Discover Financial Services (NYSE:DFS) Sets New 52-Week High – Here’s Why

Discover Financial Services (NYSE:DFS) shares reached a new 52-week high on Thursday . The stock traded as high as $205.76 and last traded at $204.72, with a volume of 306886 shares. The stock had previously closed at $201.03.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the company. Barclays lifted their target price on Discover Financial Services from $186.00 to $209.00 and gave the stock an “overweight” rating in a report on Friday, January 24th. Keefe, Bruyette & Woods lifted their price objective on shares of Discover Financial Services from $170.00 to $232.00 and gave the company an “outperform” rating in a report on Monday, December 9th. JPMorgan Chase & Co. upped their price target on Discover Financial Services from $146.00 to $169.00 and gave the stock a “neutral” rating in a report on Friday, January 24th. Evercore ISI upped their price objective on shares of Discover Financial Services from $156.00 to $163.00 and gave the stock an “in-line” rating in a research report on Wednesday, October 30th. Finally, Wells Fargo & Company raised their target price on Discover Financial Services from $185.00 to $214.00 and gave the company an “equal weight” rating in a research report on Friday, January 24th. Ten analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $182.64.

Discover Financial Services Price Performance

The company has a market capitalization of $50.54 billion, a PE ratio of 12.60, a price-to-earnings-growth ratio of 0.64 and a beta of 1.46. The company has a quick ratio of 1.03, a current ratio of 1.09 and a debt-to-equity ratio of 1.09. The firm’s 50-day moving average is $181.46 and its 200-day moving average is $156.91.

Discover Financial Services (NYSE:DFS) last announced its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share for the quarter, beating analysts’ consensus estimates of $3.13 by $1.98. Discover Financial Services had a return on equity of 26.18% and a net margin of 17.29%. Equities analysts predict that Discover Financial Services will post 13.39 earnings per share for the current fiscal year.

Discover Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Stockholders of record on Friday, May 23rd will be paid a dividend of $0.70 per share. The ex-dividend date of this dividend is Friday, May 23rd. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.39%. Discover Financial Services’s dividend payout ratio (DPR) is currently 17.54%.

Institutional Trading of Discover Financial Services

Several hedge funds and other institutional investors have recently bought and sold shares of DFS. C2P Capital Advisory Group LLC d.b.a. Prosperity Capital Advisors bought a new position in shares of Discover Financial Services during the fourth quarter valued at approximately $351,766,000. FMR LLC raised its holdings in Discover Financial Services by 8.0% in the 3rd quarter. FMR LLC now owns 7,493,862 shares of the financial services provider’s stock worth $1,051,314,000 after purchasing an additional 558,227 shares in the last quarter. Mizuho Securities USA LLC lifted its position in shares of Discover Financial Services by 1,272.0% in the 3rd quarter. Mizuho Securities USA LLC now owns 265,155 shares of the financial services provider’s stock worth $37,199,000 after purchasing an additional 245,829 shares during the period. Strategic Financial Concepts LLC bought a new stake in shares of Discover Financial Services during the 4th quarter valued at about $39,067,000. Finally, International Assets Investment Management LLC purchased a new position in shares of Discover Financial Services during the third quarter valued at about $21,169,000. Institutional investors own 86.94% of the company’s stock.

About Discover Financial Services

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.