3. Capital One Financial
Shares of Capital One Financial (COF) closed at $55.10 Monday, returning 30% year-to-date, following a flat return during 2011.
The shares trade for just under eight times the consensus 2013 EPS estimate of seven dollars, and for 1.6 times tangible book value.Jefferies analyst Daniel Furtado on Monday upgraded Capital One Financial to a "Buy" rating, while raising his price target for the shares by 44% to $72.00. The analyst said that with its acquisition of ING Direct complete, with regulatory approval of the pending purchase of HSBC's (HBC) $30 billion U.S. card portfolio for a $2.6 billion premium having been received, and with last week's $1.25 billion common equity raise, "much of the downside risk to COF shares has been removed." Furtado estimates that Capital One will earn $5.71 a share during 2012, followed by 2013 EPS of $7.16, with earnings results "likely to be choppy over the next few quarters as integration and acquisition expenses are recognized, and the accounting adjustments for the recent acquisitions are more well known." Interested in more on Capital One Financial? See TheStreet Ratings' report card for this stock.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV