Discover Financial Services (NYSE:DFS) Position Decreased by Arrowstreet Capital Limited Partnership

Arrowstreet Capital Limited Partnership reduced its holdings in Discover Financial Services (NYSE:DFS) by 11.2% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,871,271 shares of the financial services provider’s stock after selling 237,118 shares during the quarter. Arrowstreet Capital Limited Partnership owned 0.74% of Discover Financial Services worth $324,160,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also added to or reduced their stakes in the business. Raymond James Financial Inc. bought a new position in shares of Discover Financial Services in the fourth quarter valued at $38,489,000. Nomura Asset Management Co. Ltd. raised its position in shares of Discover Financial Services by 10.5% during the third quarter. Nomura Asset Management Co. Ltd. now owns 115,487 shares of the financial services provider’s stock worth $16,202,000 after purchasing an additional 10,946 shares during the period. Brookstone Capital Management purchased a new stake in shares of Discover Financial Services during the fourth quarter valued at $282,000. Meyer Handelman Co. acquired a new position in shares of Discover Financial Services in the 4th quarter valued at $239,000. Finally, Mechanics Bank Trust Department purchased a new position in Discover Financial Services in the 4th quarter worth about $234,000. 86.94% of the stock is owned by institutional investors and hedge funds.

Discover Financial Services Trading Down 2.6 %

Discover Financial Services stock opened at $158.23 on Friday. Discover Financial Services has a one year low of $119.31 and a one year high of $205.76. The company’s fifty day moving average price is $184.39 and its two-hundred day moving average price is $170.03. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.09 and a quick ratio of 1.03. The company has a market capitalization of $39.81 billion, a price-to-earnings ratio of 9.91, a PEG ratio of 1.51 and a beta of 1.45.

Discover Financial Services (NYSE:DFS) last posted its earnings results on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share for the quarter, beating 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%. On average, analysts forecast that Discover Financial Services will post 13.88 earnings per share for the current fiscal year.

Discover Financial Services Announces Dividend

The company also recently declared 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. The ex-dividend date of this dividend is Friday, May 23rd. This represents a $2.80 dividend on an annualized basis and a yield of 1.77%. Discover Financial Services’s dividend payout ratio (DPR) is presently 17.54%.

Analyst Ratings Changes

DFS has been the subject of several recent analyst reports. Royal Bank of Canada raised their target price on shares of Discover Financial Services from $193.00 to $210.00 and gave the stock a “sector perform” rating in a report on Friday, January 24th. JPMorgan Chase & Co. lifted their price objective on shares of Discover Financial Services from $146.00 to $169.00 and gave the stock a “neutral” rating in a research report on Friday, January 24th. StockNews.com lowered Discover Financial Services from a “buy” rating to a “hold” rating in a report on Friday, January 24th. Wells Fargo & Company lifted their price target on Discover Financial Services from $185.00 to $214.00 and gave the company an “equal weight” rating in a report on Friday, January 24th. Finally, Barclays increased their price objective on Discover Financial Services from $186.00 to $209.00 and gave the stock an “overweight” rating in a research note on Friday, January 24th. Seven analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $192.40.

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; 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.