For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why Investors Should Pay Attention to This Value Stock

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

Capital One (COF)

Headquartered in McLean, VA, Capital One Financial Corporation is primarily focused on consumer and commercial lending as well as deposit origination. Through its banking and non-banking subsidiaries, the company, founded in 1988, provides various financial products and services to consumers, small businesses and commercial clients in the United States.

COF is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of B. Shares are currently trading at a forward P/E of 12.4X for the current fiscal year compared to the Financial - Consumer Loans industry's P/E of 10X. Additionally, COF has a PEG Ratio of 1.1 and a Price/Cash Flow ratio of 8.3X. Value investors should also note COF's Price/Sales ratio of 1.5X.

Many value investors pay close attention to a company's earnings as well. For COF, four analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.05 to $15.65 per share for 2025. Per share COF boasts an average earnings surprise of 8.1%.

With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding COF to their portfolios.

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Capital One Financial Corporation (COF) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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