Discover Financial Services

DFS

Equity

ISIN null / Valor 3181247

New York Stock Exchange, Inc (2025-05-16)

USD 200.05-0.21%

Discover Financial Services
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About company

Discover Financial Services is a global financial services company that offers a range of products and services, including credit cards, banking, and payment processing. The company's acquisition of Diners Club International in 2008 expanded its global reach, allowing Discover cardholders to use their cards on the Diners Club network. Discover has a unique approach to partnerships, which has led to rapid growth and increased acceptance of its cards worldwide. Additionally, Discover's acquisition of Greenwood Trust Company in 1985, which later became Discover Bank, has further expanded its banking services. The company is committed to enhancing employment opportunities and promoting equity in the communities where it operates, as evidenced by the recent groundbreaking ceremony for a new customer care center in Whitehall, Ohio.

Summarized from source with an LLMView SourceSector: Finance

Net Income and Earnings Per Share

Net income surged by 30% year-over-year to $1.104 billion, and diluted earnings per share increased by 31% to $4.25 in the first quarter of 2025 compared to the same period in 2024.

Revenue Growth

Total revenue net of interest expense grew by 2% to $4.251 billion, driven by an expanding net interest margin and a 3% increase in non-interest income.

Loan Portfolio Management

End-of-period total loans decreased by 7% year-over-year to $117.4 billion, primarily due to a student loan sale. Adjusted for the sale, total loans were up 1% compared to the prior year.

Credit Performance

The total net charge-off rate slightly increased to 4.99%, while the credit card net charge-off rate decreased by 19 basis points year-over-year, reflecting improved credit quality.

Merger with Capital One

Discover Financial Services is on track to complete its merger with Capital One, having received all required regulatory approvals, with the transaction expected to close around May 18, 2025.

Summarized from source with an LLMView Source

Key figures

60.3%1Y

94.2%3Y

426%5Y

Performance

47.9%1Y

38.6%3Y

39.0%5Y

Volatility