Discover Finl DFS underwent analysis by 14 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 3 | 7 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 1 | 1 | 5 | 0 | 0 |
| 2M Ago | 2 | 1 | 1 | 0 | 0 |
| 3M Ago | 1 | 0 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $116.07, a high estimate of $140.00, and a low estimate of $94.00. This upward trend is apparent, with the current average reflecting a 2.49% increase from the previous average price target of $113.25.
Diving into Analyst Ratings: An In-Depth Exploration
In examining recent analyst actions, we gain insights into how financial experts perceive Discover Finl. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Betsy Graseck | Morgan Stanley | Raises | Overweight | $133.00 | $105.00 |
| James Fotheringham | BMO Capital | Lowers | Market Perform | $104.00 | $116.00 |
| Meng Jiao | Deutsche Bank | Lowers | Hold | $111.00 | $140.00 |
| Jon Arfstrom | RBC Capital | Lowers | Outperform | $117.00 | $130.00 |
| Ryan Nash | Goldman Sachs | Lowers | Buy | $121.00 | $139.00 |
| Mark Devries | Barclays | Lowers | Equal-Weight | $112.00 | $124.00 |
| Saul Martinez | HSBC | Lowers | Hold | $107.00 | $121.00 |
| Meng Jiao | Deutsche Bank | Announces | Hold | $140.00 | - |
| Kevin Barker | Piper Sandler | Raises | Overweight | $129.00 | $104.00 |
| Arren Cyganovich | Citigroup | Raises | Buy | $133.00 | $93.00 |
| Ryan Nash | Goldman Sachs | Raises | Buy | $110.00 | $98.00 |
| Vincent Caintic | Stephens & Co. | Maintains | Equal-Weight | $98.00 | - |
| Mihir Bhatia | B of A Securities | Raises | Buy | $116.00 | $94.00 |
| Betsy Graseck | Morgan Stanley | Lowers | Equal-Weight | $94.00 | $95.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Discover Finl. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Discover Finl compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Discover Finl's stock. This comparison reveals trends in analysts' expectations over time.
Capture valuable insights into Discover Finl's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on Discover Finl analyst ratings.
About Discover Finl
Discover Financial Services is a bank operating in two distinct segments: direct banking and payment services. The company issues credit and debit cards and provides other consumer banking products including deposit accounts, students loans, and other personal loans. It also operates the Discover, Pulse, and Diners Club networks. The Discover network is the fourth-largest payment network in the United States as ranked by overall purchase volume, and Pulse is one of the largest ATM networks in the country.
Discover Finl's Economic Impact: An Analysis
Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.
Revenue Growth: Discover Finl's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 3.76%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.
Net Margin: Discover Finl's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 9.2%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Discover Finl's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 2.76%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Discover Finl's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.26%, the company may face hurdles in achieving optimal financial returns.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.44.
The Basics of Analyst Ratings
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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