FY2025 EPS Estimates for Discover Financial Services Decreased by Analyst (NYSE:DFS)

Discover Financial Services (NYSE:DFS) – Investment analysts at Seaport Res Ptn decreased their FY2025 EPS estimates for Discover Financial Services in a report issued on Friday, April 19th. Seaport Res Ptn analyst W. Ryan now anticipates that the financial services provider will post earnings of $14.75 per share for the year, down from their previous forecast of $14.95. Seaport Res Ptn has a “Neutral” rating on the stock. The consensus estimate for Discover Financial Services’ current full-year earnings is $11.34 per share.

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 company had revenue of $4.21 billion for the quarter, compared to analysts’ expectations of $4.07 billion. During the same quarter in the prior year, the firm earned $3.58 EPS.

Several other equities research analysts have also recently weighed in on the company. Wolfe Research reaffirmed a “peer perform” rating on shares of Discover Financial Services in a research note on Wednesday, February 21st. Morgan Stanley upgraded shares of Discover Financial Services from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $105.00 to $133.00 in a research note on Thursday, February 8th. Wells Fargo & Company upped their price objective on shares of Discover Financial Services from $105.00 to $135.00 and gave the stock an “equal weight” rating in a report on Wednesday, April 10th. Piper Sandler lifted their target price on shares of Discover Financial Services from $127.00 to $145.00 and gave the company an “overweight” rating in a report on Friday, February 23rd. Finally, Evercore ISI upped their price target on Discover Financial Services from $117.00 to $140.00 and gave the stock an “in-line” rating in a research note on Thursday, February 22nd. Twelve investment analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. According to MarketBeat, Discover Financial Services currently has an average rating of “Hold” and a consensus price target of $126.29.

Discover Financial Services Stock Up 0.9 %

DFS stock opened at $125.35 on Monday. The company has a market capitalization of $31.41 billion, a price-to-earnings ratio of 14.29, a price-to-earnings-growth ratio of 0.88 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 business’s 50 day moving average price is $122.02 and its two-hundred day moving average price is $106.16. Discover Financial Services has a fifty-two week low of $79.04 and a fifty-two week high of $131.65.

Institutional Trading of Discover Financial Services

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Leeward Investments LLC MA boosted its holdings in Discover Financial Services by 87.1% in the 1st quarter. Leeward Investments LLC MA now owns 119,470 shares of the financial services provider’s stock worth $15,661,000 after buying an additional 55,630 shares during the period. New Century Financial Group LLC bought a new position in shares of Discover Financial Services in the first quarter worth about $202,000. First Trust Direct Indexing L.P. boosted its stake in shares of Discover Financial Services by 5.9% in the first quarter. First Trust Direct Indexing L.P. now owns 16,044 shares of the financial services provider’s stock worth $2,103,000 after acquiring an additional 892 shares during the period. Kovack Advisors Inc. purchased a new stake in shares of Discover Financial Services during the first quarter worth about $228,000. Finally, Norden Group LLC bought a new stake in Discover Financial Services during the 1st quarter valued at approximately $917,000. 86.94% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Discover Financial Services

In other news, CFO John Greene sold 35,191 shares of Discover Financial Services stock in a transaction dated Friday, January 26th. The stock was sold at an average price of $106.51, for a total transaction of $3,748,193.41. Following the transaction, the chief financial officer now directly owns 18,592 shares of the company’s stock, valued at approximately $1,980,233.92. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.69% of the stock is currently owned by company insiders.

Discover Financial Services Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 6th. Stockholders of record on Thursday, May 23rd will be paid a $0.70 dividend. The ex-dividend date of this dividend is Wednesday, May 22nd. This represents a $2.80 annualized dividend and a dividend yield of 2.23%. Discover Financial Services’s dividend payout ratio (DPR) is 31.93%.

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.