Discover Financial Shares Outstanding vs. Return On Asset
| DFS Stock | USD 124.74 0.68 0.54% |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.73 | 0.9 |
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| Net Profit Margin | 0.18 | 0.1427 |
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| Operating Profit Margin | 0.62 | 0.8305 |
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| Pretax Profit Margin | 0.28 | 0.1857 |
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| Return On Assets | 0.021 | 0.0194 |
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| Return On Equity | 0.16 | 0.1983 |
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For Discover Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Discover Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Discover Financial Services utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Discover Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Discover Financial Services over time as well as its relative position and ranking within its peers.
Discover |
Discover Financial's Revenue Breakdown by Earning Segment
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Is Discover Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Discover Financial. If investors know Discover will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Discover Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.69) | Dividend Share 2.8 | Earnings Share 8.81 | Revenue Per Share 39.502 | Quarterly Revenue Growth 0.028 |
The market value of Discover Financial is measured differently than its book value, which is the value of Discover that is recorded on the company's balance sheet. Investors also form their own opinion of Discover Financial's value that differs from its market value or its book value, called intrinsic value, which is Discover Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Discover Financial's market value can be influenced by many factors that don't directly affect Discover Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Discover Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Discover Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Discover Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Discover Financial Return On Asset vs. Shares Outstanding Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Discover Financial's current stock value. Our valuation model uses many indicators to compare Discover Financial value to that of its competitors to determine the firm's financial worth. Discover Financial Services is rated # 4 in shares outstanding category among related companies. It is rated # 4 in return on asset category among related companies . The ratio of Shares Outstanding to Return On Asset for Discover Financial Services is about 15,662,438,000 . Return On Assets is likely to gain to 0.02 in 2024. Comparative valuation analysis is a catch-all model that can be used if you cannot value Discover Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Discover Financial's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Discover Financial's earnings, one of the primary drivers of an investment's value.Discover Financial's Earnings Breakdown by Geography
Discover Return On Asset vs. Shares Outstanding
Outstanding Shares are shares of common stock of a public company that were purchased by investors after they were authorized and issued by the company to the public. Outstanding Shares are typically reported on fully diluted basis, including exotic instruments such as options, or convertibles bonds.
Discover Financial |
| = | 250.6 M |
Outstanding shares that are stated on company Balance Sheet are used when calculating many important valuation and performance indicators including Return on Equity, Market Cap, EPS and many others.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Discover Financial |
| = | 0.016 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Discover Return On Asset Comparison
Discover Financial is currently under evaluation in return on asset category among related companies.
Discover Financial Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Discover Financial, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Discover Financial will eventually generate negative long term returns. The profitability progress is the general direction of Discover Financial's change in net profit over the period of time. It can combine multiple indicators of Discover Financial, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -225 M | -213.8 M | |
| Operating Income | 17.1 B | 18 B | |
| Income Before Tax | 3.8 B | 3.2 B | |
| Total Other Income Expense Net | 3.8 B | 4 B | |
| Net Income | 2.9 B | 2.3 B | |
| Income Tax Expense | 886 M | 1 B | |
| Net Income Applicable To Common Shares | 4.9 B | 5.2 B | |
| Net Income From Continuing Ops | 3.6 B | 3 B | |
| Net Interest Income | 12.7 B | 10.1 B | |
| Interest Income | 16.8 B | 12.3 B | |
| Change To Netincome | 2.7 B | 2.5 B | |
| Net Income Per Share | 11.57 | 12.15 | |
| Income Quality | 2.93 | 2.74 | |
| Net Income Per E B T | 0.77 | 0.54 |
Discover Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Discover Financial. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Discover Financial position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Discover Financial's important profitability drivers and their relationship over time.
Use Discover Financial in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Discover Financial position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Discover Financial will appreciate offsetting losses from the drop in the long position's value.Discover Financial Pair Trading
Discover Financial Services Pair Trading Analysis
The ability to find closely correlated positions to Discover Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Discover Financial when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Discover Financial - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Discover Financial Services to buy it.
The correlation of Discover Financial is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Discover Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Discover Financial moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Discover Financial can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Discover Financial position
In addition to having Discover Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Companies specializing in music, video and movie production and distribution. The Music and Video theme has 36 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Music and Video Theme or any other thematic opportunities.
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Check out Investing Opportunities. Note that the Discover Financial information on this page should be used as a complementary analysis to other Discover Financial's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Complementary Tools for Discover Stock analysis
When running Discover Financial's price analysis, check to measure Discover Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Discover Financial is operating at the current time. Most of Discover Financial's value examination focuses on studying past and present price action to predict the probability of Discover Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Discover Financial's price. Additionally, you may evaluate how the addition of Discover Financial to your portfolios can decrease your overall portfolio volatility.
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To fully project Discover Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Discover Financial at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Discover Financial's income statement, its balance sheet, and the statement of cash flows.