DFS Review Pitch By: Financials Group
Agenda Review of DFS Quick financial overview Charts Proposed trade
What/Who is DFS? Discover Financial Services, operates as a credit card issuer and electronic payment services company primarily in the United States. The company offers Discover Card-branded credit cards to individuals and small businesses over the Discover Network. It also provides other consumer products and services, including personal loans, student loans, and prepaid cards, as well as deposit products, such as certificates of deposit, money market accounts, online savings accounts, and individual retirement accounts. In addition, the company offers ATM, debit, and electronic funds transfer network; payments network; and credit, debit, and prepaid cards issued by third parties. Discover Financial Services was founded in 1986.
Quick Financial Overview Market cap: 11.45B Income: 667.12M Employees: 10,500 Trailing (forward) P/E: 17.57 (9.85) ROE: 9.73% Revenue: 2.94B Total Cash: 7.92B Beta: 1.58
DFS- Just over 1 year
Chart Since Buy
Proposed Trade Bought DFS on 10/26/2010 at $17.63. As of 2/23/11, DFS is at $21.00, a gain of 18.98% for the portfolio. First option: Sell once DFS hits $22.00 for ~25% gain. Second option: Once DFS hits $22.00 (and goes higher) put a stop at $22 and trail the stock by 5% there by locking in at least 25% and hopefully more.