Birnam Oak Advisors LP Invests $21.17 Million in Discover Financial Services (NYSE:DFS)

Birnam Oak Advisors LP acquired a new stake in shares of Discover Financial Services (NYSE:DFS - Free Report) in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund acquired 122,187 shares of the financial services provider's stock, valued at approximately $21,166,000. Discover Financial Services comprises approximately 10.3% of Birnam Oak Advisors LP's investment portfolio, making the stock its 3rd largest position.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Flagship Wealth Advisors LLC bought a new stake in Discover Financial Services during the fourth quarter valued at approximately $34,000. Signaturefd LLC grew its position in shares of Discover Financial Services by 2.1% during the 4th quarter. Signaturefd LLC now owns 7,461 shares of the financial services provider's stock valued at $1,292,000 after acquiring an additional 152 shares during the period. Parallel Advisors LLC increased its stake in shares of Discover Financial Services by 5.9% in the 4th quarter. Parallel Advisors LLC now owns 6,894 shares of the financial services provider's stock worth $1,194,000 after purchasing an additional 384 shares in the last quarter. Gallacher Capital Management LLC raised its holdings in Discover Financial Services by 8.3% in the 4th quarter. Gallacher Capital Management LLC now owns 2,076 shares of the financial services provider's stock worth $360,000 after purchasing an additional 159 shares during the period. Finally, Sovereign Investment Advisors LLC purchased a new position in Discover Financial Services during the fourth quarter valued at $249,000. Institutional investors own 86.94% of the company's stock.

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Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on DFS shares. StockNews.com cut Discover Financial Services from a "buy" rating to a "hold" rating in a research report on Friday, January 24th. UBS Group upgraded Discover Financial Services from a "neutral" rating to a "buy" rating and increased their target price for the stock from $150.00 to $239.00 in a research report on Monday, January 13th. Keefe, Bruyette & Woods boosted their price target on Discover Financial Services from $170.00 to $232.00 and gave the stock an "outperform" rating in a report on Monday, December 9th. Royal Bank of Canada boosted 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. Finally, Truist Financial cut their target price on shares of Discover Financial Services from $262.00 to $219.00 and set a "buy" rating for the company in a research note on Friday. Eight analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $188.00.

Discover Financial Services Trading Up 0.3 %

NYSE DFS traded up $0.43 during trading hours on Friday, hitting $164.90. 1,942,331 shares of the company were exchanged, compared to its average volume of 1,409,399. Discover Financial Services has a 52 week low of $119.31 and a 52 week high of $205.76. The company has a quick ratio of 1.03, a current ratio of 1.09 and a debt-to-equity ratio of 1.09. The stock has a 50-day moving average price of $186.28 and a 200 day moving average price of $168.46. The stock has a market cap of $41.49 billion, a PE ratio of 10.33, a price-to-earnings-growth ratio of 1.51 and a beta of 1.45.

Discover Financial Services (NYSE:DFS - Get Free Report) last announced its earnings results on Wednesday, January 22nd. The financial services provider reported $5.11 EPS for the quarter, topping analysts' consensus estimates of $3.13 by $1.98. Discover Financial Services had a return on equity of 26.18% and a net margin of 17.29%. Analysts forecast that Discover Financial Services will post 13.88 earnings per share for the current fiscal year.

Discover Financial Services Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, June 6th. Stockholders of record on Friday, May 23rd will be paid a $0.70 dividend. This represents a $2.80 annualized dividend and a dividend yield of 1.70%. The ex-dividend date is Friday, May 23rd. Discover Financial Services's dividend payout ratio is currently 17.54%.

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.