Earnings Preview: Capital One Financial Earnings Expected to Increase Over Last Quarter

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It's time to gear up for Capital One Financial COF earnings! Keep your head in the game: The company releases its next round of earnings this Monday, July 18, 2011.

Want to know what analysts are expecting to see in Capital One's lastest earnings numbers? We thought so. Here's an advanced look at the company's second quarter earnings report.

Let's Do the Numbers:

Analysts are looking ahead to a positive EPS reading of $1.67 per share and revenues of $4.02 billion. We'll have to wait for Monday to see if Capital One has accomplished the estimated 97% rise in EPS and a 103% increase in revenues on a year-over-year basis.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter Q1 Q4 Q3 Q2
EPS Estimate $1.53 $1.35 $1.12 $0.88 
EPS Actual $2.24 $1.53 $1.79 $1.78

Stock Performance:

As of July 12, 2011, Capital One's current share price was $52.24. Shares are up 23% year to date. For a full 12 months, the return has risen by 20.8%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.
  • Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for Capital One is a Hold. Over the past three months this rating's strength has declined slightly.

Competitors:

Wondering how some of the other Financials companies are doing? Here are a few of Capital One Financial's peers in that sector.
  • American Express Company AXP: Moderate Buy with a $0.97 recent quarter EPS
  • Bank of America BAC: Hold with a $0.17 recent quarter EPS
  • Citigroup C: Moderate Buy with a $1.00 recent quarter EPS
  • Discover Financial Services DFS: Moderate Buy with a $1.09 recent quarter EPS

The financial services company's industry has seen price/earnings growth of 0.8% during the current fiscal year.

Finally, a description of the main business areas of the company, in case you need a little refresher: Capital One is a financial services company which markets a variety of financial products and services through its banking and non-banking subsidiaries.

Take Action:

That's your advanced look at Capital One's upcoming earnings numbers -- be ready to take quick action if the company's report contains any surprises. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.

  • To see up-to-date news on Capital One, click here
  • To see other trading ideas, click here
  • To see other company earnings recaps, click here
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