Discover Financial Services (NYSE:DFS) Announces Earnings Results

Discover Financial Services (NYSE:DFS) posted its quarterly earnings results on Thursday. The financial services provider reported $3.77 earnings per share for the quarter, beating analysts’ consensus estimates of $3.66 by $0.11, RTT News reports. Discover Financial Services had a return on equity of 34.94% and a net margin of 31.90%. The company had revenue of $3.73 billion for the quarter, compared to analysts’ expectations of $3.68 billion. During the same period last year, the firm earned $3.64 earnings per share. Discover Financial Services’s quarterly revenue was up 27.1% on a year-over-year basis.

Discover Financial Services Price Performance

Shares of DFS opened at $106.14 on Friday. Discover Financial Services has a twelve month low of $87.64 and a twelve month high of $129.12. The stock’s 50 day moving average is $103.13 and its two-hundred day moving average is $101.22. The firm has a market capitalization of $29.00 billion, a PE ratio of 6.91, a P/E/G ratio of 1.89 and a beta of 1.41. The company has a current ratio of 1.25, a quick ratio of 1.26 and a debt-to-equity ratio of 1.53.

Discover Financial Services Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 9th. Shareholders of record on Thursday, February 23rd will be issued a $0.60 dividend. This represents a $2.40 dividend on an annualized basis and a yield of 2.26%. The ex-dividend date is Wednesday, February 22nd. Discover Financial Services’s dividend payout ratio is presently 15.63%.

Insider Buying and Selling at Discover Financial Services

In other Discover Financial Services news, Director Michael H. Moskow sold 1,291 shares of Discover Financial Services stock in a transaction that occurred on Wednesday, December 7th. The stock was sold at an average price of $105.10, for a total value of $135,684.10. Following the sale, the director now owns 51,596 shares of the company’s stock, valued at approximately $5,422,739.60. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 0.59% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Discover Financial Services

Hedge funds and other institutional investors have recently modified their holdings of the stock. XTX Topco Ltd acquired a new stake in shares of Discover Financial Services during the 1st quarter valued at approximately $293,000. Industrial Alliance Investment Management Inc. raised its position in shares of Discover Financial Services by 13.2% during the 1st quarter. Industrial Alliance Investment Management Inc. now owns 2,607 shares of the financial services provider’s stock worth $287,000 after purchasing an additional 305 shares during the last quarter. Centiva Capital LP acquired a new position in shares of Discover Financial Services during the 2nd quarter worth approximately $280,000. Renaissance Technologies LLC acquired a new position in shares of Discover Financial Services during the 3rd quarter worth approximately $273,000. Finally, Echo Street Capital Management LLC acquired a new position in shares of Discover Financial Services during the 1st quarter worth approximately $271,000. 81.74% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of analysts have recently commented on DFS shares. Credit Suisse Group cut their target price on Discover Financial Services from $123.00 to $120.00 and set an “outperform” rating on the stock in a research report on Friday. UBS Group started coverage on Discover Financial Services in a research report on Monday, November 21st. They set a “neutral” rating and a $120.00 target price on the stock. Morgan Stanley cut their target price on Discover Financial Services from $116.00 to $115.00 and set an “overweight” rating on the stock in a research report on Thursday, December 1st. StockNews.com started coverage on Discover Financial Services in a report on Wednesday, October 12th. They set a “hold” rating on the stock. Finally, JPMorgan Chase & Co. lowered their price target on Discover Financial Services from $113.00 to $109.00 and set a “neutral” rating on the stock in a report on Tuesday, October 18th. One investment analyst has rated the stock with a sell rating, nine have given a hold rating and four have assigned a buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $118.33.

Discover Financial Services Company Profile

(Get Rating)

Discover Financial Services, through its subsidiaries, provides digital banking products and services, and payment services in the United States. It operates in two segments, Digital Banking and Payment Services. The Digital Banking segment offers Discover-branded credit cards to individuals; private student loans, personal loans, home loans, and other consumer lending; and direct-to-consumer deposit products comprising savings accounts, certificates of deposit, money market accounts, IRA certificates of deposit, IRA savings accounts and checking accounts, and sweep accounts.

Featured Stories

Earnings History for Discover Financial Services (NYSE:DFS)

Receive News & Ratings for Discover Financial Services Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Discover Financial Services and related companies with MarketBeat.com's FREE daily email newsletter.