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. The Payment Services segment operates the PULSE, an automated teller machine, debit, and electronic funds transfer network; and Diners Club International, a payments network that issues Diners Club branded charge cards and/or provides card acceptance services, as well as offers payment transaction processing and settlement services. The company was incorporated in 1960 and is based in Riverwoods, Illinois.
Discover Financial Services Stock Down 1.8 %
Shares of NYSE:DFS opened at $108.52 on Thursday. The stock's 50-day moving average price is $100.27 and its 200-day moving average price is $108.75. Discover Financial Services has a 12-month low of $88.02 and a 12-month high of $133.78. The stock has a market capitalization of $29.64 billion, a P/E ratio of 7.07, a price-to-earnings-growth ratio of 0.24 and a beta of 1.45. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 1.43.
Discover Financial Services (NYSE:DFS - Get Rating) last posted its earnings results on Wednesday, July 20th. The financial services provider reported $3.96 earnings per share for the quarter, topping analysts' consensus estimates of $3.77 by $0.19. The company had revenue of $3.22 billion during the quarter, compared to analyst estimates of $3.18 billion. Discover Financial Services had a net margin of 34.89% and a return on equity of 36.35%. Discover Financial Services's revenue for the quarter was down 9.9% on a year-over-year basis. During the same period in the prior year, the business posted $5.55 earnings per share. On average, equities analysts anticipate that Discover Financial Services will post 15.32 earnings per share for the current year.
Discover Financial Services Announces Dividend
The company also recently announced a quarterly dividend, which will be paid on Thursday, September 8th. Stockholders of record on Thursday, August 25th will be issued a dividend of $0.60 per share. The ex-dividend date of this dividend is Wednesday, August 24th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 2.21%. Discover Financial Services's dividend payout ratio is currently 15.63%.
Analysts Set New Price Targets
A number of research firms recently commented on DFS. Piper Sandler increased their target price on Discover Financial Services to $132.00 in a research note on Friday, July 22nd. Deutsche Bank Aktiengesellschaft reduced their target price on Discover Financial Services from $150.00 to $140.00 in a research note on Friday, July 22nd. Citigroup cut Discover Financial Services from a "buy" rating to a "neutral" rating and reduced their target price for the company from $140.00 to $115.00 in a research note on Friday, July 22nd. Bank of America reduced their target price on Discover Financial Services from $128.00 to $120.00 in a research note on Sunday, July 24th. Finally, Keefe, Bruyette & Woods reduced their target price on Discover Financial Services from $150.00 to $135.00 in a research note on Monday, July 11th. Seven analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. Based on data from MarketBeat, Discover Financial Services presently has an average rating of "Moderate Buy" and a consensus price target of $127.56.