Voya Investment Management Reduces Stake in Capital One Financial

Voya Investment Management LLC has decreased its stake in Capital One Financial Corporation (NYSE:COF) by 5.2% during the third quarter, as detailed in its recent 13F filing with the Securities and Exchange Commission. Following the sale of 123,477 shares, Voya now holds 2,263,550 shares of the financial services provider, valued at approximately $481.19 million.

This reduction comes amid a broader trend where several institutional investors are adjusting their positions in Capital One Financial. For instance, Eagle Bay Advisors LLC increased its holdings by 3.6% in the second quarter, acquiring an additional 49 shares to own a total of 1,407 shares, valued at $299,000. Similarly, Cantor Fitzgerald Investment Advisors L.P. raised its stake by 0.3% during the same period, now holding 16,603 shares worth $3.53 million.

Another notable adjustment came from Atlantic Edge Private Wealth Management LLC, which lifted its holdings by 66.7%, resulting in ownership of 125 shares valued at $27,000. Meanwhile, Culbertson A N & Co. Inc. and TFB Advisors LLC also made modest increases to their positions, with the latter growing its stake by 3.4% to own 1,539 shares valued at $276,000. Overall, institutional investors now hold approximately 89.84% of Capital One’s stock.

Analyst Ratings and Performance Overview

Several equities research analysts have provided updates on Capital One Financial’s stock. Jefferies Financial Group raised its price target from $265.00 to $275.00, maintaining a “buy” rating. Barclays also increased its target from $257.00 to $271.00 while recommending an “overweight” position. The Goldman Sachs Group set its target at $276.00 with a “buy” rating, and BTIG Research reiterated a “buy” rating with a target of $264.00. Morgan Stanley reaffirmed its “overweight” rating, setting a target price of $280.00.

Currently, three investment analysts have rated Capital One Financial with a Strong Buy, seventeen have given it a Buy rating, and seven have issued a Hold rating. According to MarketBeat.com, the stock’s average rating stands at “Moderate Buy” with a consensus target price of $264.25.

As of the last trading session, Capital One Financial’s stock opened at $242.67. The company has a debt-to-equity ratio of 0.45 and a current ratio of 1.03. The stock has seen a low of $143.22 and a high of $244.82 over the past year, while its market capitalization is currently $154.27 billion with a PE ratio of 102.39.

Recent Earnings and Dividend Increase

Capital One Financial recently reported its quarterly earnings on November 3, 2023, announcing earnings per share of $5.95. The company achieved a net margin of 2.24% and a return on equity of 10.94%, with quarterly revenue reaching $15.46 billion. Analysts anticipate that Capital One Financial will post an EPS of 15.65 for the ongoing fiscal year.

In addition to the earnings report, Capital One Financial has increased its quarterly dividend. The company declared a dividend of $0.80 per share, paid on December 1, 2023 to shareholders of record as of November 17, 2023. This marks an increase from the previous dividend of $0.60, resulting in an annualized dividend of $3.20 and a yield of 1.3%. The company’s current dividend payout ratio stands at 135.02%.

Insider transactions have also been notable, with Frank G. Laprade III, an insider, selling 17,840 shares at an average price of $222.03 on November 13, 2023, totalling approximately $3.96 million. Following this transaction, he retained 48,315 shares valued at around $10.73 million. Another insider, Lia Dean, sold 3,269 shares on December 1, 2023, at an average price of $218.15, amounting to approximately $713,132. Over the last three months, insiders have sold 280,218 shares for a total value of $62.4 million, while insiders currently own 1.26% of the company’s stock.

Capital One Financial Corporation operates as a financial services holding company and is involved in providing various financial products and services across the United States, Canada, and the United Kingdom. The company operates through three main segments: Credit Card, Consumer Banking, and Commercial Banking.