Primecap Management Co. CA Has $98.45 Million Stock Holdings in Discover Financial Services (NYSE:DFS)

Primecap Management Co. CA reduced its position in shares of Discover Financial Services (NYSE:DFS) by 8.4% during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 701,743 shares of the financial services provider’s stock after selling 64,470 shares during the period. Primecap Management Co. CA’s holdings in Discover Financial Services were worth $98,448,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds also recently made changes to their positions in DFS. Opal Wealth Advisors LLC bought a new position in Discover Financial Services during the 2nd quarter worth $26,000. DiNuzzo Private Wealth Inc. lifted its stake in shares of Discover Financial Services by 506.5% in the third quarter. DiNuzzo Private Wealth Inc. now owns 188 shares of the financial services provider’s stock worth $26,000 after acquiring an additional 157 shares during the period. Y.D. More Investments Ltd boosted its holdings in Discover Financial Services by 147.8% in the second quarter. Y.D. More Investments Ltd now owns 223 shares of the financial services provider’s stock valued at $29,000 after acquiring an additional 133 shares during the last quarter. Whittier Trust Co. of Nevada Inc. boosted its holdings in Discover Financial Services by 72.5% in the second quarter. Whittier Trust Co. of Nevada Inc. now owns 226 shares of the financial services provider’s stock valued at $30,000 after acquiring an additional 95 shares during the last quarter. Finally, Larson Financial Group LLC increased its position in Discover Financial Services by 348.2% during the 2nd quarter. Larson Financial Group LLC now owns 251 shares of the financial services provider’s stock valued at $33,000 after purchasing an additional 195 shares during the period. Institutional investors and hedge funds own 86.94% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on DFS. StockNews.com lowered shares of Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Monday, November 4th. Evercore ISI upped their price target on shares of Discover Financial Services from $156.00 to $163.00 and gave the company an “in-line” rating in a research report on Wednesday, October 30th. Royal Bank of Canada lifted their price objective on Discover Financial Services from $148.00 to $161.00 and gave the stock a “sector perform” rating in a research report on Friday, October 18th. Finally, Wells Fargo & Company upped their target price on Discover Financial Services from $152.00 to $160.00 and gave the company an “equal weight” rating in a research report on Friday, October 18th. Thirteen analysts have rated the stock with a hold rating and seven have issued a buy rating to the stock. Based on data from MarketBeat, Discover Financial Services currently has an average rating of “Hold” and a consensus target price of $138.81.

Discover Financial Services Price Performance

DFS stock opened at $175.01 on Friday. The company has a debt-to-equity ratio of 1.28, a quick ratio of 1.04 and a current ratio of 1.08. The business has a 50-day simple moving average of $151.33 and a two-hundred day simple moving average of $137.26. The company has a market capitalization of $43.94 billion, a P/E ratio of 14.12, a price-to-earnings-growth ratio of 1.10 and a beta of 1.41. Discover Financial Services has a 52-week low of $85.19 and a 52-week high of $188.26.

Discover Financial Services (NYSE:DFS) last announced its earnings results on Wednesday, October 16th. The financial services provider reported $3.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.28 by $0.41. The company had revenue of $5.91 billion for the quarter, compared to analysts’ expectations of $4.36 billion. Discover Financial Services had a return on equity of 21.38% and a net margin of 13.78%. During the same quarter in the previous year, the firm earned $2.59 earnings per share. Research analysts expect that Discover Financial Services will post 13.34 EPS for the current fiscal year.

Discover Financial Services Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 5th. Stockholders of record on Thursday, November 21st will be issued a $0.70 dividend. The ex-dividend date is Thursday, November 21st. This represents a $2.80 annualized dividend and a dividend yield of 1.60%. Discover Financial Services’s dividend payout ratio is currently 22.60%.

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.