Generation Capital Management LLC Invests $529,000 in Discover Financial Services (NYSE:DFS)

Generation Capital Management LLC acquired a new position in Discover Financial Services (NYSE:DFS) in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund acquired 3,055 shares of the financial services provider’s stock, valued at approximately $529,000.

A number of other hedge funds also recently bought and sold shares of the stock. SBI Securities Co. Ltd. bought a new position in shares of Discover Financial Services in the 4th quarter worth $33,000. Flagship Wealth Advisors LLC purchased a new stake in shares of Discover Financial Services during the fourth quarter valued at about $34,000. Bfsg LLC purchased a new stake in shares of Discover Financial Services during the fourth quarter valued at about $35,000. Grove Bank & Trust grew its position in shares of Discover Financial Services by 78.1% in the 4th quarter. Grove Bank & Trust now owns 203 shares of the financial services provider’s stock worth $35,000 after buying an additional 89 shares during the last quarter. Finally, Hantz Financial Services Inc. purchased a new position in shares of Discover Financial Services in the 4th quarter worth approximately $37,000. Hedge funds and other institutional investors own 86.94% of the company’s stock.

Analysts Set New Price Targets

Several brokerages have weighed in on DFS. Barclays raised their target price on shares of Discover Financial Services from $186.00 to $209.00 and gave the company an “overweight” rating in a research note on Friday, January 24th. Truist Financial dropped their target price on Discover Financial Services from $262.00 to $219.00 and set a “buy” rating on the stock in a research note on Friday, March 21st. UBS Group raised Discover Financial Services from a “neutral” rating to a “buy” rating and upped their target price for the company from $150.00 to $239.00 in a research report on Monday, January 13th. Royal Bank of Canada upped their target price on Discover Financial Services from $193.00 to $210.00 and gave the company a “sector perform” rating in a research report on Friday, January 24th. Finally, Wells Fargo & Company lifted their price target on Discover Financial Services from $185.00 to $214.00 and gave the stock an “equal weight” rating in a research report on Friday, January 24th. Seven investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $188.40.

Discover Financial Services Stock Performance

NYSE DFS opened at $159.91 on Friday. The stock’s 50 day simple moving average is $172.12 and its 200-day simple moving average is $172.18. Discover Financial Services has a 1-year low of $119.95 and a 1-year high of $205.76. 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 cap of $40.23 billion, a PE ratio of 10.02, a price-to-earnings-growth ratio of 1.51 and a beta of 1.20.

Discover Financial Services (NYSE:DFS) last posted its quarterly earnings results on Wednesday, January 22nd. The financial services provider reported $5.11 EPS for the quarter, beating the consensus estimate of $3.13 by $1.98. Discover Financial Services had a return on equity of 26.18% and a net margin of 17.29%. As a group, equities research analysts anticipate that Discover Financial Services will post 13.88 EPS for the current fiscal year.

Discover Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Investors of record on Friday, May 23rd will be issued a $0.70 dividend. The ex-dividend date is Friday, May 23rd. This represents a $2.80 annualized dividend and a yield of 1.75%. Discover Financial Services’s dividend payout ratio (DPR) is currently 17.54%.

Discover Financial Services 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; 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.