Capital One (COF) is a "value trap," Chuck Jaffe believes - a "good company, bad stock" whose...

|About: Capital One Financial Corpo... (COF)|By:, SA News Editor

Capital One (COF) is a "value trap," Chuck Jaffe believes - a "good company, bad stock" whose shares look like a bargain, but the uncertainties around the financial sector and the economy make it his Stupid Investment of the Week, at least for investors lacking plenty of risk tolerance. "To justify its current price, COF must grow its after-tax cash flow at 35% compounded annually for 10 years."