Discover Financial Services (NYSE:DFS) is Alpine Associates Management Inc.’s 2nd Largest Position

Alpine Associates Management Inc. lowered its holdings in Discover Financial Services (NYSE:DFS) by 1.6% during the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 864,164 shares of the financial services provider’s stock after selling 14,000 shares during the period. Discover Financial Services makes up about 9.1% of Alpine Associates Management Inc.’s holdings, making the stock its 2nd biggest position. Alpine Associates Management Inc.’s holdings in Discover Financial Services were worth $149,699,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently made changes to their positions in DFS. SBI Securities Co. Ltd. bought a new stake in Discover Financial Services during the fourth quarter valued at approximately $33,000. Bfsg LLC purchased a new stake in Discover Financial Services in the 4th quarter worth approximately $35,000. Grove Bank & Trust increased its position in Discover Financial Services by 78.1% during the 4th quarter. Grove Bank & Trust now owns 203 shares of the financial services provider’s stock valued at $35,000 after purchasing an additional 89 shares during the period. Point72 Asia Singapore Pte. Ltd. purchased a new stake in Discover Financial Services in the third quarter worth about $30,000. Finally, Hantz Financial Services Inc. purchased a new stake in Discover Financial Services in the fourth quarter worth $37,000. 86.94% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on DFS. Keefe, Bruyette & Woods increased their target price on Discover Financial Services from $170.00 to $232.00 and gave the stock an “outperform” rating in a research note on Monday, December 9th. StockNews.com lowered Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Friday, January 24th. Royal Bank of Canada boosted their price target on Discover Financial Services from $193.00 to $210.00 and gave the company a “sector perform” rating in a report on Friday, January 24th. Wells Fargo & Company upped their price target on Discover Financial Services from $185.00 to $214.00 and gave the stock an “equal weight” rating in a research report on Friday, January 24th. Finally, JPMorgan Chase & Co. lifted their price objective on Discover Financial Services from $146.00 to $169.00 and gave the company a “neutral” rating in a research report on Friday, January 24th. Nine investment analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $191.91.

Discover Financial Services Stock Down 3.1 %

DFS stock opened at $167.38 on Friday. The stock has a market capitalization of $42.11 billion, a PE ratio of 10.49, a price-to-earnings-growth ratio of 1.51 and a beta of 1.45. Discover Financial Services has a one year low of $119.31 and a one year high of $205.76. The company has a fifty day moving average of $189.03 and a 200-day moving average of $167.10. The company has a debt-to-equity ratio of 1.09, a quick ratio of 1.03 and a current ratio of 1.09.

Discover Financial Services (NYSE:DFS) last issued its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share for the quarter, topping analysts’ consensus estimates of $3.13 by $1.98. Discover Financial Services had a net margin of 17.29% and a return on equity of 26.18%. As a group, analysts expect that Discover Financial Services will post 13.88 EPS for the current year.

Discover Financial Services Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Shareholders of record on Friday, May 23rd will be given a $0.70 dividend. This represents a $2.80 annualized dividend and a yield of 1.67%. The ex-dividend date is Friday, May 23rd. Discover Financial Services’s dividend payout ratio (DPR) is presently 17.54%.

Discover Financial Services Company Profile

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.