Discover Financial Services (NYSE:DFS) Now Covered by Analysts at StockNews.com

StockNews.com initiated coverage on shares of Discover Financial Services (NYSE:DFS) in a research note released on Friday morning. The brokerage issued a hold rating on the financial services provider’s stock.

Other equities analysts have also issued research reports about the stock. Jefferies Financial Group increased their target price on shares of Discover Financial Services from $137.00 to $145.00 and gave the company a buy rating in a research report on Friday, April 19th. BMO Capital Markets decreased their target price on shares of Discover Financial Services from $116.00 to $104.00 and set a market perform rating for the company in a research report on Monday, January 22nd. Royal Bank of Canada reiterated a sector perform rating and issued a $140.00 target price (up previously from $117.00) on shares of Discover Financial Services in a research report on Wednesday, February 21st. Morgan Stanley upgraded shares of Discover Financial Services from an equal weight rating to an overweight rating and increased their target price for the company from $105.00 to $133.00 in a research report on Thursday, February 8th. Finally, Evercore ISI increased their target price on shares of Discover Financial Services from $117.00 to $140.00 and gave the company an in-line rating in a research report on Thursday, February 22nd. Twelve investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. According to MarketBeat.com, Discover Financial Services currently has a consensus rating of Hold and an average target price of $126.29.

Discover Financial Services Stock Performance

Shares of DFS opened at $127.70 on Friday. Discover Financial Services has a 1 year low of $79.04 and a 1 year high of $131.65. The company has a market cap of $32.00 billion, a price-to-earnings ratio of 14.56, a price-to-earnings-growth ratio of 0.76 and a beta of 1.45. The company has a debt-to-equity ratio of 1.49, a quick ratio of 1.13 and a current ratio of 1.05. The firm has a fifty day moving average of $123.80 and a 200-day moving average of $107.27.

Discover Financial Services (NYSE:DFS) last announced its quarterly earnings results on Thursday, April 18th. The financial services provider reported $1.10 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.98 by ($1.88). Discover Financial Services had a net margin of 10.56% and a return on equity of 16.74%. The firm had revenue of $4.21 billion for the quarter, compared to analyst estimates of $4.07 billion. During the same period last year, the firm posted $3.58 EPS. As a group, equities analysts anticipate that Discover Financial Services will post 11.39 earnings per share for the current year.

Discover Financial Services Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, June 6th. Shareholders of record on Thursday, May 23rd will be paid a dividend of $0.70 per share. This represents a $2.80 dividend on an annualized basis and a yield of 2.19%. The ex-dividend date is Wednesday, May 22nd. Discover Financial Services’s dividend payout ratio is presently 31.93%.

Institutional Trading of Discover Financial Services

Hedge funds have recently bought and sold shares of the company. Partnership Wealth Management LLC purchased a new stake in Discover Financial Services during the fourth quarter valued at about $25,000. Bruce G. Allen Investments LLC purchased a new stake in Discover Financial Services during the fourth quarter valued at about $28,000. Riverview Trust Co purchased a new stake in Discover Financial Services during the first quarter valued at about $34,000. MeadowBrook Investment Advisors LLC purchased a new stake in Discover Financial Services during the fourth quarter valued at about $31,000. Finally, Turtle Creek Wealth Advisors LLC purchased a new stake in Discover Financial Services during the fourth quarter valued at about $35,000. 86.94% of the stock is owned by hedge funds and other institutional investors.

About Discover Financial Services

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.