Madison Investment Advisors LLC Makes New $493,000 Investment in Discover Financial Services (NYSE:DFS)

Madison Investment Advisors LLC purchased a new position in shares of Discover Financial Services (NYSE:DFS) during the 4th quarter, according to its most recent Form 13F filing with the SEC. The fund purchased 2,844 shares of the financial services provider’s stock, valued at approximately $493,000.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in DFS. Point72 Asia Singapore Pte. Ltd. bought a new stake in shares of Discover Financial Services in the 3rd quarter valued at about $30,000. SBI Securities Co. Ltd. bought a new stake in shares of Discover Financial Services in the 4th quarter valued at about $33,000. Grove Bank & Trust raised its holdings in shares of 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 purchasing an additional 89 shares during the period. Bfsg LLC bought a new stake in shares of Discover Financial Services in the 4th quarter valued at about $35,000. Finally, Hantz Financial Services Inc. bought a new stake in shares of Discover Financial Services in the 4th quarter valued at about $37,000. 86.94% of the stock is owned by institutional investors.

Discover Financial Services Stock Performance

Shares of NYSE:DFS opened at $164.90 on Friday. The company’s 50 day moving average price is $186.18 and its two-hundred day moving average price is $168.86. Discover Financial Services has a 12-month low of $119.31 and a 12-month high of $205.76. The firm has a market cap of $41.49 billion, a PE ratio of 10.33, a PEG ratio of 1.51 and a beta of 1.45. The company has a quick ratio of 1.03, a current ratio of 1.09 and a debt-to-equity ratio of 1.09.

Discover Financial Services (NYSE:DFS) last posted its quarterly earnings results on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.13 by $1.98. Discover Financial Services had a net margin of 17.29% and a return on equity of 26.18%. Equities research analysts predict that Discover Financial Services will post 13.88 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 Friday, June 6th. Investors of record on Friday, May 23rd will be given a dividend of $0.70 per share. The ex-dividend date is Friday, May 23rd. This represents a $2.80 annualized dividend and a dividend yield of 1.70%. Discover Financial Services’s dividend payout ratio is 17.54%.

Analyst Ratings Changes

DFS has been the topic of a number of research reports. Truist Financial decreased their price target on shares of Discover Financial Services from $262.00 to $219.00 and set a “buy” rating on the stock in a research note on Friday. Wells Fargo & Company upped their price target on shares of Discover Financial Services from $185.00 to $214.00 and gave the company an “equal weight” rating in a research note on Friday, January 24th. Barclays upped their price target on shares of Discover Financial Services from $186.00 to $209.00 and gave the company an “overweight” rating in a research note on Friday, January 24th. UBS Group upgraded shares of Discover Financial Services from a “neutral” rating to a “buy” rating and upped their price target for the company from $150.00 to $239.00 in a research note on Monday, January 13th. Finally, StockNews.com lowered shares of Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Friday, January 24th. Seven investment analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $192.40.

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.