Discover Financial (DFS) Stock Slumps on Q2 Revenue Miss
NEW YORK (TheStreet) -- Shares of Discover Financial Services (DFS) - Get Report are slipping 0.32% to $56.80 in after-hours trading on Tuesday after reporting mixed results for the 2016 second quarter.
After the market close, the payment services company reported adjusted earnings of $1.47 per share, beating analysts' projections of $1.42 per share.
Revenue came in at $2.216 billion for the quarter, which was below analysts' expectations of $2.228 billion.
"During the second quarter, we achieved loan growth within our target range and delivered strong profitability," CEO David Nelms said in a statement.
"We also announced plans to increase our dividend and share repurchases, which we expect will result in one of the highest total yields among CCAR banks over the next four quarters," he added.
Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of B+.
Discover's strengths such as its revenue growth, growth in earnings per share, good cash flow from operations, expanding profit margins and notable return on equity. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.
You can view the full analysis from the report here: DFS
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.