Based on the aggregated intelligence of 120,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, credit card company Capital One Financial (NYSE:COF) has received the dreaded one-star ranking. Our data has shown that one-star stocks woefully lagged the market average in the first 20 months of CAPS; conversely, five-star stocks outperformed the S&P by a significant margin.

With that in mind, let's take a closer look at Capital One's business, and see what CAPS investors are saying about the stock right now.

Capital One facts

Headquarters (founded)

McLean, Va. (1993)

Market Cap

$10.38 billion


Consumer Finance

TTM Revenue

$10.25 billion


Founder/CEO Richard Fairbank
CFO Gary Perlin

Return on Assets (average last five years and TTM)

2.6% and 1.2%


Discover Financial (NYSE:DFS)
American Express (NYSE:AXP)

CAPS members bearish on COF also bearish on

Bank of America (NYSE:BAC)
General Electric (NYSE:GE)

CAPS members bullish on COF also bullish on

Citigroup (NYSE:C)
General Motors (NYSE:GM)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 455 of the 1,096 members who have rated Capital One -- some 42% -- believe the stock will underperform the S&P 500 going forward. These Fools include dutchburger and OtherOracleofOMA.

Late last month, dutchburger broke down the bear case for our community: "The prospect for this financing company is exceedingly bleak. Consumer spending will drop significantly over the next few quarters and clients will default on their debt, resulting in poor results for [Capital One]."

In a pitch just four days earlier, OtherOracleofOMA shares that bearish stance, writing:

The subprime crisis is just the beginning of the larger credit bubble. Capital One will be the first of the major credit card issuers to pull a Lehman. Consumers have been living off their credit cards, and as the well of credit dries up, they'll just stop trying to pay even their minimums and walk away - just like subprime.

What do you think about Capital One, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 120,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. American Express and Discover are Motley Fool Inside Value recommendations, and the Fool owns shares of AmEx. Bank of America is an Income Investor pick. The Fool's disclosure policy always gets a perfect score.