Capital One downgraded to In Line from Outperform at Evercore ISI

Evercore ISI analyst John Pancari downgraded Capital One (COF) to In Line from Outperform with a price target of $142, down from $160. The analyst says Discover (DFS) deal uncertainty could limit upside in the shares. The firm expects uncertainty regulatory approval of the deal, lengthy tangible book value earn-back and sizable dilution, and a lack of catalysts to limit upside to the shares. That said, Evercore remains positive on the long-term implications of the deal.