Colonial River Wealth Management LLC Invests $202,000 in Discover Financial Services (NYSE:DFS)

Colonial River Wealth Management LLC bought a new position in Discover Financial Services (NYSE:DFS) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 1,705 shares of the financial services provider’s stock, valued at approximately $202,000.

Several other hedge funds also recently bought and sold shares of the company. First Bank & Trust lifted its holdings in shares of Discover Financial Services by 3.4% in the second quarter. First Bank & Trust now owns 2,650 shares of the financial services provider’s stock worth $314,000 after acquiring an additional 87 shares during the last quarter. Calamos Wealth Management LLC increased its stake in shares of Discover Financial Services by 1.7% in the second quarter. Calamos Wealth Management LLC now owns 5,474 shares of the financial services provider’s stock valued at $648,000 after buying an additional 90 shares during the period. NorthCoast Asset Management LLC increased its stake in shares of Discover Financial Services by 1.5% in the second quarter. NorthCoast Asset Management LLC now owns 6,136 shares of the financial services provider’s stock valued at $727,000 after buying an additional 91 shares during the period. River Wealth Advisors LLC increased its stake in shares of Discover Financial Services by 1.5% in the second quarter. River Wealth Advisors LLC now owns 6,236 shares of the financial services provider’s stock valued at $738,000 after buying an additional 92 shares during the period. Finally, Johnson Investment Counsel Inc. increased its stake in shares of Discover Financial Services by 3.1% in the second quarter. Johnson Investment Counsel Inc. now owns 3,169 shares of the financial services provider’s stock valued at $375,000 after buying an additional 94 shares during the period. 85.28% of the stock is owned by hedge funds and other institutional investors.

Shares of DFS traded up $2.44 during trading hours on Thursday, reaching $125.48. The stock had a trading volume of 11,768 shares, compared to its average volume of 2,074,266. Discover Financial Services has a 12 month low of $60.42 and a 12 month high of $135.69. The firm has a 50-day simple moving average of $126.88 and a 200 day simple moving average of $119.07. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.60. The company has a market capitalization of $37.58 billion, a price-to-earnings ratio of 7.87, a P/E/G ratio of 0.13 and a beta of 1.84.

Discover Financial Services (NYSE:DFS) last issued its earnings results on Tuesday, July 20th. The financial services provider reported $5.55 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.68 by $1.87. Discover Financial Services had a return on equity of 46.03% and a net margin of 36.50%. The company had revenue of $3.58 billion for the quarter, compared to analysts’ expectations of $3.01 billion. During the same period last year, the business earned ($1.20) EPS. Discover Financial Services’s quarterly revenue was up 34.4% compared to the same quarter last year. On average, equities analysts forecast that Discover Financial Services will post 16.9 EPS for the current year.

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 2nd. Stockholders of record on Thursday, August 19th were given a dividend of $0.50 per share. The ex-dividend date was Wednesday, August 18th. This is a positive change from Discover Financial Services’s previous quarterly dividend of $0.44. This represents a $2.00 annualized dividend and a dividend yield of 1.59%. Discover Financial Services’s dividend payout ratio (DPR) is currently 55.56%.

Discover Financial Services declared that its board has authorized a share buyback plan on Wednesday, July 21st that authorizes the company to buyback $2.40 billion in shares. This buyback authorization authorizes the financial services provider to buy up to 6.4% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s leadership believes its shares are undervalued.

Several research firms have recently issued reports on DFS. Credit Suisse Group upped their price objective on Discover Financial Services from $128.00 to $140.00 and gave the company an “outperform” rating in a research note on Friday, July 2nd. Wells Fargo & Company increased their target price on shares of Discover Financial Services from $125.00 to $135.00 and gave the company an “equal weight” rating in a research report on Friday, October 8th. Morgan Stanley increased their target price on shares of Discover Financial Services from $137.00 to $139.00 and gave the company an “equal weight” rating in a research report on Thursday, September 16th. Seaport Global Securities initiated coverage on shares of Discover Financial Services in a research report on Monday, August 30th. They set a “neutral” rating for the company. Finally, Zacks Investment Research downgraded shares of Discover Financial Services from a “buy” rating to a “hold” rating and set a $124.00 target price for the company. in a research report on Wednesday, July 7th. Ten analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $127.06.

In other Discover Financial Services news, Director Mary K. Bush sold 3,824 shares of Discover Financial Services stock in a transaction dated Wednesday, July 28th. The stock was sold at an average price of $123.21, for a total transaction of $471,155.04. Following the completion of the transaction, the director now owns 53,366 shares of the company’s stock, valued at approximately $6,575,224.86. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Shifra Kolsky sold 800 shares of Discover Financial Services stock in a transaction dated Wednesday, August 4th. The shares were sold at an average price of $127.11, for a total value of $101,688.00. Following the transaction, the chief accounting officer now directly owns 3,610 shares of the company’s stock, valued at approximately $458,867.10. The disclosure for this sale can be found here. In the last three months, insiders sold 19,624 shares of company stock valued at $2,477,843. 0.54% of the stock is currently owned by insiders.

About Discover Financial Services

Discover Financial Services is a holding company, which engages in the provision of direct banking and payment services. It operates through the Direct Banking and Payment Services segments. The Direct Banking segment offers Discover-branded credit cards issued to individuals on the Discover Network and other consumer products and services, including private student loans, personal loans, home loans, and other consumer lending and deposit products.

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