New York, January 22, 2026, 21:05 EST — Market closed.
- After a volatile session sparked by its Brex deal and quarterly earnings, Capital One shares ended up 1.8%.
- The lender struck a deal to acquire corporate card fintech Brex for $5.15 billion, looking to expand its foothold in business payments.
- Washington’s fresh debate over a one-year 10% cap on credit-card interest rates is giving investors something to ponder.
Shares of Capital One Financial ended Thursday up 1.8%, closing at $235.07. The stock saw volatile moves throughout the day, driven largely by the announcement of its Brex acquisition and the release of its fourth-quarter earnings.
Capital One struck a $5.15 billion cash-and-stock deal to acquire fintech Brex, aiming to expand its presence in corporate cards and expense management. The move also signals a shift away from consumer credit at a challenging time for card lenders. The bank’s net interest income surged 54% to $12.47 billion, reflecting stronger margins between loan earnings and deposit costs. 1
The timing is crucial since the White House has provided scant details on how the proposed one-year cap of 10% on credit-card interest rates would be enforced, or if lenders would have to follow it. According to a Reuters report, Bank of America and Citigroup have floated the idea of launching new cards capped at 10%, signaling how fast the industry is strategizing around the proposal. 2
Capital One framed the Brex acquisition as a shortcut into business payments. “Acquiring Brex accelerates this journey,” said Capital One founder and CEO Richard D. Fairbank. Brex CEO Pedro Franceschi described the deal as a way to “supercharge our next chapter.” The company expects to close the transaction by mid-2026, with Franceschi staying on to lead Brex once it’s done. 3
Capital One posted fourth-quarter earnings of $2.13 billion, or $3.26 per share. Adjusted earnings hit $3.86 per share, falling short of Wall Street’s estimates. On the revenue side, adjusted figures reached $15.58 billion, beating forecasts, according to an AP earnings snapshot using Zacks data. 4
Analysts had already grown more positive ahead of the earnings release. Morgan Stanley bumped its price target on Capital One to $300 from $280, maintaining an “Overweight” rating—suggesting the stock is set to beat the sector—according to a note reported by TheFly. 5
Thursday’s tape captured the tug-of-war: earnings momentum and a shift toward business spending drew investor interest, yet the deal increased execution risk and kept the spotlight on funding and credit costs.
The bigger “but” comes down to politics. If a 10% cap shifted from talk to actual law, lenders might pull back on credit, cut rewards, or push fee-heavy products — any of which could squeeze growth and profits.
Brex operates on a different beat compared to a traditional card issuer. Merging a fast-paced fintech platform with a regulated bank isn’t straightforward, especially when corporate spending cools off and customer loyalty wavers.
Traders are set to focus on any new clues about the fate of the rate-cap push and whether it makes it into law. They’ll also keep an eye on fallout from Friday’s U.S. data. At 8:30 a.m. ET, the Bureau of Economic Analysis will drop state GDP and personal income numbers. 6
After Friday, all eyes shift to the Federal Reserve’s January policy meeting on Jan. 27-28. That date holds weight for lenders since their loan yields, funding costs, and credit appetite hinge on where rates are headed. 7
