Discover Financial Services (NYSE:DFS) is Sessa Capital IM L.P.'s 3rd Largest Position

Sessa Capital IM L.P. lowered its position in Discover Financial Services (NYSE:DFS - Free Report) by 27.7% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 1,776,132 shares of the financial services provider's stock after selling 681,747 shares during the quarter. Discover Financial Services comprises approximately 11.0% of Sessa Capital IM L.P.'s portfolio, making the stock its 3rd largest holding. Sessa Capital IM L.P. owned approximately 0.71% of Discover Financial Services worth $307,679,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently made changes to their positions in the business. SBI Securities Co. Ltd. bought a new stake in Discover Financial Services during the fourth quarter valued at approximately $33,000. Flagship Wealth Advisors LLC bought a new stake in Discover Financial Services during the fourth quarter valued at approximately $34,000. Grove Bank & Trust lifted its position in Discover Financial Services by 78.1% during the fourth 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 last quarter. Bfsg LLC bought a new stake in Discover Financial Services during the fourth quarter valued at approximately $35,000. Finally, Hantz Financial Services Inc. bought a new stake in shares of Discover Financial Services in the 4th quarter worth approximately $37,000. Hedge funds and other institutional investors own 86.94% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on DFS. Royal Bank of Canada boosted their target price on Discover Financial Services from $193.00 to $210.00 and gave the company a "sector perform" rating in a research note on Friday, January 24th. StockNews.com cut shares of Discover Financial Services from a "buy" rating to a "hold" rating in a report on Tuesday, April 15th. Jefferies Financial Group restated a "hold" rating and set a $180.00 target price on shares of Discover Financial Services in a research note on Wednesday, May 7th. Wells Fargo & Company increased their price target on Discover Financial Services from $185.00 to $214.00 and gave the company an "equal weight" rating in a report on Friday, January 24th. Finally, Barclays lifted their price objective on Discover Financial Services from $186.00 to $209.00 and gave the stock an "overweight" rating in a report on Friday, January 24th. Eight investment analysts have rated the stock with a hold rating, five have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, Discover Financial Services presently has an average rating of "Moderate Buy" and an average price target of $191.64.

Discover Financial Services Stock Performance

Discover Financial Services stock traded down $2.73 during midday trading on Tuesday, hitting $197.76. The stock had a trading volume of 31,289,322 shares, compared to its average volume of 1,789,095. The firm's fifty day moving average is $173.02 and its two-hundred day moving average is $179.00. The company has a market capitalization of $49.77 billion, a PE ratio of 12.39, a P/E/G ratio of 1.51 and a beta of 1.16. Discover Financial Services has a 52-week low of $119.95 and a 52-week high of $207.42. The company has a current ratio of 1.09, a quick ratio of 1.03 and a debt-to-equity ratio of 1.09.

Discover Financial Services (NYSE:DFS - Get Free Report) last released its earnings results on Wednesday, April 23rd. The financial services provider reported $4.25 EPS for the quarter, topping the consensus estimate of $3.33 by $0.92. The firm had revenue of $4.25 billion for the quarter, compared to the consensus estimate of $4.25 billion. Discover Financial Services had a net margin of 17.29% and a return on equity of 26.18%. During the same quarter in the previous year, the firm earned $1.10 earnings per share. On average, research analysts forecast that Discover Financial Services will post 13.88 EPS for the current year.

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; 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.