Discover Financial Services (NYSE:DFS) Stock Price Up 3.9% – Still a Buy?

Discover Financial Services (NYSE:DFS) traded up 3.9% on Tuesday . The stock traded as high as $159.04 and last traded at $159.00. 2,779,607 shares traded hands during mid-day trading, an increase of 99% from the average session volume of 1,398,552 shares. The stock had previously closed at $152.99.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on DFS shares. UBS Group upgraded shares of Discover Financial Services from a “neutral” rating to a “buy” rating and upped their price objective for the company from $150.00 to $239.00 in a report on Monday, January 13th. Wells Fargo & Company raised their price target on shares of Discover Financial Services from $185.00 to $214.00 and gave the stock an “equal weight” rating in a report on Friday, January 24th. Barclays boosted their price objective on shares of Discover Financial Services from $186.00 to $209.00 and gave the company an “overweight” rating in a report on Friday, January 24th. Truist Financial lifted their price target on Discover Financial Services from $233.00 to $262.00 and gave the stock a “buy” rating in a research report on Monday, January 27th. Finally, Royal Bank of Canada increased their price objective on Discover Financial Services from $193.00 to $210.00 and gave the company a “sector perform” rating in a report on Friday, January 24th. Eight equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $191.91.

Discover Financial Services Trading Up 1.4 %

The company has a current ratio of 1.09, a quick ratio of 1.03 and a debt-to-equity ratio of 1.09. The company has a fifty day moving average price of $186.51 and a two-hundred day moving average price of $168.49. The firm has a market capitalization of $41.37 billion, a price-to-earnings ratio of 10.30, a PEG ratio of 1.51 and a beta of 1.45.

Discover Financial Services (NYSE:DFS) last released its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share for the quarter, topping analysts’ consensus estimates of $3.13 by $1.98. Discover Financial Services had a return on equity of 26.18% and a net margin of 17.29%. As a group, research analysts forecast that Discover Financial Services will post 13.88 earnings per share for the current fiscal year.

Discover Financial Services Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Investors of record on Friday, May 23rd will be issued a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.70%. The ex-dividend date is Friday, May 23rd. Discover Financial Services’s dividend payout ratio is currently 17.54%.

Hedge Funds Weigh In On Discover Financial Services

A number of institutional investors have recently bought and sold shares of the company. SBI Securities Co. Ltd. acquired a new stake in shares of Discover Financial Services during the 4th quarter worth approximately $33,000. Mattson Financial Services LLC purchased a new position in Discover Financial Services in the fourth quarter worth approximately $34,000. Flagship Wealth Advisors LLC acquired a new stake in Discover Financial Services during the fourth quarter worth $34,000. Bfsg LLC acquired a new position in shares of Discover Financial Services in the 4th quarter valued at $35,000. Finally, Grove Bank & Trust raised its holdings in Discover Financial Services by 78.1% in the 4th quarter. Grove Bank & Trust now owns 203 shares of the financial services provider’s stock valued at $35,000 after buying an additional 89 shares during the period. 86.94% of the stock is owned by hedge funds and other institutional investors.

Discover Financial Services Company Profile

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; 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.