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How to Buy Discover Financial Services Stock

Discover Financial Services

Discover Financial Services is a credit service company located in Illinois, United States, which is part of the Financial Services sector, and is traded under the ticker DFS on the NYSE exchange.

Discover Financial Services stock last closed at $117.15, down 1.55% from the previous day, and has decreased 1.07% in one year. It has overperformed other stocks in the Credit Services industry by 0.14 percentage points. Discover Financial Services stock is currently +33.67% from its 52-week low of $87.64, and -9.27% from its 52-week high of $129.12.

As of Feb 6, 2023, there are 273.23M shares of DFS outstanding. The market cap of DFS is $32.01B. In the last 24 hours, 2.28M DFS shares were traded.

How to Buy Discover Financial Services Stock

Wondering how to invest in Discover Financial Services stock? Here's how.
  1. Choose where to buy Discover Financial Services stock: You need to decide on an online brokerage, but don't worry - we've tried dozens of online stock brokerages and apps to help you choose where to buy Discover Financial Services stock.
  2. Sign up for your brokerage account: Sign up for 0% fee trading with the highest-rated brokerage we've found.
  3. Fund your brokerage account: Pick your method of payment and add your info.
  4. Analyze Discover Financial Services stock: The Discover Financial Services ticker symbol is DFS. Is Discover Financial Services stock a good investment? Should you buy shares of DFS? How do DFS's underlying business fundamentals look? Do top analysts think Discover Financial Services is a good buy? Why has DFS's stock price moved recently? (Hint: Our stock market research tools can help you evaluate if DFS is a good stock to buy).
  5. Execute your DFS trade: Decide if you will purchase DFS shares at the current market price or use a limit order to purchase DFS stock at a specific price.
  6. Get updates on your DFS investment: Create a watchlist to important updates regarding your new investment in Discover Financial Services shares.

Step 1: Choose where to buy Discover Financial Services stock

You will need a brokerage account to access the NYSE market and buy DFS shares.

A brokerage account is an investment account that enables you to buy and sell a variety of investments, such as stocks, bonds, mutual funds, and ETFs.

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Step 2: Sign up for your brokerage account

Now that you've selected the best brokerage, it's time to fill out some personal details so you are able to buy DFS today.

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  1. Click here to get started.
  2. Input your personal details to open your new brokerage account.
  1. Send your info by clicking the "Create Account" button.
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Step 3: Fund your brokerage account

Now that you've filled out your info on a mobile trading app, you can securely and quickly fund your account:

Check out the tutorial below for more details transferring funds into your new brokerage account.

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Step 4: Analyze Discover Financial Services stock

After you have figured out the best place to buy Discover Financial Services stock, it's very important to analyze their stock prior to buying, so you actually comprehend the risk as well as the opportunity.

Discover Financial Services quick stats

DFS Price
$117.15
1w %
2.37%
1y %
-1.07%
5y %
53.86%
P/E
7.6x
P/B
2.24x
P/S
2.96x
PEG
N/A
Revenue
$10.80B
Earnings
$4.34B
Fore. Rev. Growth
11.98%
Fore. Earn. Growth
-0.44%
Market Cap
$32.01B
Next Earnings
N/A
Next Dividend
Mar 9, 2023

Fundamentals of DFS

WallStreetZen was built to help everyday investors perform more in-depth fundamental analysis quickly.

You can view all of the due diligence checks on DFS's stock page.

Is DFS stock undervalued or overvalued?

Analysts use many financial metrics, analyses, models, and charts to gauge DFS's intrinsic value.

Using relative valuations methods:

  • DFS could be undervalued based on its P/E ratio of 7.6x, relative to Credit Services industry P/E ratio of 28.88x
  • DFS may be undervalued based on its P/B ratio of 2.24x, relative to Credit Services industry P/B ratio of 3.48x

You can do more valuation research on DFS's stock here.

How do DFS Financials look?

Positive Health Checks:

  • Total DFS debt is lower than 5 years ago, relative to shareholder equity.
  • DFS earnings of $5.66B is not enough to cover its interest payments.
  • DFS's operating cash flow of $6.31B allows it to safely service it's debt of $20.18B.

Negative Health Checks:

  • DFS profit margin has gone down from 44.3% to 40.2% in the past year.
  • DFS has a relatively high debt to equity ratio of 7.53.

Do analysts think it's a good time to buy Discover Financial Services stock

Out of 12 Wall Street analysts who give forecasts on DFS, the consensus analyst rating on DFS is a Buy

Please keep in mind that analyst forecasts are not stock recommendations, nor are they investment advice.

Latest DFS Analyst Ratings

James Fotheringham, a top 5% analyst from BMO Capital maintains DFS with a hold rating and lowers their DFS price target from $119.00 to $111.00, on Jan 20, 2023.

Moshe Orenbuch, a bottom 4% analyst from Credit Suisse maintains DFS with a buy rating and lowers their DFS price target from $123.00 to $120.00, on Jan 20, 2023.

Mark Devries, a top 20% analyst from Barclays downgrades DFS to a hold rating and raises their DFS price target from $115.00 to $120.00, on Jan 6, 2023.

Donald Fandetti, a top 11% analyst from Wells Fargo maintains DFS with a hold rating and raises their DFS price target from $103.00 to $115.00, on Dec 15, 2022.

Mihir Bhatia, a top 19% analyst from Bank of America downgrades DFS to a sell rating, on Dec 13, 2022.

You can dig deeper into what analysts are forecasting on the Discover Financial Services stock forecast page.

DFS Technical Indicators

SMA10
115.98
SMA20
110.78
SMA50
105.38
SMA100
102.04
SMA200
103.01
MACD
4.18
MACD Signal
3.49
MACD Histogram
0.69
RSI
64.28
Stochastic %K
93.47
Stochastic %D
93.12
StochRSI %K
77
StochRSI %D
76.98

DFS Growth Metrics

Last year, DFS earnings were $4.34B. Over the last 5 year, DFS's earnings have increased by 21.46% per year. This was faster than the Credit Services industry average of 16.86%.

Last year, DFS revenue was $10.80B. Over the past five year, DFS's revenue has increased by 8.56% per year. This was slower than the Credit Services industry average of 11.48%.

Find out more about DFS's earnings and revenue performance here.

What are DFS executives and large shareholders up to?

In the last 12 months, executives and large shareholders at DFS have sold more shares than they have bought.

Carlos Minetti, EVP Pres. - Consumer Banking of DFS, was the latest DFS insider to sell. They sold $826,000.00 worth of DFS shares on Feb 2, 2023.

Get more info about who owns DFS shares here.

Can I rely on DFS as an income stream?

Discover Financial Services pays a dividend of 1.96%, compared to the Credit Services industry's average dividend yield of 4.84%. If you owned $1,000 of DFS stock, you would have received $19.63 in the past year.

Discover Financial Services dividend payments have consistently grown over the past decade and have remained stable.

Find more data about Discover Financial Services dividend yield and history here.

What others are saying about DFS

One of the primary reasons eToro is our highest-rated brokerage is because of its social trading community.

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Step 5: Execute your DFS trade

There are two main options:

  • Market order: A market order is an order to buy or sell a stock at the best price on the market.
    Market orders are mostly fine.
  • Limit order: A limit order lets you buy or sell a security at a specific price (or better).
    If you want to make sure you're buying or selling at a given price, use a limit order.

Click the Open Trade button and your broker will execute the order.

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Step 6: Get updates on your DFS investment

Now that you own some DFS stock, you'll want to stay up-to-date on your new company.

Add DFS to a watchlist to get notified of important updates regarding your DFS stock.

DFS Feed

How to Buy Stock in Discover Financial Services

To reiterate, here are the 6 steps to buy stock in Discover Financial Services:

  1. Choose where to buy Discover Financial Services stock
  2. Sign up for your brokerage account
  3. Fund your brokerage account
  4. Analyze Discover Financial Services stock
  5. Execute your DFS trade
  6. Get updates on your DFS investment

If you need a brokerage account, eToro is our favorite option.

Get Started with eToro Today

If you want to track your new investment in Discover Financial Services, add DFS to your watchlist below.

NYSE: DFS
$117.15-1.85 (-1.55%)
Updated Feb 6, 2023
Open eToro Account
NYSE: DFS
$117.15-1.85 (-1.55%)
Updated Feb 6, 2023
Open eToro Account

FAQ

How much does it cost to buy one Discover Financial Services share?

As of Feb 6, 2023, it costs $117.15 to buy one share of Discover Financial Services stock.

Remember, eToro's fractional share buying allows you to buy partial shares of stocks and ETFs. Even if you only have $10, you can buy 0.085 shares of DFS.

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Is now a good time to buy Discover Financial Services stock?

According to 12 Wall Street analysts who monitor Discover Financial Services, their consensus recommendation is to buy Discover Financial Services stock.

What is the best way to buy Discover Financial Services stock?

One way to place an order for Discover Financial Services stock is with a brokerage account.
WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.