Discover Financial Services (NYSE:DFS) Expected to Announce Quarterly Sales of $2.76 Billion


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Analysts expect Discover Financial Services (NYSE:DFS) to post sales of $2.76 billion for the current fiscal quarter, according to Zacks Investment Research. Six analysts have issued estimates for Discover Financial Services’ earnings. The lowest sales estimate is $2.68 billion and the highest is $2.82 billion. Discover Financial Services reported sales of $2.89 billion during the same quarter last year, which would suggest a negative year over year growth rate of 4.5%. The firm is scheduled to announce its next quarterly earnings results after the market closes on Wednesday, April 21st.

On average, analysts expect that Discover Financial Services will report full year sales of $11.43 billion for the current year, with estimates ranging from $10.94 billion to $11.72 billion. For the next financial year, analysts forecast that the firm will report sales of $12.08 billion, with estimates ranging from $11.32 billion to $12.92 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of research analysts that cover Discover Financial Services.

Discover Financial Services (NYSE:DFS) last issued its quarterly earnings data on Tuesday, January 19th. The financial services provider reported $2.59 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.42 by $0.17. The firm had revenue of $2.82 billion for the quarter, compared to the consensus estimate of $2.81 billion. Discover Financial Services had a net margin of 7.89% and a return on equity of 11.00%. The company’s quarterly revenue was down 4.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.25 EPS.

Several analysts have weighed in on DFS shares. Argus boosted their target price on shares of Discover Financial Services from $72.00 to $108.00 and gave the stock a “buy” rating in a research report on Friday, January 22nd. Wells Fargo & Company boosted their target price on shares of Discover Financial Services from $105.00 to $111.00 and gave the stock an “equal weight” rating in a research report on Monday, March 22nd. Piper Sandler boosted their target price on shares of Discover Financial Services from $97.00 to $103.00 and gave the stock a “neutral” rating in a research report on Wednesday. Royal Bank of Canada boosted their target price on shares of Discover Financial Services from $110.00 to $115.00 and gave the stock an “outperform” rating in a research report on Friday, January 22nd. Finally, JPMorgan Chase & Co. boosted their target price on shares of Discover Financial Services from $72.00 to $114.00 and gave the stock an “overweight” rating in a research report on Tuesday, January 19th. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating and seven have issued a buy rating to the company’s stock. The company presently has a consensus rating of “Hold” and an average price target of $90.40.

NYSE:DFS traded up $0.27 during trading hours on Friday, hitting $102.27. 1,601,423 shares of the company were exchanged, compared to its average volume of 2,675,713. The stock has a market capitalization of $31.33 billion, a price-to-earnings ratio of 31.47, a PEG ratio of 4.21 and a beta of 1.80. Discover Financial Services has a 52-week low of $31.09 and a 52-week high of $104.49. The company has a debt-to-equity ratio of 2.38, a current ratio of 0.98 and a quick ratio of 0.98. The company’s 50 day moving average price is $97.60 and its 200-day moving average price is $85.28.

The company also recently announced a quarterly dividend, which was paid on Thursday, March 4th. Investors of record on Thursday, February 18th were paid a $0.44 dividend. This represents a $1.76 annualized dividend and a dividend yield of 1.72%. The ex-dividend date of this dividend was Wednesday, February 17th. Discover Financial Services’s dividend payout ratio is currently 19.38%.

In related news, EVP Carlos Minetti sold 19,260 shares of the business’s stock in a transaction on Thursday, February 4th. The shares were sold at an average price of $88.00, for a total value of $1,694,880.00. Following the completion of the transaction, the executive vice president now directly owns 147,293 shares in the company, valued at approximately $12,961,784. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, EVP Brian Hughes sold 10,000 shares of the business’s stock in a transaction on Monday, February 8th. The shares were sold at an average price of $93.91, for a total transaction of $939,100.00. Following the completion of the transaction, the executive vice president now owns 56,620 shares of the company’s stock, valued at $5,317,184.20. The disclosure for this sale can be found here. Insiders own 0.55% of the company’s stock.

Several institutional investors and hedge funds have recently bought and sold shares of the stock. ExodusPoint Capital Management LP acquired a new position in Discover Financial Services during the third quarter worth $1,037,000. Point72 Asset Management L.P. acquired a new stake in shares of Discover Financial Services in the third quarter valued at about $2,001,000. Colony Group LLC raised its position in shares of Discover Financial Services by 17.5% in the third quarter. Colony Group LLC now owns 34,390 shares of the financial services provider’s stock valued at $1,987,000 after buying an additional 5,126 shares during the last quarter. EP Wealth Advisors LLC acquired a new stake in shares of Discover Financial Services in the third quarter valued at about $215,000. Finally, Schonfeld Strategic Advisors LLC acquired a new stake in shares of Discover Financial Services in the third quarter valued at about $10,274,000. Hedge funds and other institutional investors own 84.67% of the company’s stock.

About Discover Financial Services

Discover Financial Services, through its subsidiaries, operates as a digital banking and payment services company 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; and other consumer products and services, including private student loans, personal loans, home loans, and other consumer lending, as well as deposit products, such as certificates of deposit, money market accounts, IRA certificates of deposit, IRA savings accounts, checking accounts, and sweep accounts.

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Earnings History and Estimates for Discover Financial Services (NYSE:DFS)

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