Financial services company Discover Financial Services (NYSE:DFS) dropped in pre-market trading after the company reported Q4 earnings of $1.54 per share. This was a decline of 59% year-over-year and below consensus estimates of $2.49 per share. However, it generated net revenues (net of interest expense) of $4.2 billion, up by 13% year-over-year and above Street estimates of $4.1 billion.
Moreover, the company declared a semi-annual dividend of $27.50 per depository share for Fixed Rate Non-Cumulative Series C Preferred Stock, payable on April 30 to shareholders of record on April 15. DFS also declared a semi-annual dividend of $30.625 per depository share for Series D Preferred Stock, payable on March 25 to holders of record on February 22.
Additionally, Discovery Financial declared a quarterly dividend of $0.70 per share for common stock, payable on March 7, 2024.
Is DFS a Good Stock to Buy?
Analysts remain cautiously optimistic about DFS stock with a Moderate Buy consensus rating based on eight Buys and nine Holds. Over the past year, DFS stock has gained by more than 9%, and the average DFS price target of $118.24 implies an upside potential of 8.7% at current levels.
