Both the profitability and financial health of COF have multiple concerns. COF is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year COF was profitable.
In the past year COF had a positive cash flow from operations.
Each year in the past 5 years COF has been profitable.
In the past 5 years COF always reported a positive cash flow from operatings.
1.2 Ratios
COF has a Return On Assets of 0.93%. This is in the lower half of the industry: COF underperforms 60.38% of its industry peers.
Looking at the Return On Equity, with a value of 7.19%, COF is in line with its industry, outperforming 43.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.93% | ||
| ROE | 7.19% | ||
| ROIC | N/A |
ROA(3y)1.14%
ROA(5y)1.35%
ROE(3y)9.53%
ROE(5y)10.43%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
COF's Profit Margin of 11.51% is in line compared to the rest of the industry. COF outperforms 58.49% of its industry peers.
COF's Profit Margin has declined in the last couple of years.
COF does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 11.51% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-33.88%
PM growth 5Y-8.95%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
COF does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for COF has been increased compared to 1 year ago.
COF has less shares outstanding than it did 5 years ago.
COF has a better debt/assets ratio than last year.
2.2 Solvency
COF has a debt to FCF ratio of 2.26. This is a good value and a sign of high solvency as COF would need 2.26 years to pay back of all of its debts.
COF's Debt to FCF ratio of 2.26 is amongst the best of the industry. COF outperforms 84.91% of its industry peers.
A Debt/Equity ratio of 0.66 indicates that COF is somewhat dependend on debt financing.
COF's Debt to Equity ratio of 0.66 is fine compared to the rest of the industry. COF outperforms 69.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 2.26 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.12%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.28% over the past year.
The Earnings Per Share has been growing slightly by 4.14% on average over the past years.
COF shows a small growth in Revenue. In the last year, the Revenue has grown by 6.50%.
The Revenue has been growing slightly by 6.47% on average over the past years.
EPS 1Y (TTM)10.28%
EPS 3Y-19.6%
EPS 5Y4.14%
EPS Q2Q%26.48%
Revenue 1Y (TTM)6.5%
Revenue growth 3Y8.72%
Revenue growth 5Y6.47%
Sales Q2Q%6.36%
3.2 Future
Based on estimates for the next years, COF will show a small growth in Earnings Per Share. The EPS will grow by 4.97% on average per year.
Based on estimates for the next years, COF will show a small growth in Revenue. The Revenue will grow by 4.60% on average per year.
EPS Next Y13.97%
EPS Next 2Y18.65%
EPS Next 3Y21.34%
EPS Next 5Y4.97%
Revenue Next Year34.6%
Revenue Next 2Y26.38%
Revenue Next 3Y19.12%
Revenue Next 5Y4.6%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.62, which indicates a correct valuation of COF.
62.26% of the companies in the same industry are cheaper than COF, based on the Price/Earnings ratio.
COF is valuated rather cheaply when we compare the Price/Earnings ratio to 27.18, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.02, which indicates a very decent valuation of COF.
COF's Price/Forward Earnings ratio is in line with the industry average.
COF is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.34, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.62 | ||
| Fwd PE | 11.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of COF is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.48 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
COF's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
COF's earnings are expected to grow with 21.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)3.53
EPS Next 2Y18.65%
EPS Next 3Y21.34%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.09%, COF has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.62, COF has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, COF's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
On average, the dividend of COF grows each year by 6.36%, which is quite nice.
COF has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of COF decreased in the last 3 years.
Dividend Growth(5Y)6.36%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
25.36% of the earnings are spent on dividend by COF. This is a low number and sustainable payout ratio.
The dividend of COF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP25.36%
EPS Next 2Y18.65%
EPS Next 3Y21.34%
NYSE:COF (7/16/2025, 3:07:03 PM)
216.36
+1.02 (+0.47%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners56.81%
Inst Owner Change0.02%
Ins Owners0.76%
Ins Owner Change6.9%
Market Cap138.50B
Analysts80.77
Price Target223.83 (3.45%)
Short Float %1.25%
Short Ratio1.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
Yearly Dividend3.05
Dividend Growth(5Y)6.36%
DP25.36%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.7%
Min EPS beat(2)8.56%
Max EPS beat(2)8.83%
EPS beat(4)3
Avg EPS beat(4)7.65%
Min EPS beat(4)-5.56%
Max EPS beat(4)18.76%
EPS beat(8)5
Avg EPS beat(8)6.79%
EPS beat(12)5
Avg EPS beat(12)-2.97%
EPS beat(16)9
Avg EPS beat(16)3.44%
Revenue beat(2)0
Avg Revenue beat(2)-1.34%
Min Revenue beat(2)-1.47%
Max Revenue beat(2)-1.2%
Revenue beat(4)1
Avg Revenue beat(4)-0.95%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)0.54%
Revenue beat(8)2
Avg Revenue beat(8)-0.75%
Revenue beat(12)3
Avg Revenue beat(12)-0.83%
Revenue beat(16)7
Avg Revenue beat(16)-0.05%
PT rev (1m)0.71%
PT rev (3m)2.61%
EPS NQ rev (1m)84.44%
EPS NQ rev (3m)-9.42%
EPS NY rev (1m)0.08%
EPS NY rev (3m)0.06%
Revenue NQ rev (1m)-1.15%
Revenue NQ rev (3m)22.75%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)27.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.62 | ||
| Fwd PE | 11.02 | ||
| P/S | 3.49 | ||
| P/FCF | 7.48 | ||
| P/OCF | 6.99 | ||
| P/B | 2.18 | ||
| P/tB | 2.89 | ||
| EV/EBITDA | N/A |
EPS(TTM)14.8
EY6.84%
EPS(NY)19.64
Fwd EY9.08%
FCF(TTM)28.92
FCFY13.37%
OCF(TTM)30.96
OCFY14.31%
SpS62.03
BVpS99.26
TBVpS74.86
PEG (NY)1.05
PEG (5Y)3.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.93% | ||
| ROE | 7.19% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 11.51% | ||
| GM | N/A | ||
| FCFM | 46.62% |
ROA(3y)1.14%
ROA(5y)1.35%
ROE(3y)9.53%
ROE(5y)10.43%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-33.88%
PM growth 5Y-8.95%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 2.26 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 40.24% | ||
| Cap/Sales | 3.29% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 405.06% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC13.12%
ROIC/WACCN/A
Cap/Depr(3y)32.03%
Cap/Depr(5y)27.28%
Cap/Sales(3y)2.81%
Cap/Sales(5y)2.64%
Profit Quality(3y)330.76%
Profit Quality(5y)352.51%
High Growth Momentum
Growth
EPS 1Y (TTM)10.28%
EPS 3Y-19.6%
EPS 5Y4.14%
EPS Q2Q%26.48%
EPS Next Y13.97%
EPS Next 2Y18.65%
EPS Next 3Y21.34%
EPS Next 5Y4.97%
Revenue 1Y (TTM)6.5%
Revenue growth 3Y8.72%
Revenue growth 5Y6.47%
Sales Q2Q%6.36%
Revenue Next Year34.6%
Revenue Next 2Y26.38%
Revenue Next 3Y19.12%
Revenue Next 5Y4.6%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y16.12%
FCF growth 3Y13.45%
FCF growth 5Y1.48%
OCF growth 1Y17.39%
OCF growth 3Y13.84%
OCF growth 5Y1.76%