Discover Financial Services (NYSE:DFS) has been given an average rating of “Buy” by the twenty-five brokerages that are currently covering the firm, Marketbeat reports. One investment analyst has rated the stock with a sell recommendation, nine have given a hold recommendation, fourteen have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month target price among brokerages that have covered the stock in the last year is $85.70.
DFS has been the subject of several recent research reports. JMP Securities reduced their price objective on Discover Financial Services from $91.00 to $84.00 and set a “market outperform” rating for the company in a research note on Friday, April 27th. Citigroup initiated coverage on Discover Financial Services in a research note on Thursday, April 5th. They issued a “neutral” rating and a $78.00 price objective for the company. Oppenheimer set a $82.00 price objective on Discover Financial Services and gave the company a “buy” rating in a research note on Thursday, April 12th. Morgan Stanley reduced their price objective on Discover Financial Services from $93.00 to $90.00 and set an “overweight” rating for the company in a research note on Monday, April 30th. Finally, BMO Capital Markets reduced their price objective on Discover Financial Services from $93.00 to $91.00 and set a “market perform” rating for the company in a research note on Monday, April 30th.
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Shares of Discover Financial Services traded up $0.55, reaching $72.06, during midday trading on Friday, Marketbeat reports. 3,013,864 shares of the company’s stock traded hands, compared to its average volume of 2,074,172. Discover Financial Services has a 1 year low of $57.50 and a 1 year high of $81.93. The firm has a market capitalization of $24.64 billion, a price-to-earnings ratio of 12.05, a price-to-earnings-growth ratio of 0.84 and a beta of 1.48. The company has a debt-to-equity ratio of 2.55, a current ratio of 1.50 and a quick ratio of 1.50.
Discover Financial Services (NYSE:DFS) last announced its earnings results on Thursday, April 26th. The financial services provider reported $1.82 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.77 by $0.05. Discover Financial Services had a return on equity of 22.79% and a net margin of 18.43%. The firm had revenue of $2.58 billion for the quarter, compared to analyst estimates of $2.58 billion. During the same quarter last year, the firm posted $1.43 EPS. The business’s revenue was up 10.1% on a year-over-year basis. sell-side analysts expect that Discover Financial Services will post 7.81 earnings per share for the current year.
The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 6th. Investors of record on Thursday, August 23rd will be paid a $0.40 dividend. This is an increase from Discover Financial Services’s previous quarterly dividend of $0.35. This represents a $1.60 annualized dividend and a yield of 2.22%. Discover Financial Services’s dividend payout ratio is currently 23.41%.
In other Discover Financial Services news, Director Michael H. Moskow sold 2,324 shares of the firm’s stock in a transaction on Wednesday, May 9th. The stock was sold at an average price of $74.02, for a total value of $172,022.48. Following the completion of the sale, the director now directly owns 50,027 shares of the company’s stock, valued at approximately $3,702,998.54. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Carlos Minetti sold 3,750 shares of the firm’s stock in a transaction on Tuesday, May 1st. The stock was sold at an average price of $71.09, for a total value of $266,587.50. The disclosure for this sale can be found here. Insiders sold a total of 74,498 shares of company stock valued at $5,279,854 over the last ninety days. Corporate insiders own 0.81% of the company’s stock.
Several institutional investors and hedge funds have recently modified their holdings of the business. Signaturefd LLC acquired a new stake in shares of Discover Financial Services during the 1st quarter worth about $143,000. Private Capital Group LLC increased its position in shares of Discover Financial Services by 8,258.3% during the 1st quarter. Private Capital Group LLC now owns 2,006 shares of the financial services provider’s stock worth $144,000 after purchasing an additional 1,982 shares during the last quarter. Edge Wealth Management LLC acquired a new stake in shares of Discover Financial Services during the 2nd quarter worth about $155,000. Manning & Napier Group LLC acquired a new stake in shares of Discover Financial Services during the 2nd quarter worth about $209,000. Finally, Summit Trail Advisors LLC increased its position in shares of Discover Financial Services by 4,597.4% during the 1st quarter. Summit Trail Advisors LLC now owns 264,466 shares of the financial services provider’s stock worth $264,000 after purchasing an additional 258,836 shares during the last quarter. 87.54% of the stock is owned by institutional investors and hedge funds.
About Discover Financial Services
Discover Financial Services, through its subsidiaries, operates as a direct banking and payment services company in the United States. The Direct Banking segment offers Discover-branded credit cards to individuals; and other consumer products and services, including private student loans, personal loans, home equity loans, and other consumer lending, as well as deposit products, such as certificates of deposit, money market accounts, savings accounts, checking accounts, and individual retirement arrangement certificates of deposit.
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