Last Updated: 14 Nov 2024
Executive Summary
Discover Financial Services (DFS) is a leading financial services company with a market capitalization of $44.63 billion. The company's strong fundamentals and positive analyst ratings make it an attractive investment opportunity. The stock is currently trading at $174.65, below its 52-week high of $188.26.
Company Overview
Discover Financial Services is an American financial services company that owns and operates Discover Bank, which offers checking and savings accounts, personal loans, home equity loans, student loans, and credit cards. It also owns and operates the Discover and Pulse networks and owns Diners Club International. Discover is currently headquartered in the Chicago suburb of Riverwoods, Illinois.
Fundamental Analysis
Discover Financial Services has strong fundamentals. The company's revenue and earnings have grown steadily in recent years. In the latest quarter, the company reported revenue of $11.69 billion and earnings per share of $12.43. The company's profit margin is 27.3%, and its return on equity is 20.3%.
Discover Financial Services has a strong balance sheet with $104.65 billion in total assets and $76.5 billion in total liabilities. The company's debt-to-equity ratio is 0.65, which is considered to be a manageable level.
Technical Analysis
The technical analysis of Discover Financial Services is mixed. The stock's price has been trending higher in recent months, but it has recently pulled back from its 52-week high. The stock's 50-day moving average is $145.33, and its 200-day moving average is $130.57. The stock's relative strength index (RSI) is 57.2, which indicates that the stock is neither overbought nor oversold.
Short Term Outlook
The short-term outlook for Discover Financial Services is positive. The stock's price has been trending higher in recent months, and it is currently trading above its 50-day moving average. The stock's RSI is also indicating that the stock is not overbought.
Long Term Outlook
The long-term outlook for Discover Financial Services is also positive. The company's strong fundamentals and positive analyst ratings make it an attractive investment opportunity. The stock's price is currently trading below its 52-week high, which provides investors with an opportunity to buy the stock at a discount.
Analyst Recommendations
Analysts are bullish on Discover Financial Services. The consensus analyst rating for the stock is "Buy." The average analyst target price for the stock is $155.09, which represents a potential upside of 11.1% from the current price.
