Capital One Financial Corporation's Stock Analysis

Capital One Reports Monthly Charge-Off and Delinquency Metrics

As of June 30, 2025, Capital One Financial reported its monthly charge-off and delinquency metrics, showing a significant impact from its recent acquisition of Discover Financial Services. The acquisition led to a decrease of approximately $39 million in net charge-offs for June, resulting in a reduction of the Discover Domestic net charge-off rate by about 47 basis points, and the Total Domestic Card net charge-off rate by approximately 19 basis points. Without this acquisition impact, the net charge-off rates would have been 4.94% for Discover Domestic and 5.15% for Total Domestic Card.

Additionally, the 30+ day performing delinquency rates were adjusted following the acquisition, resulting in a decrease of 23 basis points for Discover Domestic and 9 basis points for Total Domestic Card. The report clarifies that the charge-offs exclude $18.0 billion of acquired Discover loans that are fully charged-off. These metrics are essential for investors to assess the company's credit quality and risk exposure.

Jul 22, 2025 16:07:08

Capital One Reports Second Quarter 2025 Financial Results

Capital One Financial Corporation reported a net loss of $4.3 billion, or $(8.58) per share, for the second quarter of 2025, a significant decline compared to a net income of $1.4 billion, or $3.45 per share in the previous quarter. Adjusted net income for the quarter was $5.48 per share. Total net revenue increased by 25% to $12.5 billion, while non-interest expenses rose by 18% to $7.0 billion. The provision for credit losses increased to $11.4 billion, reflecting a substantial loan reserve build and net charge-offs of $3.1 billion. The company's net interest margin improved to 7.62%, and its efficiency ratio was reported at 55.96%.

As of June 30, 2025, Capital One's common equity Tier 1 capital ratio was 14.0%, and total deposits increased by 27% to $468.1 billion. The company completed its acquisition of Discover on May 18, 2025, which has contributed to the increase in loans held for investment, particularly in credit cards. Period-end loans held for investment rose by 36% to $439.3 billion, with significant growth in credit card loans. The average loans held for investment also increased by 17% to $378.2 billion.

Jul 22, 2025 16:05:50

Capital One to Redeem Series P Preferred Stock Shares

Capital One Financial Corporation has announced the full redemption of all outstanding shares of its 6.125% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series P, which will occur on June 30, 2025. The redemption will take place at a price of $1,000 per depositary share, plus any unpaid dividends that have accrued from March 23, 2025, until the redemption date. A total of 500,000 Series P Depositary Shares will be redeemed, and the process will be managed through The Depository Trust Company by Computershare Trust Company, N.A., the designated redemption agent.

Following the redemption date, dividends on the Series P Preferred Stock will cease to accrue. Capital One Financial Corporation, headquartered in McLean, Virginia, is a financial holding company with significant assets and deposits, and it trades on the New York Stock Exchange under the symbol “COF.”

Jun 25, 2025 08:56:39

Capital One Reports April Charge-Off and Delinquency Metrics

As of April 30, 2025, Capital One Financial Corporation reported net charge-offs for domestic credit card loans at $702 million, resulting in a net charge-off rate of 5.66%. Additionally, the company noted that 30+ day performing delinquencies for this segment reached $5,946 million, translating to a delinquency rate of 3.95%.

In the consumer banking segment, specifically auto loans, net charge-offs were reported at $66 million with a charge-off rate of 1.01%. The 30+ day performing delinquency amount stood at $3,816 million, resulting in a delinquency rate of 4.86%. The nonperforming loan rate for auto loans was noted at 0.72%, with nonperforming loans amounting to $564 million.

May 14, 2025 17:34:49