Zacks Research Has Positive Estimate for DFS Q2 Earnings

Discover Financial Services (NYSE:DFS - Free Report) - Investment analysts at Zacks Research upped their Q2 2025 earnings estimates for Discover Financial Services in a research note issued to investors on Wednesday, May 7th. Zacks Research analyst D. Chatterjee now forecasts that the financial services provider will earn $3.45 per share for the quarter, up from their previous forecast of $3.34. The consensus estimate for Discover Financial Services' current full-year earnings is $13.88 per share. Zacks Research also issued estimates for Discover Financial Services' Q4 2025 earnings at $3.24 EPS, FY2025 earnings at $14.02 EPS, Q2 2026 earnings at $3.65 EPS, Q3 2026 earnings at $3.89 EPS, Q4 2026 earnings at $3.72 EPS and FY2027 earnings at $18.63 EPS.

Discover Financial Services (NYSE:DFS - Get Free Report) last announced its earnings results on Wednesday, April 23rd. The financial services provider reported $4.25 earnings per share for the quarter, topping the consensus estimate of $3.33 by $0.92. The business had revenue of $4.25 billion during 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 prior year, the firm earned $1.10 earnings per share.

A number of other research analysts have also recently weighed in on DFS. Truist Financial raised their price target on Discover Financial Services from $219.00 to $229.00 and gave the company a "buy" rating in a research report on Friday, April 25th. Wells Fargo & Company lifted their target price on shares of Discover Financial Services from $185.00 to $214.00 and gave the stock an "equal weight" rating in a research note on Friday, January 24th. Barclays lifted their target price on shares of Discover Financial Services from $186.00 to $209.00 and gave the stock an "overweight" rating in a research note on Friday, January 24th. Royal Bank of Canada lifted their target price on shares of Discover Financial Services from $193.00 to $210.00 and gave the stock a "sector perform" rating in a research note on Friday, January 24th. Finally, JPMorgan Chase & Co. lowered their target price on shares of Discover Financial Services from $169.00 to $129.00 and set a "neutral" rating for the company in a research note on Tuesday, April 8th. Eight investment analysts have rated the stock with a hold rating, five have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $191.64.

Discover Financial Services Price Performance

DFS traded down $4.40 during trading on Monday, reaching $199.67. 2,142,994 shares of the stock were exchanged, compared to its average volume of 1,657,848. Discover Financial Services has a 1 year low of $119.95 and a 1 year high of $207.42. The company has a market capitalization of $50.25 billion, a price-to-earnings ratio of 12.51, a P/E/G ratio of 1.51 and a beta of 1.16. The business's 50 day moving average price is $169.96 and its two-hundred day moving average price is $177.48. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.09 and a quick ratio of 1.03.

Hedge Funds Weigh In On Discover Financial Services

A number of hedge funds have recently added to or reduced their stakes in DFS. Opal Wealth Advisors LLC acquired a new stake in Discover Financial Services during the first quarter worth about $25,000. ORG Wealth Partners LLC bought a new position in shares of Discover Financial Services in the first quarter valued at approximately $26,000. Meeder Asset Management Inc. boosted its holdings in shares of Discover Financial Services by 107.4% in the first quarter. Meeder Asset Management Inc. now owns 168 shares of the financial services provider's stock valued at $29,000 after acquiring an additional 87 shares in the last quarter. Golden State Wealth Management LLC boosted its holdings in shares of Discover Financial Services by 438.2% in the first quarter. Golden State Wealth Management LLC now owns 183 shares of the financial services provider's stock valued at $31,000 after acquiring an additional 149 shares in the last quarter. Finally, SBI Securities Co. Ltd. bought a new stake in Discover Financial Services during the fourth quarter worth approximately $33,000. 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.