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.
- 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.
- Sign up for your brokerage account: Sign up for 0% fee trading with the highest-rated brokerage we've found.
- Fund your brokerage account: Pick your method of payment and add your info.
- 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).
- 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.
- 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.
Our preferred brokerage: eToro
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Open eToro AccountStep 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.
How to Start a New Account on eToro
- Click here to get started.
- Input your personal details to open your new brokerage account.
- Send your info by clicking the "Create Account" button.
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.
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
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
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.
Click below to find out what other community members have to say.
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.
If you need additional assistance investing in stocks on eToro, click the helpful video below:
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:
- Choose where to buy Discover Financial Services stock
- Sign up for your brokerage account
- Fund your brokerage account
- Analyze Discover Financial Services stock
- Execute your DFS trade
- Get updates on your DFS investment
If you need a brokerage account, eToro is our favorite option.
Get Started with eToro TodayIf you want to track your new investment in Discover Financial Services, add DFS to your watchlist below.
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