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Discover Financial Services (DFS) Competitors

$136.50
+5.22 (+3.98%)
(As of 01:18 PM ET)

DFS vs. COF, CACC, SLM, NNI, ECPG, PRAA, WRLD, EZPW, GDOT, and RM

Should you be buying Discover Financial Services stock or one of its competitors? The main competitors of Discover Financial Services include Capital One Financial (COF), Credit Acceptance (CACC), SLM (SLM), Nelnet (NNI), Encore Capital Group (ECPG), PRA Group (PRAA), World Acceptance (WRLD), EZCORP (EZPW), Green Dot (GDOT), and Regional Management (RM). These companies are all part of the "consumer finance" industry.

Discover Financial Services vs.

Capital One Financial (NYSE:COF) and Discover Financial Services (NYSE:DFS) are both large-cap finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, community ranking, institutional ownership, profitability, earnings, media sentiment, analyst recommendations and risk.

Capital One Financial has higher revenue and earnings than Discover Financial Services. Capital One Financial is trading at a lower price-to-earnings ratio than Discover Financial Services, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Capital One Financial$49.48B1.11$4.89B$12.7711.30
Discover Financial Services$20.61B1.67$2.94B$8.7715.65

Capital One Financial has a beta of 1.46, indicating that its share price is 46% more volatile than the S&P 500. Comparatively, Discover Financial Services has a beta of 1.44, indicating that its share price is 44% more volatile than the S&P 500.

Discover Financial Services received 95 more outperform votes than Capital One Financial when rated by MarketBeat users. Likewise, 73.26% of users gave Discover Financial Services an outperform vote while only 65.59% of users gave Capital One Financial an outperform vote.

CompanyUnderperformOutperform
Capital One FinancialOutperform Votes
1176
65.59%
Underperform Votes
617
34.41%
Discover Financial ServicesOutperform Votes
1271
73.26%
Underperform Votes
464
26.74%

Capital One Financial currently has a consensus target price of $141.35, suggesting a potential downside of 1.29%. Discover Financial Services has a consensus target price of $129.78, suggesting a potential downside of 4.48%. Given Discover Financial Services' higher possible upside, equities analysts clearly believe Capital One Financial is more favorable than Discover Financial Services.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Capital One Financial
2 Sell rating(s)
12 Hold rating(s)
7 Buy rating(s)
0 Strong Buy rating(s)
2.24
Discover Financial Services
0 Sell rating(s)
12 Hold rating(s)
8 Buy rating(s)
0 Strong Buy rating(s)
2.40

In the previous week, Discover Financial Services had 19 more articles in the media than Capital One Financial. MarketBeat recorded 33 mentions for Discover Financial Services and 14 mentions for Capital One Financial. Discover Financial Services' average media sentiment score of 1.13 beat Capital One Financial's score of 0.72 indicating that Capital One Financial is being referred to more favorably in the media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Capital One Financial
10 Very Positive mention(s)
1 Positive mention(s)
2 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive
Discover Financial Services
9 Very Positive mention(s)
6 Positive mention(s)
8 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive

Capital One Financial pays an annual dividend of $2.40 per share and has a dividend yield of 1.7%. Discover Financial Services pays an annual dividend of $2.80 per share and has a dividend yield of 2.0%. Capital One Financial pays out 18.8% of its earnings in the form of a dividend. Discover Financial Services pays out 31.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Discover Financial Services has raised its dividend for 13 consecutive years. Discover Financial Services is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

89.8% of Capital One Financial shares are owned by institutional investors. Comparatively, 86.9% of Discover Financial Services shares are owned by institutional investors. 1.3% of Capital One Financial shares are owned by insiders. Comparatively, 0.7% of Discover Financial Services shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Discover Financial Services has a net margin of 10.56% compared to Discover Financial Services' net margin of 10.19%. Capital One Financial's return on equity of 17.07% beat Discover Financial Services' return on equity.

Company Net Margins Return on Equity Return on Assets
Capital One Financial10.19% 9.74% 1.15%
Discover Financial Services 10.56%17.07%1.56%

Summary

Discover Financial Services beats Capital One Financial on 12 of the 21 factors compared between the two stocks.

New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding DFS and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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DFS vs. The Competition

MetricDiscover Financial ServicesPersonal credit institutions IndustryFinance SectorNYSE Exchange
Market Cap$34.41B$4.76B$9.45B$18.30B
Dividend Yield2.13%4.66%10.62%3.49%
P/E Ratio15.6515.6556.6222.55
Price / Sales1.672.103,474.1416.23
Price / Cash11.209.7628.1516.25
Price / Book2.491.852.574.98
Net Income$2.94B$298.49M$999.29M$967.95M
7 Day Performance6.48%8.33%5.02%6.14%
1 Month Performance12.47%11.89%6.43%7.55%
1 Year Performance15.73%10.50%12.29%10.98%

Discover Financial Services Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
COF
Capital One Financial
4.4203 of 5 stars
4.42 / 5 stars
$138.41
-0.4%
$141.35
+2.1%
+24.1%$52.62B$49.48B10.8451,987News Coverage
Positive News
CACC
Credit Acceptance
2.5187 of 5 stars
2.52 / 5 stars
$576.77
+2.9%
$402.33
-30.2%
+4.1%$6.99B$1.90B29.592,232Positive News
SLM
SLM
4.6266 of 5 stars
4.63 / 5 stars
$21.91
+0.9%
$22.50
+2.7%
+33.5%$4.81B$2.84B6.851,740
NNI
Nelnet
4.1704 of 5 stars
4.17 / 5 stars
$106.13
+1.4%
$96.00
-9.5%
+8.4%$3.86B$2.06B28.687,550
ECPG
Encore Capital Group
3.6731 of 5 stars
3.67 / 5 stars
$44.89
+0.4%
$66.50
+48.1%
-13.4%$1.06B$1.22B-5.237,400Positive News
PRAA
PRA Group
3.9696 of 5 stars
3.97 / 5 stars
$20.90
+0.1%
$33.00
+57.9%
-8.2%$822.46M$802.55M-38.703,155Positive News
WRLD
World Acceptance
0.8698 of 5 stars
0.87 / 5 stars
$132.58
+0.4%
$56.00
-57.8%
-3.0%$774.92M$573.21M10.002,872Upcoming Earnings
News Coverage
Positive News
EZPW
EZCORP
3.9816 of 5 stars
3.98 / 5 stars
$10.11
-0.2%
$17.00
+68.2%
+15.3%$555.46M$1.05B9.727,500News Coverage
Positive News
GDOT
Green Dot
1.3078 of 5 stars
1.31 / 5 stars
$9.53
-1.7%
$10.75
+12.8%
-51.0%$507.09M$1.50B-20.281,200
RM
Regional Management
3.6233 of 5 stars
3.62 / 5 stars
$27.78
+0.1%
$29.00
+4.4%
-14.9%$274.92M$551.40M12.082,081

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This page (NYSE:DFS) was last updated on 7/15/2024 by MarketBeat.com Staff

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