Prudential PLC Trims Stake in Discover Financial Services (NYSE:DFS)

Prudential PLC lessened its holdings in Discover Financial Services (NYSE:DFS) by 12.0% during the fourth quarter, according to its most recent disclosure with the SEC. The institutional investor owned 42,761 shares of the financial services provider’s stock after selling 5,831 shares during the period. Prudential PLC’s holdings in Discover Financial Services were worth $7,407,000 as of its most recent SEC filing.

Several other large investors also recently added to or reduced their stakes in the business. Hemington Wealth Management increased its stake in Discover Financial Services by 11.0% in the 4th quarter. Hemington Wealth Management now owns 503 shares of the financial services provider’s stock worth $87,000 after acquiring an additional 50 shares during the last quarter. UMB Bank n.a. increased its position in shares of Discover Financial Services by 0.6% in the fourth quarter. UMB Bank n.a. now owns 9,248 shares of the financial services provider’s stock worth $1,602,000 after purchasing an additional 56 shares during the last quarter. Stratos Wealth Partners LTD. raised its stake in Discover Financial Services by 0.9% in the fourth quarter. Stratos Wealth Partners LTD. now owns 6,158 shares of the financial services provider’s stock valued at $1,067,000 after purchasing an additional 57 shares in the last quarter. Brown Brothers Harriman & Co. raised its stake in Discover Financial Services by 4.2% in the fourth quarter. Brown Brothers Harriman & Co. now owns 1,411 shares of the financial services provider’s stock valued at $244,000 after purchasing an additional 57 shares in the last quarter. Finally, Invst LLC lifted its position in Discover Financial Services by 0.9% during the third quarter. Invst LLC now owns 7,253 shares of the financial services provider’s stock valued at $1,018,000 after purchasing an additional 62 shares during the last quarter. Institutional investors own 86.94% of the company’s stock.

Discover Financial Services Stock Down 9.0 %

Shares of NYSE DFS opened at $146.77 on Friday. The firm’s fifty day moving average is $181.35 and its 200 day moving average is $170.95. 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 company has a market cap of $36.93 billion, a price-to-earnings ratio of 9.20, a PEG ratio of 1.51 and a beta of 1.45.

Discover Financial Services (NYSE:DFS) last released its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.13 by $1.98. Discover Financial Services had a net margin of 17.29% and a return on equity of 26.18%. On average, equities research analysts expect that Discover Financial Services will post 13.88 earnings per share for the current year.

Discover Financial Services Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Shareholders of record on Friday, May 23rd will be issued a $0.70 dividend. This represents a $2.80 annualized dividend and a yield of 1.91%. The ex-dividend date of this dividend is Friday, May 23rd. Discover Financial Services’s dividend payout ratio (DPR) is currently 17.54%.

Analysts Set New Price Targets

Several research firms have recently weighed in on DFS. Barclays raised their price objective on shares of Discover Financial Services from $186.00 to $209.00 and gave the company an “overweight” rating in a research report on Friday, January 24th. StockNews.com lowered Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Wednesday. Royal Bank of Canada increased their price objective 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. UBS Group raised Discover Financial Services from a “neutral” rating to a “buy” rating and raised their price objective for the company from $150.00 to $239.00 in a report on Monday, January 13th. Finally, Wells Fargo & Company upped their target price on Discover Financial Services from $185.00 to $214.00 and gave the stock an “equal weight” rating in a research note on Friday, January 24th. Seven investment analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $192.40.

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.