Capital One: How I Beat the Best With a 37% Stock Rocket
Shares of Bank of America and Citigroup are still cheaper to book value, but more expensive to forward earnings.
Bank of America trades for 0.9 times tangible book value, according to Thomson Reuters Bank Insight, and for 12 times the consensus 2013 earnings estimate of 96 cents, among analysts polled by Thomson Reuters. The consensus 2014 EPS estimate is $1.25.
Citigroup trades for 0.7 times tangible book value and for 8.5 times the 2013 consensus EPS estimate of $4.65. The consensus 2014 EPS estimate is $5.13.
Capital One trades for 1.5 times tangible book value, but for only 8.2 times the consensus 2013 EPs estimate of $7.03. The consensus 2014 EPS estimate is $7.39
So there you have it. On a forward P/E basis, Capital One's shares are still cheaper than the shares of Bank of America and Citigroup, and Capital One has unbeatable earnings power.
Interested in more on Capital One? See TheStreet Ratings' report card for this stock .
-- Written by Philip van Doorn in Jupiter, Fla.
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