- Capital One Financial and Discover Financial Services are merging to become the eighth-largest U.S. bank.
- Analysts forecast a 28.83% upside for Capital One stock.
- Current market analysis suggests a potential downside of 5.13% according to GuruFocus's GF Value.
Regulatory Green Light for Major Merger
Capital One Financial (COF, Financial) and Discover Financial Services (DFS) have successfully acquired final regulatory approvals for their impending $35 billion merger, poised to establish the eighth-largest bank in the United States. This significant merger has been sanctioned by both the Federal Reserve and the Office of the Comptroller of the Currency (OCC), with the transaction slated to finalize by May 18, 2024.
Wall Street Analysts' Optimistic Forecasts
In a survey of 18 financial analysts, Capital One Financial Corp (COF, Financial) receives a one-year price target averaging $209.69. Notably, estimates range from a high of $251.00 to a low of $160.00, indicating a potential upside of 28.83% from the current market price of $162.77. For further analysis and details, visit the Capital One Financial Corp (COF) Forecast page.
Brokerage Recommendations and Ratings
According to consensus from 22 brokerage firms, Capital One Financial Corp (COF, Financial) has been awarded an average recommendation of 2.0, reflecting an "Outperform" status. This rating is part of a scale where 1 denotes a Strong Buy and 5 indicates Sell, underscoring analyst confidence in the stock's performance.
Evaluating GF Value Metrics
GuruFocus estimates the GF Value for Capital One Financial Corp (COF, Financial) over the next year to be $154.42, suggesting a potential downside of 5.13% from its current price of $162.77. The GF Value is a proprietary metric by GuruFocus, calculated based on historical trading multiples, past business growth, and future business performance projections. For a comprehensive analysis, check the Capital One Financial Corp (COF) Summary page.
