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Up 33% YTD, is It too late to buy discover financial stock?
The post Up 33% YTD, is It too late to buy discover financial stock? appeared on BitcoinEthereumNews.com. While it awaits approval of its merger with Capital One Financial (NYSE:COF), Discover Financial (NYSE:DFS) has been moving ahead with strong earnings and a rising stock price. On Wednesday after the market closed, Discover posted third quarter results that showed double-digit growth and easily topped earnings estimates. The nation’s fourth largest credit card company generated $4.45 billion in revenue in the quarter, which was up 10% year over year and beat estimates of $4.35 billion. Net income surged 41% to $965 million, or $3.69 per share, which crushed estimates of $3.45 per share. Discover stock was up another 2% on Thursday, and it is now up about 34% year-to-date, outperforming most of its competitors, other than American Express (NYSE:AXP). The company continues to wait for a resolution in its merger with card issuer and bank Capital One. In the meantime, investors have been reaping the benefits of Discover’s strong performance. Is it too late to buy? What’s happening with the merger? Earlier this year, a megamerger in the credit card space was announced when Capital One said it was buying Discover. This could be a transformative deal in the credit card space as it would bring together one of the largest banks and card issuers, with a payment processor, potentially creating a card company to rival Visa (NYSE:V) and Mastercard (NYSE:MA). But this is a big, complicated deal with a lot of moving parts and major implications in the industry, so it has been under intense regulatory scrutiny and has faced legal challenges. When it goes through remains uncertain, although the companies have targeted late 2024 or early 2025. In the Q3 earnings presentation, Discover officials said that merger applications are under review by the regulators and integration planning activities are advancing as anticipated. Net interest income rises While Discover…
The post Up 33% YTD, is It too late to buy discover financial stock? appeared on BitcoinEthereumNews.com.
While it awaits approval of its merger with Capital One Financial (NYSE:COF), Discover Financial (NYSE:DFS) has been moving ahead with strong earnings and a rising stock price. On Wednesday after the market closed, Discover posted third quarter results that showed double-digit growth and easily topped earnings estimates. The nation’s fourth largest credit card company generated $4.45 billion in revenue in the quarter, which was up 10% year over year and beat estimates of $4.35 billion. Net income surged 41% to $965 million, or $3.69 per share, which crushed estimates of $3.45 per share. Discover stock was up another 2% on Thursday, and it is now up about 34% year-to-date, outperforming most of its competitors, other than American Express (NYSE:AXP). The company continues to wait for a resolution in its merger with card issuer and bank Capital One. In the meantime, investors have been reaping the benefits of Discover’s strong performance. Is it too late to buy? What’s happening with the merger? Earlier this year, a megamerger in the credit card space was announced when Capital One said it was buying Discover. This could be a transformative deal in the credit card space as it would bring together one of the largest banks and card issuers, with a payment processor, potentially creating a card company to rival Visa (NYSE:V) and Mastercard (NYSE:MA). But this is a big, complicated deal with a lot of moving parts and major implications in the industry, so it has been under intense regulatory scrutiny and has faced legal challenges. When it goes through remains uncertain, although the companies have targeted late 2024 or early 2025. In the Q3 earnings presentation, Discover officials said that merger applications are under review by the regulators and integration planning activities are advancing as anticipated. Net interest income rises While Discover…
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