Canada Pension Plan Investment Board Reduces Position in Discover Financial Services (NYSE:DFS)

Canada Pension Plan Investment Board lowered its holdings in Discover Financial Services (NYSE:DFS) by 31.3% in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 165,300 shares of the financial services provider’s stock after selling 75,200 shares during the quarter. Canada Pension Plan Investment Board owned approximately 0.07% of Discover Financial Services worth $14,320,000 at the end of the most recent reporting period.

Several other large investors have also recently modified their holdings of DFS. Modera Wealth Management LLC purchased a new stake in Discover Financial Services during the second quarter valued at approximately $263,000. Flputnam Investment Management Co. raised its holdings in shares of Discover Financial Services by 7.9% in the third quarter. Flputnam Investment Management Co. now owns 2,646 shares of the financial services provider’s stock worth $229,000 after buying an additional 193 shares during the last quarter. Dai ichi Life Insurance Company Ltd acquired a new stake in shares of Discover Financial Services in the third quarter worth $202,000. Tokio Marine Asset Management Co. Ltd. increased its stake in shares of Discover Financial Services by 5.3% in the second quarter. Tokio Marine Asset Management Co. Ltd. now owns 5,150 shares of the financial services provider’s stock worth $602,000 after acquiring an additional 258 shares during the period. Finally, ING Groep NV acquired a new stake in shares of Discover Financial Services in the third quarter worth $2,718,000. Institutional investors own 83.63% of the company’s stock.

Discover Financial Services Price Performance

Shares of DFS stock opened at $109.18 on Monday. The company has a debt-to-equity ratio of 1.48, a current ratio of 1.06 and a quick ratio of 1.12. The firm’s 50-day moving average is $106.98 and its two-hundred day moving average is $95.99. Discover Financial Services has a 12 month low of $79.04 and a 12 month high of $122.50. The company has a market capitalization of $27.30 billion, a PE ratio of 9.70, a price-to-earnings-growth ratio of 0.91 and a beta of 1.43.

Discover Financial Services (NYSE:DFSGet Free Report) last announced its quarterly earnings results on Thursday, January 18th. The financial services provider reported $1.54 earnings per share for the quarter, missing analysts’ consensus estimates of $2.50 by ($0.96). Discover Financial Services had a net margin of 14.30% and a return on equity of 21.81%. The company had revenue of $4.20 billion for the quarter, compared to analyst estimates of $4.10 billion. During the same quarter in the prior year, the business earned $3.77 earnings per share. Discover Financial Services’s revenue was up 12.8% on a year-over-year basis. Analysts predict that Discover Financial Services will post 11.28 earnings per share for the current year.

Discover Financial Services Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, March 7th. Shareholders of record on Thursday, February 22nd will be given a dividend of $0.70 per share. This represents a $2.80 dividend on an annualized basis and a dividend yield of 2.56%. The ex-dividend date of this dividend is Wednesday, February 21st. Discover Financial Services’s dividend payout ratio is presently 24.89%.

Analysts Set New Price Targets

Several analysts recently commented on the stock. Citigroup upgraded shares of Discover Financial Services from a “neutral” rating to a “buy” rating and raised their price target for the company from $93.00 to $133.00 in a research report on Wednesday, December 20th. Morgan Stanley raised shares of Discover Financial Services from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $105.00 to $133.00 in a report on Thursday. Barclays decreased their price objective on shares of Discover Financial Services from $124.00 to $112.00 and set an “equal weight” rating on the stock in a report on Friday, January 19th. Bank of America raised shares of Discover Financial Services from a “neutral” rating to a “buy” rating and increased their price objective for the company from $94.00 to $116.00 in a report on Wednesday, December 6th. Finally, Royal Bank of Canada decreased their price objective on shares of Discover Financial Services from $130.00 to $117.00 and set an “outperform” rating on the stock in a report on Friday, January 19th. Eight equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $114.24.

Check Out Our Latest Stock Report on Discover Financial Services

Insider Buying and Selling at Discover Financial Services

In other Discover Financial Services news, CFO John Greene sold 35,191 shares of Discover Financial Services stock in a transaction dated Friday, January 26th. The shares were sold at an average price of $106.51, for a total transaction of $3,748,193.41. Following the completion of the sale, the chief financial officer now directly owns 18,592 shares in the company, valued at $1,980,233.92. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 0.69% of the company’s stock.

About Discover Financial Services

(Free Report)

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.

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Institutional Ownership by Quarter for Discover Financial Services (NYSE:DFS)

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