allincorporate.com

I just heard that Capital One has reported a drop due to the recent economy drop. Capital One Financial Corp., who by the way is the largest independent U.S. credit-card issuer, reduced its full- year profit forecast by roughly 20 percent. They say that this estimate has been changed based on increasing loan losses.As the economy gets weaker the numbers just keep going down. That means that they fell 7.7 percent to $40 in early trading. Capital One is expecting approx $3.97 a share for 2007 which is considerably less than the original prediction of about $5. This drastic change in figures was caused by $1.9 billion of loan-loss provisions and $80 million in legal reserves in the fourth quarter. If you have got any shares in Capital One you may want to watch your stock.