Zacks Research Issues Negative Estimate for DFS Earnings

Discover Financial Services (NYSE:DFS - Free Report) - Research analysts at Zacks Research dropped their Q2 2025 earnings estimates for Discover Financial Services in a research report issued on Thursday, January 16th. Zacks Research analyst D. Chatterjee now expects that the financial services provider will post earnings per share of $2.99 for the quarter, down from their previous estimate of $3.22. The consensus estimate for Discover Financial Services' current full-year earnings is $14.17 per share. Zacks Research also issued estimates for Discover Financial Services' Q3 2025 earnings at $3.12 EPS, Q4 2025 earnings at $2.63 EPS, Q2 2026 earnings at $3.20 EPS, Q3 2026 earnings at $4.21 EPS, Q4 2026 earnings at $4.31 EPS and FY2026 earnings at $14.28 EPS.

Several other research firms have also recently weighed in on DFS. Truist Financial began coverage on shares of Discover Financial Services in a research note on Tuesday, January 7th. They issued a "buy" rating and a $233.00 target price for the company. UBS Group upgraded shares of Discover Financial Services from a "neutral" rating to a "buy" rating and increased their price objective for the company from $150.00 to $239.00 in a research note on Monday, January 13th. Barclays upgraded shares of Discover Financial Services from an "equal weight" rating to an "overweight" rating and lifted their target price for the company from $137.00 to $186.00 in a research report on Monday, January 6th. Evercore ISI increased their price target on shares of Discover Financial Services from $156.00 to $163.00 and gave the stock an "in-line" rating in a research report on Wednesday, October 30th. Finally, Keefe, Bruyette & Woods upped their price objective on Discover Financial Services from $170.00 to $232.00 and gave the company an "outperform" rating in a research note on Monday, December 9th. Nine investment analysts have rated the stock with a hold rating and nine have issued a buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $171.71.

Discover Financial Services Stock Performance

Discover Financial Services stock traded up $2.13 during mid-day trading on Monday, reaching $187.17. The company had a trading volume of 1,610,061 shares, compared to its average volume of 1,046,423. The company has a 50 day moving average of $176.94 and a 200-day moving average of $152.55. Discover Financial Services has a 52 week low of $96.46 and a 52 week high of $189.27. The company has a quick ratio of 1.03, a current ratio of 1.10 and a debt-to-equity ratio of 1.09. The firm has a market cap of $47.04 billion, a price-to-earnings ratio of 15.11, a PEG ratio of 0.99 and a beta of 1.46.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the stock. Intech Investment Management LLC boosted its holdings in Discover Financial Services by 189.2% in the second quarter. Intech Investment Management LLC now owns 38,373 shares of the financial services provider's stock valued at $5,020,000 after acquiring an additional 25,103 shares during the last quarter. Brighton Jones LLC grew its position in shares of Discover Financial Services by 3.9% during the 2nd quarter. Brighton Jones LLC now owns 4,357 shares of the financial services provider's stock worth $570,000 after buying an additional 162 shares during the period. Benjamin F. Edwards & Company Inc. raised its stake in shares of Discover Financial Services by 12.4% during the second quarter. Benjamin F. Edwards & Company Inc. now owns 7,397 shares of the financial services provider's stock worth $968,000 after buying an additional 818 shares during the last quarter. Benjamin Edwards Inc. boosted its stake in Discover Financial Services by 6.1% in the second quarter. Benjamin Edwards Inc. now owns 1,813 shares of the financial services provider's stock valued at $237,000 after acquiring an additional 105 shares during the last quarter. Finally, Canada Pension Plan Investment Board grew its holdings in Discover Financial Services by 22.5% during the 2nd quarter. Canada Pension Plan Investment Board now owns 298,440 shares of the financial services provider's stock worth $39,039,000 after acquiring an additional 54,820 shares during the period. Institutional investors own 86.94% of the company's stock.

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.