Morgan Stanley Lowers Discover Financial Services (DFS) Price Target to $70.00
Discover Financial Services (NYSE:DFS) had its target price lowered by research analysts at Morgan Stanley from $71.00 to $70.00 in a research report issued to clients and investors on Friday. The brokerage currently has an “overweight” rating on the financial services provider’s stock. Morgan Stanley’s price objective indicates a potential upside of 21.40% from the stock’s current price.
Other equities analysts have also issued reports about the stock. Jefferies Group LLC restated a “buy” rating and issued a $75.00 price objective (down from $82.00) on shares of Discover Financial Services in a report on Thursday, July 27th. Zacks Investment Research lowered shares of Discover Financial Services from a “hold” rating to a “sell” rating in a report on Monday, July 31st. BidaskClub lowered shares of Discover Financial Services from a “hold” rating to a “sell” rating in a report on Tuesday, August 1st. Barclays PLC restated an “equal weight” rating and issued a $70.00 price objective (down from $79.00) on shares of Discover Financial Services in a report on Thursday, July 13th. Finally, Wells Fargo & Company lowered shares of Discover Financial Services to a “buy” rating and set a $70.00 price objective on the stock. in a report on Friday, May 19th. Two analysts have rated the stock with a sell rating, eight have issued a hold rating and sixteen have given a buy rating to the stock. The company has a consensus rating of “Buy” and an average price target of $73.95.
Shares of Discover Financial Services (NYSE DFS) traded down 0.74% during midday trading on Friday, hitting $57.66. The company had a trading volume of 1,966,894 shares. The company has a 50-day moving average of $60.38 and a 200 day moving average of $63.19. The firm has a market capitalization of $21.47 billion, a PE ratio of 9.95 and a beta of 1.45. Discover Financial Services has a 12 month low of $53.91 and a 12 month high of $74.33.
Discover Financial Services (NYSE:DFS) last announced its quarterly earnings data on Wednesday, July 26th. The financial services provider reported $1.40 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $1.45 by $0.05. Discover Financial Services had a net margin of 20.91% and a return on equity of 21.28%. The business had revenue of $2.42 billion during the quarter, compared to analyst estimates of $2.40 billion. During the same quarter in the prior year, the company earned $1.47 earnings per share. The company’s quarterly revenue was up 9.2% on a year-over-year basis. On average, analysts expect that Discover Financial Services will post $5.92 EPS for the current fiscal year.
Discover Financial Services announced that its board has initiated a share repurchase program on Wednesday, June 28th that authorizes the company to buyback $2.23 billion in shares. This buyback authorization authorizes the financial services provider to reacquire up to 9.5% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s board believes its stock is undervalued.
In other news, COO Roger C. Hochschild sold 15,258 shares of the firm’s stock in a transaction dated Friday, September 1st. The shares were sold at an average price of $59.64, for a total transaction of $909,987.12. Following the completion of the sale, the chief operating officer now owns 799,741 shares in the company, valued at approximately $47,696,553.24. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Kathryn Mcnamara Corley sold 4,000 shares of the firm’s stock in a transaction dated Friday, September 1st. The stock was sold at an average price of $59.63, for a total transaction of $238,520.00. Following the sale, the executive vice president now owns 150,744 shares of the company’s stock, valued at approximately $8,988,864.72. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 157,002 shares of company stock valued at $9,580,337. 0.96% of the stock is currently owned by corporate insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the company. V Wealth Management LLC acquired a new stake in shares of Discover Financial Services during the 2nd quarter worth about $101,000. FNY Managed Accounts LLC bought a new position in Discover Financial Services during the first quarter worth about $124,000. Orrstown Financial Services Inc. increased its position in Discover Financial Services by 16.7% during the second quarter. Orrstown Financial Services Inc. now owns 2,002 shares of the financial services provider’s stock worth $125,000 after acquiring an additional 286 shares during the period. Perigon Wealth Management LLC increased its position in Discover Financial Services by 2.3% during the first quarter. Perigon Wealth Management LLC now owns 2,146 shares of the financial services provider’s stock worth $147,000 after acquiring an additional 48 shares during the period. Finally, Chicago Partners Investment Group LLC bought a new position in Discover Financial Services during the second quarter worth about $168,000. Institutional investors own 86.21% of the company’s stock.
Discover Financial Services Company Profile
Discover Financial Services (DFS) is a direct banking and payment services company. The Company is a bank holding company, as well as a financial holding company. The Company operates through two segments: Direct Banking and Payment Services. It provides direct banking products and services, and payment services through its subsidiaries.
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