DNB Asset Management AS Boosts Holdings in Discover Financial Services (NYSE:DFS)

DNB Asset Management AS boosted its position in shares of Discover Financial Services (NYSE:DFS) by 8.6% in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 46,829 shares of the financial services provider’s stock after acquiring an additional 3,718 shares during the period. DNB Asset Management AS’s holdings in Discover Financial Services were worth $6,126,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also made changes to their positions in DFS. Partnership Wealth Management LLC purchased a new position in shares of Discover Financial Services in the fourth quarter worth $25,000. MeadowBrook Investment Advisors LLC purchased a new position in shares of Discover Financial Services in the fourth quarter worth $31,000. Riverview Trust Co purchased a new position in shares of Discover Financial Services in the first quarter worth $34,000. New Covenant Trust Company N.A. purchased a new position in shares of Discover Financial Services in the first quarter worth $34,000. Finally, Turtle Creek Wealth Advisors LLC purchased a new position in shares of Discover Financial Services in the fourth quarter worth $35,000. Hedge funds and other institutional investors own 86.94% of the company’s stock.

Discover Financial Services Price Performance

Shares of NYSE DFS traded up $1.75 during trading on Tuesday, hitting $125.27. The company had a trading volume of 1,567,646 shares, compared to its average volume of 1,795,491. The stock has a fifty day simple moving average of $130.49 and a two-hundred day simple moving average of $123.66. Discover Financial Services has a fifty-two week low of $79.04 and a fifty-two week high of $147.61. The firm has a market capitalization of $31.41 billion, a price-to-earnings ratio of 14.23, a price-to-earnings-growth ratio of 0.90 and a beta of 1.43. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 1.28.

Discover Financial Services (NYSE:DFS) last announced its earnings results on Wednesday, July 17th. The financial services provider reported $6.06 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.06 by $3.00. Discover Financial Services had a net margin of 12.88% and a return on equity of 20.92%. The business had revenue of $4.54 billion for the quarter, compared to analyst estimates of $4.18 billion. During the same quarter last year, the business earned $3.54 earnings per share. The company’s revenue for the quarter was up 17.0% compared to the same quarter last year. On average, research analysts expect that Discover Financial Services will post 12.23 earnings per share for the current year.

Discover Financial Services Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 5th. Stockholders of record on Thursday, August 22nd will be paid a $0.70 dividend. This represents a $2.80 annualized dividend and a dividend yield of 2.24%. The ex-dividend date of this dividend is Thursday, August 22nd. Discover Financial Services’s dividend payout ratio is currently 31.93%.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the stock. Wells Fargo & Company raised their price target on shares of Discover Financial Services from $105.00 to $135.00 and gave the stock an “equal weight” rating in a report on Wednesday, April 10th. Royal Bank of Canada increased their price objective on shares of Discover Financial Services from $140.00 to $148.00 and gave the stock a “sector perform” rating in a research note on Friday, July 19th. Jefferies Financial Group increased their price objective on shares of Discover Financial Services from $145.00 to $150.00 and gave the stock a “buy” rating in a research note on Tuesday, July 9th. BMO Capital Markets increased their price objective on shares of Discover Financial Services from $115.00 to $119.00 and gave the stock a “market perform” rating in a research note on Friday, July 19th. Finally, BTIG Research began coverage on shares of Discover Financial Services in a research note on Friday, June 7th. They issued a “neutral” rating on the stock. Thirteen investment analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $131.33.

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; private student loans, 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.