Discover Financial Services Stock Alpha and Beta Analysis
| DFS Stock | USD 179.29 4.38 2.50% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Discover Financial Services. It also helps investors analyze the systematic and unsystematic risks associated with investing in Discover Financial over a specified time horizon. Remember, high Discover Financial's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Discover Financial's market risk premium analysis include:
Beta 3.07 | Alpha 0.15 | Risk 3.27 | Sharpe Ratio 0.16 | Expected Return 0.52 |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
Discover |
Discover Financial Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Discover Financial market risk premium is the additional return an investor will receive from holding Discover Financial long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Discover Financial. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Discover Financial's performance over market.| α | 0.15 | β | 3.07 |
Discover Financial expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Discover Financial's Buy-and-hold return. Our buy-and-hold chart shows how Discover Financial performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Discover Financial Market Price Analysis
Market price analysis indicators help investors to evaluate how Discover Financial stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Discover Financial shares will generate the highest return on investment. By understating and applying Discover Financial stock market price indicators, traders can identify Discover Financial position entry and exit signals to maximize returns.
Discover Financial Return and Market Media
The median price of Discover Financial for the period between Tue, Aug 27, 2024 and Mon, Nov 25, 2024 is 143.34 with a coefficient of variation of 10.59. The daily time series for the period is distributed with a sample standard deviation of 15.57, arithmetic mean of 147.06, and mean deviation of 12.11. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
| Discover Financial dividend paid on 5th of September 2024 | 09/05/2024 |
1 | Stocks making the biggest moves after hours Lucid, Discover Financial, PPG Industries, Kinder Morgan and more | 10/16/2024 |
2 | New York probing whether Capital One-Discover merger violates antitrust law | 10/23/2024 |
3 | Discover Financial Services Given New 163.00 Price Target at Evercore ISI | 11/01/2024 |
4 | Capital One executive sells 4.1 million in stock | 11/07/2024 |
5 | Discover Financial Services Shares Up 4.17 percent on Nov 11 | 11/11/2024 |
6 | Affirms SWOT analysis buy now, pay later leader faces growth and regulatory challenges | 11/13/2024 |
7 | Telered and Discover Global Network Sign Strategic Alliance, Increasing Acceptance for Cardholders | 11/15/2024 |
8 | Stripe, Stablecoins, and Visas Disruptive Threat | 11/20/2024 |
About Discover Financial Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Discover or other stocks. Alpha measures the amount that position in Discover Financial has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
| 2022 | 2023 | 2024 (projected) | Dividend Yield | 0.0259 | 0.0263 | 0.0323 | Price To Sales Ratio | 2.03 | 2.9 | 2.99 |
Discover Financial Upcoming Company Events
As portrayed in its financial statements, the presentation of Discover Financial's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Discover Financial's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Discover Financial's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Discover Financial. Please utilize our Beneish M Score to check the likelihood of Discover Financial's management manipulating its earnings.
| 17th of April 2024 Upcoming Quarterly Report | View | |
| 17th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 15th of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
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Additional 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.