Zacks Research Has Bearish Estimate for DFS Q2 Earnings

Discover Financial Services (NYSE:DFS) – Zacks Research decreased their Q2 2026 earnings per share (EPS) estimates for shares of Discover Financial Services in a research note issued to investors on Tuesday, March 11th. Zacks Research analyst D. Chatterjee now forecasts that the financial services provider will earn $3.42 per share for the quarter, down from their prior forecast of $3.54. The consensus estimate for Discover Financial Services’ current full-year earnings is $13.88 per share. Zacks Research also issued estimates for Discover Financial Services’ Q4 2026 earnings at $4.30 EPS.

Other analysts also recently issued reports about the company. Truist Financial upped their price objective on Discover Financial Services from $233.00 to $262.00 and gave the company a “buy” rating in a research note on Monday, January 27th. UBS Group raised Discover Financial Services from a “neutral” rating to a “buy” rating and upped their price objective for the company from $150.00 to $239.00 in a research note on Monday, January 13th. Wells Fargo & Company increased 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. JPMorgan Chase & Co. increased their target price on Discover Financial Services from $146.00 to $169.00 and gave the stock a “neutral” rating in a research note on Friday, January 24th. Finally, StockNews.com downgraded Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Friday, January 24th. Eight analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $191.91.

Discover Financial Services Stock Up 3.4 %

DFS opened at $164.67 on Friday. The business has a 50 day moving average price of $187.69 and a two-hundred day moving average price of $168.06. 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 $41.43 billion, a PE ratio of 10.32, a P/E/G ratio of 1.51 and a beta of 1.45. Discover Financial Services has a 52 week low of $119.31 and a 52 week high of $205.76.

Discover Financial Services (NYSE:DFS) last announced its earnings results 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 return on equity of 26.18% and a net margin of 17.29%.

Discover Financial Services Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 6th. Investors of record on Friday, May 23rd will be paid a $0.70 dividend. This represents a $2.80 annualized dividend and a yield of 1.70%. The ex-dividend date is Friday, May 23rd. Discover Financial Services’s payout ratio is currently 17.54%.

Hedge Funds Weigh In On Discover Financial Services

Several hedge funds have recently bought and sold shares of the company. Atria Investments Inc grew its holdings in Discover Financial Services by 57.8% during the 3rd quarter. Atria Investments Inc now owns 12,783 shares of the financial services provider’s stock valued at $1,793,000 after buying an additional 4,684 shares during the last quarter. Wolverine Asset Management LLC grew its holdings in Discover Financial Services by 16.3% during the 3rd quarter. Wolverine Asset Management LLC now owns 5,000 shares of the financial services provider’s stock valued at $701,000 after buying an additional 700 shares during the last quarter. Venturi Wealth Management LLC grew its holdings in Discover Financial Services by 27.4% during the 3rd quarter. Venturi Wealth Management LLC now owns 316 shares of the financial services provider’s stock valued at $44,000 after buying an additional 68 shares during the last quarter. Apollon Wealth Management LLC grew its holdings in Discover Financial Services by 14.0% during the 3rd quarter. Apollon Wealth Management LLC now owns 4,179 shares of the financial services provider’s stock valued at $586,000 after buying an additional 513 shares during the last quarter. Finally, Aptus Capital Advisors LLC grew its holdings in Discover Financial Services by 47.6% during the 3rd quarter. Aptus Capital Advisors LLC now owns 2,774 shares of the financial services provider’s stock valued at $389,000 after buying an additional 895 shares during the last quarter. 86.94% of the stock is owned by hedge funds and other institutional investors.

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.