Brokerages Anticipate Discover Financial Services (NYSE:DFS) Will Announce Quarterly Sales of $2.90 Billion

Wall Street brokerages expect Discover Financial Services (NYSE:DFS) to announce $2.90 billion in sales for the current quarter, according to Zacks. Six analysts have issued estimates for Discover Financial Services’ earnings, with the lowest sales estimate coming in at $2.80 billion and the highest estimate coming in at $2.94 billion. Discover Financial Services reported sales of $2.76 billion in the same quarter last year, which would suggest a positive year-over-year growth rate of 5.1%. The business is expected to report its next earnings report on Thursday, April 23rd.

According to Zacks, analysts expect that Discover Financial Services will report full-year sales of $12.00 billion for the current fiscal year, with estimates ranging from $11.70 billion to $12.21 billion. For the next fiscal year, analysts forecast that the company will post sales of $12.62 billion, with estimates ranging from $12.36 billion to $12.81 billion. Zacks’ sales averages are an average based on a survey of sell-side research firms that that provide coverage for Discover Financial Services.

Discover Financial Services (NYSE:DFS) last announced its quarterly earnings results on Thursday, January 23rd. The financial services provider reported $2.25 earnings per share for the quarter, topping analysts’ consensus estimates of $2.24 by $0.01. Discover Financial Services had a return on equity of 26.25% and a net margin of 20.94%. The company had revenue of $2.94 billion during the quarter, compared to analysts’ expectations of $2.94 billion. During the same quarter in the previous year, the firm earned $2.03 earnings per share. The business’s quarterly revenue was up 4.9% compared to the same quarter last year.

A number of analysts have weighed in on the company. Wedbush reaffirmed an “outperform” rating on shares of Discover Financial Services in a research report on Wednesday, December 18th. ValuEngine raised Discover Financial Services from a “strong sell” rating to a “sell” rating in a research report on Tuesday, January 28th. JPMorgan Chase & Co. boosted their price target on Discover Financial Services from $85.00 to $90.00 and gave the stock an “overweight” rating in a research report on Wednesday, October 23rd. Piper Sandler cut Discover Financial Services from an “overweight” rating to a “neutral” rating and reduced their price target for the stock from $96.00 to $86.00 in a research report on Friday, January 24th. Finally, Evercore ISI cut Discover Financial Services from an “in-line” rating to an “underperform” rating and set a $75.00 price target for the company. in a research report on Friday, January 24th. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating and nine have assigned a buy rating to the company’s stock. The company has an average rating of “Hold” and an average target price of $87.00.

In other Discover Financial Services news, CFO John Greene acquired 3,377 shares of the business’s stock in a transaction that occurred on Monday, January 27th. The stock was acquired at an average price of $73.84 per share, with a total value of $249,357.68. Following the transaction, the chief financial officer now owns 27,502 shares of the company’s stock, valued at $2,030,747.68. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Wanjiku Juanita Walcott purchased 3,400 shares of the stock in a transaction that occurred on Monday, January 27th. The shares were purchased at an average price of $73.95 per share, for a total transaction of $251,430.00. Following the completion of the purchase, the executive vice president now directly owns 91,149 shares of the company’s stock, valued at $6,740,468.55. The disclosure for this purchase can be found here. Insiders have purchased a total of 21,777 shares of company stock valued at $1,612,588 in the last three months. 0.81% of the stock is owned by insiders.

Institutional investors and hedge funds have recently modified their holdings of the stock. Howard Wealth Management LLC bought a new stake in shares of Discover Financial Services in the 4th quarter valued at approximately $26,000. Executive Wealth Management LLC grew its stake in shares of Discover Financial Services by 122.4% in the 3rd quarter. Executive Wealth Management LLC now owns 367 shares of the financial services provider’s stock valued at $29,000 after purchasing an additional 202 shares during the period. Truewealth LLC grew its stake in shares of Discover Financial Services by 861.1% in the 4th quarter. Truewealth LLC now owns 346 shares of the financial services provider’s stock valued at $29,000 after purchasing an additional 310 shares during the period. Prime Capital Investment Advisors LLC bought a new stake in shares of Discover Financial Services in the 3rd quarter valued at approximately $35,000. Finally, Quest Capital Management Inc. ADV bought a new stake in shares of Discover Financial Services in the 3rd quarter valued at approximately $44,000. Hedge funds and other institutional investors own 84.64% of the company’s stock.

Shares of NYSE:DFS traded down $1.07 on Friday, reaching $75.35. The company had a trading volume of 1,686,632 shares, compared to its average volume of 2,446,051. Discover Financial Services has a twelve month low of $69.11 and a twelve month high of $92.98. The stock has a 50-day moving average price of $79.97 and a 200 day moving average price of $81.83. The stock has a market capitalization of $23.96 billion, a P/E ratio of 8.30, a P/E/G ratio of 1.40 and a beta of 1.56. The company has a quick ratio of 1.28, a current ratio of 1.08 and a debt-to-equity ratio of 2.19.

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 5th. Investors of record on Thursday, February 20th will be given a dividend of $0.44 per share. The ex-dividend date of this dividend is Wednesday, February 19th. This represents a $1.76 annualized dividend and a dividend yield of 2.34%. Discover Financial Services’s dividend payout ratio is presently 19.38%.

Discover Financial Services Company Profile

Discover Financial Services, through its subsidiaries, operates as a direct banking and payment services company in the United States. The Direct Banking segment offers Discover-branded credit cards to individuals; and other consumer products and services, including private student loans, personal loans, home equity loans, and other consumer lending, as well as deposit products, such as certificates of deposit, money market accounts, savings accounts, checking accounts, and individual retirement arrangement certificates of deposit.

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

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