- Shares of Comerica (CMA) of Dallas closed at $43.30 Monday and traded for 14.7 times the consensus 2014 EPS estimate of $2.95. Comerica's return on average equity (ROE) has ranged between 6.64% and 8.49% over the past four quarters, according to Thomson Reuters Bank Insight.
- First Niagara Financial Group (FNFG) of Buffalo closed at $11.06 Monday and traded for 13.5 times the consensus 2014 EPS estimate of 82 cents. The company's ROE has ranged between 4.79% and 6.42% over the past four quarters.
- Shares of Zions Bancorporation of Salt Lake City closed at $28.40 Monday and traded for 15.4 times the consensus 2014 EPS estimate of $1.84. The company's ROE has ranged between 3.53% and 7.12% over the past four quarters.
Unlocking ValueDiscover is a unique story. The company -- originally a unit of Dean Witter when that company was held by Sears -- not only developed its own credit card brand, in the face of entrenched competition from Visa ( V), MasterCard ( MA) and American Express ( AXP), but it developed its own payment network. Sears eventually spun off Dean Witter, and Dean Witter merged with Morgan Stanley ( MS) in 1997. Morgan Stanley spun-off Discover through a public offering in 2007. Following a payments industry conference in October, Sakhrani noted that companies in many industries, including tech giants like Google ( GOOG), eBay ( EBAY) and Facebook ( FB), were making large investments in mobile payment networks. In a note to clients on Monday, the analyst wrote "Clearly, at this point, Discover's network has been viewed as the ideal partner (and perhaps the only partner) for these types of companies given: 1) the network's solid acceptance penetration in the US (at ~98% parity to
Interested in more on Discover Financial Services? See TheStreet Ratings' report card for this stock. -- Written by Philip van Doorn in Jupiter, Fla. >Contact by Email. Follow @PhilipvanDoorn