What is Zacks Research’s Estimate for DFS Q1 Earnings?

Discover Financial Services (NYSE:DFS) – Research analysts at Zacks Research reduced their Q1 2025 EPS estimates for Discover Financial Services in a report issued on Wednesday, April 9th. Zacks Research analyst D. Chatterjee now anticipates that the financial services provider will earn $3.24 per share for the quarter, down from their prior estimate of $3.28. 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’ Q2 2025 earnings at $3.34 EPS, Q3 2025 earnings at $3.30 EPS, Q4 2025 earnings at $3.15 EPS, FY2025 earnings at $13.04 EPS, Q1 2026 earnings at $3.77 EPS, Q4 2026 earnings at $4.28 EPS, FY2026 earnings at $15.15 EPS, Q1 2027 earnings at $4.35 EPS and FY2027 earnings at $17.59 EPS.

Discover Financial Services (NYSE:DFS) last issued its quarterly earnings data on Wednesday, January 22nd. The financial services provider reported $5.11 EPS 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%.

A number of other equities analysts have also recently issued reports on DFS. 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 report on Friday, January 24th. StockNews.com downgraded shares of Discover Financial Services from a “buy” rating to a “hold” rating in a research report on Tuesday. Barclays upped their price target 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. Truist Financial cut their price target on shares of Discover Financial Services from $262.00 to $219.00 and set a “buy” rating on the stock in a report on Friday, March 21st. Finally, 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 report on Friday, January 24th. Seven investment analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat, Discover Financial Services currently has an average rating of “Hold” and a consensus target price of $188.40.

Discover Financial Services Stock Up 0.6 %

Shares of DFS opened at $160.03 on Monday. The company has a debt-to-equity ratio of 1.09, a quick ratio of 1.03 and a current ratio of 1.09. Discover Financial Services has a 52 week low of $119.31 and a 52 week high of $205.76. The stock has a market capitalization of $40.27 billion, a price-to-earnings ratio of 10.03, a PEG ratio of 1.51 and a beta of 1.20. The stock has a fifty day moving average of $173.69 and a 200-day moving average of $172.15.

Institutional Investors Weigh In On Discover Financial Services

A number of hedge funds have recently added to or reduced their stakes in DFS. Vanguard Group Inc. increased its stake in shares of Discover Financial Services by 0.9% in the 4th quarter. Vanguard Group Inc. now owns 31,045,208 shares of the financial services provider’s stock valued at $5,377,961,000 after acquiring an additional 290,937 shares in the last quarter. FMR LLC increased its stake in Discover Financial Services by 0.8% in the fourth quarter. FMR LLC now owns 7,553,016 shares of the financial services provider’s stock valued at $1,308,409,000 after purchasing an additional 59,154 shares in the last quarter. Geode Capital Management LLC increased its stake in Discover Financial Services by 2.7% in the fourth quarter. Geode Capital Management LLC now owns 6,240,451 shares of the financial services provider’s stock valued at $1,082,826,000 after purchasing an additional 165,589 shares in the last quarter. Norges Bank acquired a new position in shares of Discover Financial Services during the fourth quarter valued at about $724,720,000. Finally, Invesco Ltd. boosted its position in shares of Discover Financial Services by 38.5% during the 4th quarter. Invesco Ltd. now owns 2,974,471 shares of the financial services provider’s stock worth $515,268,000 after purchasing an additional 826,287 shares in the last quarter. 86.94% of the stock is currently owned by institutional investors.

Discover Financial Services Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, June 6th. Investors of record on Friday, May 23rd will be given a dividend of $0.70 per share. The ex-dividend date of this dividend is Friday, May 23rd. This represents a $2.80 annualized dividend and a dividend yield of 1.75%. Discover Financial Services’s payout ratio is 17.54%.

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.