Discover Earnings: DFS Stock Dives 11% on Mixed Q4

Discover (NYSE:DFS) earnings for the payment card company’s fourth quarter of 2019 have DFS stock taking a beating on Friday. This is due to its diluted EPS of $2.25, which is below Wall Street’s estimate of $2.27 for the quarter. Revenue of $2.94 billion does beat analysts’ estimates of $2.91 billion, but couldn’t save DFS stock.

Discover Earnings: DFS Stock Dives 11% on Mixed Q4

Source: Jonathan Weiss /

Here’s a more in-depth look at the most recent Discover earnings report.

  • Diluted per-share earnings are up 10.84% from $2.03 during the same time last year.
  • Revenue for the quarter is sitting 4.63% above the $2.81 billion from the fourth quarter of 2018.
  • The Discover earnings report also includes a net income of $708 million.
  • That’s a 3.06% increase over the company’s net income of $687 million from the same period of the year prior.

Roger Hochschild, President and CEO of Discover, has this to say about the DFS stock earnings report.

“Our differentiated business model, product set and intense focus on execution enable us to continue delivering industry-leading returns. We are making carefully targeted investments in marketing, analytics and technology that contributed to our strong returns in 2019 and provide a solid platform for another year of profitable growth in 2020.”

The Discover earnings report doesn’t make mention of an outlook for 2020. Even so, we know what Wall Street is estimating. This includes earnings per share of $10.18 on revenue of $12.63 billion for the year.

DFS stock was down 11.22% as of Friday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.

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