Discover Financial Services (NYSE:DFS) Sets New 12-Month High – What’s Next?

Discover Financial Services (NYSE:DFS)’s share price reached a new 52-week high during trading on Friday . The company traded as high as $157.06 and last traded at $153.16, with a volume of 533673 shares. The stock had previously closed at $143.12.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on DFS. BMO Capital Markets raised their price objective on Discover Financial Services from $115.00 to $119.00 and gave the company a “market perform” rating in a report on Friday, July 19th. JPMorgan Chase & Co. raised their price target on Discover Financial Services from $132.00 to $135.00 and gave the company a “neutral” rating in a research note on Friday, July 19th. Jefferies Financial Group upped their price objective on Discover Financial Services from $145.00 to $150.00 and gave the stock a “buy” rating in a research note on Tuesday, July 9th. StockNews.com began coverage on Discover Financial Services in a report on Saturday, October 19th. They issued a “hold” rating for the company. Finally, Keefe, Bruyette & Woods boosted their target price on shares of Discover Financial Services from $145.00 to $160.00 and gave the stock an “outperform” rating in a report on Monday, July 8th. Thirteen analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $136.12.

Discover Financial Services Stock Up 4.0 %

The firm has a market cap of $37.34 billion, a P/E ratio of 16.98, a P/E/G ratio of 0.94 and a beta of 1.41. The firm’s fifty day moving average is $138.81 and its 200 day moving average is $131.70. The company has a debt-to-equity ratio of 1.28, a quick ratio of 1.04 and a current ratio of 1.12.

Discover Financial Services (NYSE:DFS) last issued its quarterly earnings data on Wednesday, October 16th. The financial services provider reported $3.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.28 by $0.41. The company had revenue of $5.91 billion during the quarter, compared to analysts’ expectations of $4.36 billion. Discover Financial Services had a return on equity of 20.92% and a net margin of 12.88%. During the same quarter in the previous year, the company posted $2.59 earnings per share. As a group, equities research analysts anticipate that Discover Financial Services will post 13.15 earnings per share for the current fiscal year.

Discover Financial Services Dividend Announcement

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

Institutional Investors Weigh In On Discover Financial Services

Hedge funds and other institutional investors have recently modified their holdings of the company. DiNuzzo Private Wealth Inc. grew its stake in shares of Discover Financial Services by 506.5% in the third quarter. DiNuzzo Private Wealth Inc. now owns 188 shares of the financial services provider’s stock valued at $26,000 after acquiring an additional 157 shares in the last quarter. Opal Wealth Advisors LLC acquired a new stake in Discover Financial Services in the 2nd quarter worth about $26,000. Y.D. More Investments Ltd grew its position in shares of Discover Financial Services by 147.8% during the 2nd 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. grew its position in shares of Discover Financial Services by 72.5% during the 2nd 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 increased its holdings in shares of 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 during the period. Institutional investors and hedge funds own 86.94% of the company’s stock.

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.