Federated Hermes Inc. Lowers Stock Position in Discover Financial Services (NYSE:DFS)

Federated Hermes Inc. cut its stake in shares of Discover Financial Services (NYSE:DFS) by 0.9% in the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 81,239 shares of the financial services provider’s stock after selling 708 shares during the period. Federated Hermes Inc.’s holdings in Discover Financial Services were worth $9,131,000 as of its most recent SEC filing.

Other institutional investors also recently made changes to their positions in the company. Bruce G. Allen Investments LLC purchased a new stake in Discover Financial Services during the 4th quarter worth $28,000. Pinnacle Bancorp Inc. boosted its position in Discover Financial Services by 282.0% during the 3rd quarter. Pinnacle Bancorp Inc. now owns 382 shares of the financial services provider’s stock worth $33,000 after purchasing an additional 282 shares during the period. Turtle Creek Wealth Advisors LLC purchased a new stake in Discover Financial Services during the 4th quarter worth $35,000. First Command Advisory Services Inc. purchased a new stake in Discover Financial Services during the 3rd quarter worth $39,000. Finally, Larson Financial Group LLC boosted its position in Discover Financial Services by 105.8% during the 3rd quarter. Larson Financial Group LLC now owns 465 shares of the financial services provider’s stock worth $40,000 after purchasing an additional 239 shares during the period. 86.94% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other Discover Financial Services news, CFO John Greene sold 35,191 shares of the company’s stock in a transaction dated Friday, January 26th. The shares were sold at an average price of $106.51, for a total value of $3,748,193.41. Following the completion of the transaction, the chief financial officer now owns 18,592 shares in the company, valued at approximately $1,980,233.92. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 0.50% of the stock is owned by company insiders.

Discover Financial Services Price Performance

DFS opened at $129.02 on Thursday. The firm has a market cap of $32.33 billion, a price-to-earnings ratio of 14.71, a price-to-earnings-growth ratio of 0.77 and a beta of 1.45. Discover Financial Services has a fifty-two week low of $79.04 and a fifty-two week high of $131.65. The company’s 50-day moving average price is $123.16 and its 200 day moving average price is $106.88. The company has a quick ratio of 1.13, a current ratio of 1.05 and a debt-to-equity ratio of 1.49.

Discover Financial Services (NYSE:DFS) last released its quarterly earnings data on Thursday, April 18th. The financial services provider reported $1.10 earnings per share for the quarter, missing the consensus estimate of $2.98 by ($1.88). The business had revenue of $4.21 billion for the quarter, compared to analyst estimates of $4.07 billion. Discover Financial Services had a return on equity of 16.74% and a net margin of 10.56%. During the same quarter last year, the company earned $3.58 EPS. As a group, sell-side analysts expect that Discover Financial Services will post 11.3 earnings per share for the current year.

Discover Financial Services Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 6th. Investors of record on Thursday, May 23rd will be paid a dividend of $0.70 per share. The ex-dividend date of this dividend is Wednesday, May 22nd. This represents a $2.80 annualized dividend and a yield of 2.17%. Discover Financial Services’s dividend payout ratio (DPR) is 31.93%.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on DFS shares. Citigroup upped their price target on shares of Discover Financial Services from $127.00 to $168.00 and gave the stock a “buy” rating in a research report on Friday, February 23rd. Jefferies Financial Group boosted their price objective on shares of Discover Financial Services from $137.00 to $145.00 and gave the stock a “buy” rating in a report on Friday, April 19th. The Goldman Sachs Group cut their price objective on shares of Discover Financial Services from $139.00 to $121.00 and set a “buy” rating on the stock in a report on Friday, January 19th. Seaport Res Ptn lowered shares of Discover Financial Services from a “buy” rating to a “neutral” rating in a report on Friday, March 15th. Finally, StockNews.com initiated coverage on shares of Discover Financial Services in a report on Thursday, April 18th. They issued a “hold” rating on the stock. Twelve analysts have rated the stock with a hold rating and seven have issued a buy rating to the company’s stock. According to data from MarketBeat, Discover Financial Services presently has a consensus rating of “Hold” and a consensus target price of $126.29.

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; 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.