Discover Financial Services (NYSE:DFS) Given Consensus Recommendation of “Hold” by Brokerages

Shares of Discover Financial Services (NYSE:DFS) have been given a consensus recommendation of “Hold” by the twenty analysts that are covering the company, Marketbeat.com reports. Twelve equities research analysts have rated the stock with a hold recommendation and eight have assigned a buy recommendation to the company. The average 1 year price target among brokers that have covered the stock in the last year is $136.12.

DFS has been the subject of several recent analyst reports. Evercore ISI raised their price objective on shares of Discover Financial Services from $140.00 to $156.00 and gave the stock an “in-line” rating in a research report on Monday, October 7th. StockNews.com initiated coverage on shares of Discover Financial Services in a research note on Saturday, October 19th. They set a “hold” rating for the company. Jefferies Financial Group increased their target price on shares of Discover Financial Services from $145.00 to $150.00 and gave the stock a “buy” rating in a research note on Tuesday, July 9th. Royal Bank of Canada increased their target price on shares of Discover Financial Services from $148.00 to $161.00 and gave the stock a “sector perform” rating in a research note on Friday, October 18th. Finally, BMO Capital Markets increased their target price on shares of Discover Financial Services from $115.00 to $119.00 and gave the stock a “market perform” rating in a research note on Friday, July 19th.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in DFS. Opal Wealth Advisors LLC acquired a new stake in Discover Financial Services during the second quarter worth approximately $26,000. DiNuzzo Private Wealth Inc. raised its holdings in Discover Financial Services by 506.5% during the third quarter. DiNuzzo Private Wealth Inc. now owns 188 shares of the financial services provider’s stock worth $26,000 after purchasing an additional 157 shares in the last quarter. Y.D. More Investments Ltd raised its holdings in Discover Financial Services by 147.8% during the second quarter. Y.D. More Investments Ltd now owns 223 shares of the financial services provider’s stock worth $29,000 after purchasing an additional 133 shares in the last quarter. Whittier Trust Co. of Nevada Inc. raised its holdings in Discover Financial Services by 72.5% during the second quarter. Whittier Trust Co. of Nevada Inc. now owns 226 shares of the financial services provider’s stock worth $30,000 after purchasing an additional 95 shares in the last quarter. Finally, Larson Financial Group LLC raised its holdings in Discover Financial Services by 348.2% during the second quarter. Larson Financial Group LLC now owns 251 shares of the financial services provider’s stock worth $33,000 after purchasing an additional 195 shares in the last quarter. Hedge funds and other institutional investors own 86.94% of the company’s stock.

Discover Financial Services Price Performance

Discover Financial Services stock opened at $148.93 on Friday. Discover Financial Services has a 12-month low of $79.04 and a 12-month high of $157.06. The stock has a market cap of $37.35 billion, a P/E ratio of 16.98, a PEG ratio of 0.94 and a beta of 1.41. The company has a 50-day moving average price of $138.51 and a 200 day moving average price of $131.54. The company has a current ratio of 1.12, a quick ratio of 1.04 and a debt-to-equity ratio of 1.28.

Discover Financial Services (NYSE:DFS) last released its quarterly earnings data on Wednesday, October 16th. The financial services provider reported $3.69 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.28 by $0.41. Discover Financial Services had a net margin of 12.88% and a return on equity of 20.92%. The firm had revenue of $5.91 billion during the quarter, compared to analysts’ expectations of $4.36 billion. During the same period last year, the business earned $2.59 earnings per share. Sell-side analysts anticipate that Discover Financial Services will post 13.15 earnings per share for the current year.

Discover Financial Services Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 5th. Investors of record on Thursday, November 21st will be paid a $0.70 dividend. The ex-dividend date is Thursday, November 21st. This represents a $2.80 dividend on an annualized basis and a yield of 1.88%. Discover Financial Services’s dividend payout ratio is currently 31.93%.

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.