Discover Financial Services (NYSE:DFS) Shares Bought by Canada Pension Plan Investment Board

Canada Pension Plan Investment Board lifted its holdings in Discover Financial Services (NYSE:DFS) by 22.5% during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 298,440 shares of the financial services provider’s stock after purchasing an additional 54,820 shares during the period. Canada Pension Plan Investment Board owned about 0.12% of Discover Financial Services worth $39,039,000 at the end of the most recent reporting period.

Other hedge funds also recently made changes to their positions in the company. Opal Wealth Advisors LLC acquired a new position in shares of Discover Financial Services in the 2nd quarter worth approximately $26,000. Y.D. More Investments Ltd grew its stake in shares of Discover Financial Services by 147.8% in the 2nd quarter. Y.D. More Investments Ltd now owns 223 shares of the financial services provider’s stock worth $29,000 after purchasing an additional 133 shares during the last quarter. Whittier Trust Co. of Nevada Inc. grew its stake in shares of Discover Financial Services by 72.5% in the 2nd quarter. Whittier Trust Co. of Nevada Inc. now owns 226 shares of the financial services provider’s stock worth $30,000 after purchasing an additional 95 shares during the last quarter. Larson Financial Group LLC grew its stake in shares of Discover Financial Services by 348.2% in the 2nd quarter. Larson Financial Group LLC now owns 251 shares of the financial services provider’s stock worth $33,000 after purchasing an additional 195 shares during the last quarter. Finally, Riverview Trust Co acquired a new position in shares of Discover Financial Services in the 1st quarter worth approximately $34,000. Institutional investors and hedge funds own 86.94% of the company’s stock.

Discover Financial Services Stock Performance

Shares of DFS opened at $142.49 on Friday. The firm has a market cap of $35.73 billion, a price-to-earnings ratio of 16.25, a price-to-earnings-growth ratio of 0.86 and a beta of 1.42. The company’s fifty day moving average is $134.78 and its 200-day moving average is $128.63. The company has a quick ratio of 1.04, a current ratio of 1.12 and a debt-to-equity ratio of 1.28. Discover Financial Services has a 12 month low of $79.04 and a 12 month high of $147.61.

Discover Financial Services (NYSE:DFS) last posted its earnings results on Wednesday, July 17th. The financial services provider reported $6.06 EPS for the quarter, topping the consensus estimate of $3.06 by $3.00. Discover Financial Services had a net margin of 12.88% and a return on equity of 20.92%. The firm had revenue of $4.54 billion for the quarter, compared to the consensus estimate of $4.18 billion. During the same period in the prior year, the business posted $3.54 earnings per share. The business’s quarterly revenue was up 17.0% on a year-over-year basis. Equities analysts expect that Discover Financial Services will post 12.87 EPS for the current fiscal year.

Discover Financial Services Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, September 5th. Investors of record on Thursday, August 22nd were issued a $0.70 dividend. The ex-dividend date of this dividend was Thursday, August 22nd. This represents a $2.80 annualized dividend and a yield of 1.97%. Discover Financial Services’s dividend payout ratio (DPR) is currently 31.93%.

Analyst Ratings Changes

Several equities analysts have recently issued reports on DFS shares. Keefe, Bruyette & Woods lifted their price objective on shares of Discover Financial Services from $145.00 to $160.00 and gave the stock an “outperform” rating in a research note on Monday, July 8th. Jefferies Financial Group lifted 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. BMO Capital Markets lifted their target price on shares of Discover Financial Services from $115.00 to $119.00 and gave the stock a “market perform” rating in a research report on Friday, July 19th. Barclays lifted their target price on shares of Discover Financial Services from $135.00 to $137.00 and gave the stock an “equal weight” rating in a research report on Friday, July 19th. Finally, BTIG Research initiated coverage on shares of Discover Financial Services in a research report on Friday, June 7th. They issued a “neutral” rating on the stock. Thirteen analysts have rated the stock with a hold rating and eight have issued a buy rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $132.94.

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; 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.