Capital One Financial (COF) Competitors

Capital One Financial (NYSE:COF) and Ally Financial (NYSE:ALLY) are both large-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, valuation, profitability, media sentiment, institutional ownership, analyst recommendations, dividends and risk.

Which has better valuation & earnings, COF or ALLY?

Capital One Financial has higher revenue and earnings than Ally Financial. Capital One Financial is trading at a lower price-to-earnings ratio than Ally Financial, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capital One Financial	$53.94B	1.56	$4.75B	$11.91	18.42
Ally Financial	$8.18B	1.45	$668M	$1.54	25.12

Is COF or ALLY more profitable?

Capital One Financial has a net margin of 9.65% compared to Ally Financial's net margin of 7.64%. Capital One Financial's return on equity of 9.63% beat Ally Financial's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Capital One Financial	9.65%	9.63%	1.21%
Ally Financial	7.64%	9.48%	0.59%

Which has more volatility & risk, COF or ALLY?

Capital One Financial has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500. Comparatively, Ally Financial has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500.

Is COF or ALLY a better dividend stock?

Capital One Financial pays an annual dividend of $2.40 per share and has a dividend yield of 1.1%. Ally Financial pays an annual dividend of $1.20 per share and has a dividend yield of 3.1%. Capital One Financial pays out 20.2% of its earnings in the form of a dividend. Ally Financial pays out 77.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Does the media favor COF or ALLY?

In the previous week, Ally Financial had 2 more articles in the media than Capital One Financial. MarketBeat recorded 35 mentions for Ally Financial and 33 mentions for Capital One Financial. Capital One Financial's average media sentiment score of 1.01 beat Ally Financial's score of 0.79 indicating that Capital One Financial is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Capital One Financial	23 Very Positive mention(s)	4 Positive mention(s)	4 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive
Ally Financial	13 Very Positive mention(s)	7 Positive mention(s)	12 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts recommend COF or ALLY?

Capital One Financial presently has a consensus price target of $222.07, indicating a potential upside of 1.20%. Ally Financial has a consensus price target of $42.73, indicating a potential upside of 10.48%. Given Ally Financial's higher probable upside, analysts plainly believe Ally Financial is more favorable than Capital One Financial.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capital One Financial	0 Sell rating(s)	4 Hold rating(s)	12 Buy rating(s)	2 Strong Buy rating(s)	2.89
Ally Financial	1 Sell rating(s)	7 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.47

Do insiders and institutionals have more ownership in COF or ALLY?

89.8% of Capital One Financial shares are owned by institutional investors. Comparatively, 88.8% of Ally Financial shares are owned by institutional investors. 1.3% of Capital One Financial shares are owned by company insiders. Comparatively, 0.6% of Ally Financial shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Capital One Financial beats Ally Financial on 14 of the 18 factors compared between the two stocks.