Capital One Financial Corp. COF Stock Analysis

Capital One Financial Corp. stock trades under the ticker COF & has shown recent bullishness that traders & investors should research further into for when market volatility has calmed down.

COF stock closed at $90.95/share on 5/16/2023.

Capital One Financial Corp. COF Stock’s Technical Performance Broken Down

Capital One Financial Corp. COF Stock's Technical Performance Over The Past Year
Capital One Financial Corp. COF Stock’s Technical Performance Over The Past Year

COF Stock Price: $90.95

10 Day Moving Average: $87.64

50 Day Moving Average: $93.27

200 Day Moving Average: $99.87

RSI: 48.86

MACD: -2.042, -2.141, 0.099

Yesterday, COF stock completed a bullish MACD crossover, gapping up +2.05% on the day’s sessions.

Their RSI is slightly in the oversold end of neutral at 48.86, with their recent volumes being above average.

Yesterday’s session had a major volume spike, but closed -3.24% below the day’s open, signaling uncertainty in the near-term for COF stock’s price movements.

Investors are best off waiting to see how they behave at support levels in the next couple of weeks before entering a position, while traders can profit in that time using options strategies around the volatility.

COF has support at the $90.45, $90.31, $89.11 & $88.68/share price levels, with resistance at the $91.30, $91.41, $92.90 & $93.27/share (50 day moving average) price levels.

Capital One Financial Corp. COF Stock As A Long-Term Investment

Long-term oriented investors will like COF stock’s 5.43 P/E (ttm), as well as their 0.71 P/B (mrq).

They recently reported 18.5% Quarterly Revenue Growth Y-o-Y, with -60% Quarterly Earnings Growth Y-o-Y, which will need to be looked deeper into before making an investment.

Their balance sheet will require a more thorough review, with $48.14B of Total Cash (mrq) & $53.04B of Total Debt (mrq).

COF stock pays a 2.69% dividend, which appears to be sustainable in the long-run, as their payout ratio is 16.44%.

90.54% of COF stock’s outstanding share float is owned by institutional investors.

Capital One Financial Corp. COF Stock As A Short-Term Trade Using Options

Traders with shorter time horizons can trade options to profit from COF stock’s price movements, while protecting their portfolios from volatility.

I am looking at the contracts with the 6/16 expiration date.

The $85, $90 & $80 call options are all in-the-money, with the former being more liquid than the latter strikes.

The $100, $95 & $105 puts are also all in-the-money, listed from highest to lowest level of open interest.

Tying It All Together

Capital One Financial Corp. stock has many interesting attributes that traders & investors will find appealing.

Investors will like their valuation metrics, balance sheet & dividend yield, but may want to review the causes of their recent growth trouble before investing.

Traders will like their recent technical performance, as well as their liquid options.

All-in-all, it is worth taking a closer look into how COF stock fits into your portfolio strategy.

*** I DO NOT OWN SHARES OR OPTIONS CONTRACT POSITIONS IN COF STOCK AT THE TIME OF PUBLISHING THIS ARTICLE ***