COFNEUTRAL

EV/EBITDA

16.5x

Higher than 54% of Financial Services sector peers

Updated 1926h ago

Sector Performance

54th percentile

COF

16.5x

Sector Median

13.1x

Sector Avg

15.5x

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Deep Analysis

EV/EBITDA (enterprise value divided by earnings before interest, taxes, depreciation, and amortization) of 16.5x means investors are paying $16.50 for every $1 of the company's operating cash flow.

This is above the Financial Services sector median of 11.6x, placing Capital One in the 59th percentile among peers. The metric has been completely stable over the last eight quarters, with year-over-year and quarter-over-quarter changes both at +0.0%. A stable premium above the sector median indicates the stock is priced higher than typical peers without recent shifts in market expectations. This combination suggests limited valuation-driven risk or opportunity in the near term, as the multiple is neither compressing nor expanding. The stable, above-peer EV/EBITDA aligns with the overall NEUTRAL verdict: it is not attractively cheap but also lacks the warning signs of a sharply rising or falling multiple.

Frequently Asked Questions

What does the EV/EBITDA tell investors about COF?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does COF's EV/EBITDA compare to its sector?

COF's EV/EBITDA of 16.5x compares to a Financial Services sector median of 13.1x, placing it in the 54th percentile.

Who are COF's closest peers by EV/EBITDA?

The closest Financial Services peers by EV/EBITDA include: SCHW (12.6x), BAC (13.5x), PNC (11.6x), AFL (11.0x), PFG (10.8x).

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.