LRI Investments LLC Buys New Holdings in Discover Financial Services (NYSE:DFS)

LRI Investments LLC bought a new stake in Discover Financial Services (NYSE:DFS) during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm bought 1,388 shares of the financial services provider’s stock, valued at approximately $172,000.

Several other hedge funds have also recently added to or reduced their stakes in DFS. Partnership Wealth Management LLC acquired a new stake in Discover Financial Services in the fourth quarter valued at approximately $25,000. MeadowBrook Investment Advisors LLC purchased a new position in Discover Financial Services in the fourth quarter valued at approximately $31,000. Riverview Trust Co purchased a new position in Discover Financial Services in the first quarter valued at approximately $34,000. Turtle Creek Wealth Advisors LLC purchased a new position in Discover Financial Services in the fourth quarter valued at approximately $35,000. Finally, West Paces Advisors Inc. increased its stake in Discover Financial Services by 110.7% in the first quarter. West Paces Advisors Inc. now owns 316 shares of the financial services provider’s stock valued at $41,000 after purchasing an additional 166 shares during the last quarter. Institutional investors and hedge funds own 86.94% of the company’s stock.

Analyst Ratings Changes

Several equities analysts have commented on DFS shares. Royal Bank of Canada increased their price target on shares of Discover Financial Services from $140.00 to $148.00 and gave the company a “sector perform” rating in a research note on Friday, July 19th. Keefe, Bruyette & Woods increased their price target on shares of Discover Financial Services from $145.00 to $160.00 and gave the company an “outperform” rating in a research note on Monday, July 8th. BTIG Research started coverage on shares of Discover Financial Services in a research note on Friday, June 7th. They issued a “neutral” rating on the stock. Jefferies Financial Group raised their target price on shares of Discover Financial Services from $145.00 to $150.00 and gave the stock a “buy” rating in a research report on Tuesday, July 9th. Finally, StockNews.com started coverage on shares of Discover Financial Services in a research report on Tuesday, July 23rd. They set a “hold” rating on the stock. Thirteen analysts have rated the stock with a hold rating and eight have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $131.33.

Discover Financial Services Price Performance

Discover Financial Services stock traded up $0.67 during midday trading on Friday, reaching $142.29. The company’s stock had a trading volume of 829,096 shares, compared to its average volume of 1,464,399. Discover Financial Services has a fifty-two week low of $79.04 and a fifty-two week high of $147.61. The company has a debt-to-equity ratio of 1.50, a quick ratio of 1.12 and a current ratio of 1.07. The stock’s 50 day simple moving average is $128.95 and its 200 day simple moving average is $122.35. The firm has a market capitalization of $35.68 billion, a PE ratio of 16.22, a P/E/G ratio of 0.94 and a beta of 1.44.

Discover Financial Services (NYSE:DFS) last released its earnings results on Wednesday, July 17th. The financial services provider reported $6.06 EPS for the quarter, beating analysts’ consensus estimates of $3.06 by $3.00. Discover Financial Services had a return on equity of 20.53% and a net margin of 12.88%. The company had revenue of $4.54 billion during the quarter, compared to the consensus estimate of $4.18 billion. During the same quarter last year, the company earned $3.54 earnings per share. Discover Financial Services’s quarterly revenue was up 17.0% compared to the same quarter last year. On average, equities research analysts forecast that Discover Financial Services will post 12.23 earnings per share for the current year.

Discover Financial Services Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 5th. Stockholders of record on Thursday, August 22nd will be paid a dividend of $0.70 per share. This represents a $2.80 annualized dividend and a dividend yield of 1.97%. The ex-dividend date is Thursday, August 22nd. Discover Financial Services’s dividend payout ratio (DPR) is presently 31.93%.

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.