Oppenheimer Raises Price Target on Capital One Financial (COF) Following 3Q Report

October 26, 2016 10:28 AM EDT
Get Alerts COF Hot Sheet
Price: $86.00 -0.7%

Rating Summary:
    16 Buy, 15 Hold, 4 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 11 | Down: 31 | New: 42
Trade COF Now!
Join SI Premium – FREE

Get inside Wall Street with StreetInsider Premium. Claim your 2-week free trial here.

Oppenheimer reiterated an Underperform rating on Capital One Financial (NYSE: COF), and raised the price target to $60.00 (from $59.00), following the company's 3Q earnings report. Reported earnings were $1.92 vs. the consensus of $1.94 on a continuing ops basis. Core revenues were higher and market expense pulled back, driving core PPE to $3.2B vs. consensus' $3.0B estimate.

Analyst Ben Chittenden commented, "We've been warning investors for some time that we expected COF to raise its 2017 domestic card NCO guidance to the mid-4% range from low-4% based on the trends we could see in the delinquency formation data. 3Q16 ended up being the quarter when it happened. Thus, we expect '17 consensus estimate ($7.95) to accelerate its fall lower toward our estimate ($7.18). We continue to rate the stock Underperform as the process will play out over time, as many investors still believe 2018 will be a "coiled spring" earnings acceleration year. We continue to see ample evidence that subprime borrowers are seeing pressure, and losses are likely to rise at a time when COF continues ramping up exposure."

For an analyst ratings summary and ratings history on Capital One Financial click here. For more ratings news on Capital One Financial click here.

Shares of Capital One Financial closed at $75.39 yesterday.



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In






Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change

Related Entities

Earnings

Add Your Comment