01:35 PM EDT, 10/22/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target price by $10 to $290, applying a forward P/E of 13.9x our 2026 EPS estimate, above the 10-year historic average of 8.7x to reflect COF's push into wealthier cohorts and dynamic operating model following the acquisition of Discover Financial. We increase our 2025 adjusted EPS view to $19.78 from $17.43 and increase 2026's to $20.88 from $20.06. Consumer credit concerns eased in Q3 as both delinquency rates and net charge-offs showed improvement. Despite ongoing worries about weakening low-end consumers and several auto-related bankruptcies, we were encouraged by management's comments during the earnings call indicating that COF's subprime performance is moving in line with prime performance. Looking ahead, loan growth will likely come in sluggish for several quarters due to Discover's prior credit policy tightening and additional selective trimming that COF plans to implement. Importantly, we expect this measured approach to coincide with continued credit quality improvement.