Capital One Financial Earnings: Tops Expectations on Profit Rise

Capital One Financial COF announced net income that exceeded analysts' expectations for the second quarter. The Numbers: Capital One has now seen net income rise in three straight quarters. Net income rose 59.7% in the first quarter. In the fourth quarter of the last fiscal year, the figure rose more than twofold. Income: For the year, Capital One reported net income of $7.78 per share. The company trumped analyst projections of $4.88 by 59.4%. According to the reported number, the company's income rose 49.8% from last year's levels. Official Comment: "Our second quarter performance demonstrates that Capital One remains well positioned to continue to deliver attractive and sustainable results, including loan growth, deposit growth, strong returns and robust capital generation," said Richard D. Fairbank, Capital One's Chairman and Chief Executive Officer. "Recently we announced our definitive agreement to acquire ING Direct. This is a game-changing transaction that generates attractive financial results immediately, as well as compelling value creation over time." Industry: With price/earnings growth of 0.8%, Capital One's industry, financial services, is expanding. The company's EPS trumps the industry average by 17%. What to Do Next: That's it -- now you have all the facts to help you decide whether to buy, sell or hang onto your Capital One shares. And don't forget to check in with us before next earnings season for a full preview of the company's next release.

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