Here's Why Capital One (COF) is a Strong Momentum Stock

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores serve as complementary indicators to the Zacks Rank, aiding in stock selection with high potential for market outperformance [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on value, growth, and momentum characteristics, with higher scores indicating better chances of outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using financial ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Concentrates on a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - Targets stocks with upward or downward price trends, utilizing factors like one-week price change and monthly earnings estimate changes [5] VGM Score - Combines the three Style Scores to identify stocks with attractive value, strong growth forecasts, and promising momentum [6] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks averaging a +23.75% annual return since 1988 [7][8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [10] Stock Highlight: Capital One (COF) - Capital One Financial Corporation, based in McLean, VA, focuses on consumer and commercial lending and deposit origination [12] - COF holds a 3 (Hold) Zacks Rank with a VGM Score of A and a Momentum Style Score of A, having increased 2.7% over the past four weeks [12][13] - Recent upward revisions in earnings estimates by six analysts have raised the Zacks Consensus Estimate by $1.87 to $16.62 per share, with an average earnings surprise of +23% [13]