California Public Employees Retirement System Raises Holdings in Discover Financial Services (NYSE:DFS)

California Public Employees Retirement System increased its position in shares of Discover Financial Services (NYSE:DFS) by 42.0% during the fourth quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 697,169 shares of the financial services provider’s stock after buying an additional 206,348 shares during the period. California Public Employees Retirement System owned 0.28% of Discover Financial Services worth $120,771,000 as of its most recent filing with the SEC.

Other large investors have also modified their holdings of the company. D.A. Davidson & CO. raised its holdings in shares of Discover Financial Services by 5.7% during the third quarter. D.A. Davidson & CO. now owns 10,029 shares of the financial services provider’s stock valued at $1,407,000 after acquiring an additional 539 shares during the last quarter. Townsquare Capital LLC increased its holdings in shares of Discover Financial Services by 4.5% during the 3rd quarter. Townsquare Capital LLC now owns 4,769 shares of the financial services provider’s stock worth $669,000 after buying an additional 204 shares during the last quarter. Bridgewater Associates LP acquired a new stake in Discover Financial Services during the third quarter worth $500,000. Public Sector Pension Investment Board raised its position in Discover Financial Services by 3.1% in the third quarter. Public Sector Pension Investment Board now owns 43,825 shares of the financial services provider’s stock valued at $6,148,000 after purchasing an additional 1,300 shares during the period. Finally, Caisse DE Depot ET Placement DU Quebec lifted its stake in shares of Discover Financial Services by 2.5% in the 3rd quarter. Caisse DE Depot ET Placement DU Quebec now owns 57,400 shares of the financial services provider’s stock valued at $8,053,000 after purchasing an additional 1,400 shares during the last quarter. Institutional investors and hedge funds own 86.94% of the company’s stock.

Discover Financial Services Price Performance

Shares of NYSE DFS opened at $158.23 on Monday. The stock’s 50-day moving average is $184.39 and its two-hundred day moving average is $170.32. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.09 and a quick ratio of 1.03. The company has a market cap of $39.81 billion, a price-to-earnings ratio of 9.91, a price-to-earnings-growth ratio of 1.51 and a beta of 1.45. Discover Financial Services has a 1-year low of $119.31 and a 1-year high of $205.76.

Discover Financial Services (NYSE:DFS) last issued its earnings results on Wednesday, January 22nd. The financial services provider reported $5.11 earnings per share for the quarter, beating the consensus estimate of $3.13 by $1.98. Discover Financial Services had a net margin of 17.29% and a return on equity of 26.18%. Analysts forecast that Discover Financial Services will post 13.88 EPS for the current fiscal year.

Discover Financial Services Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 6th. Investors of record on Friday, May 23rd will be paid a dividend of $0.70 per share. The ex-dividend date of this dividend is Friday, May 23rd. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.77%. Discover Financial Services’s payout ratio is currently 17.54%.

Wall Street Analyst Weigh In

Several brokerages have weighed in on DFS. StockNews.com lowered shares of Discover Financial Services from a “buy” rating to a “hold” rating in a research note on Friday, January 24th. Wells Fargo & Company lifted their target price on shares of Discover Financial Services from $185.00 to $214.00 and gave the company an “equal weight” rating in a report on Friday, January 24th. Barclays upped their price target on Discover Financial Services from $186.00 to $209.00 and gave the stock an “overweight” rating in a research note on Friday, January 24th. Keefe, Bruyette & Woods lifted their price objective on Discover Financial Services from $170.00 to $232.00 and gave the company an “outperform” rating in a research note on Monday, December 9th. Finally, Royal Bank of Canada increased their target price on Discover Financial Services from $193.00 to $210.00 and gave the stock a “sector perform” rating in a research note on Friday, January 24th. Seven equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $192.40.

Discover Financial Services Company 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.