Ahead of Discover (DFS) Q2 Earnings: Get Ready With Wall Street Estimates for Key Metrics

Core Insights - Discover (DFS) is expected to report quarterly earnings of $3.06 per share, a decline of 13.6% year-over-year, with revenues projected at $4.16 billion, reflecting a 7.3% increase [1] - Analysts have revised the consensus EPS estimate upward by 2.2% over the past 30 days, indicating a reappraisal of initial projections [1] Financial Metrics - The 'Operating Efficiency Ratio' is estimated to reach 36.9%, up from 36.2% a year ago [2] - 'Credit Card Volume - Discover Card Sales' is projected at $55.30 billion, slightly higher than the previous year's $55.23 billion [2] - 'Net charge-offs as a percentage of total loans' is expected to rise to 5.1%, compared to 3.2% in the same quarter last year [2] - The 'Net interest margin' is forecasted to be 10.9%, down from 11.1% a year ago [3] - 'Credit Card Volume - Discover Card' is estimated at $59.39 billion, compared to $58.77 billion in the same quarter last year [3] - 'Average Balances - Total Interest Earning Assets' is projected to reach $152.47 billion, up from $136.59 billion a year ago [3] - The 'Total Risk Based Capital Ratio' is expected to be 13.2%, down from 14.3% in the same quarter last year [3] - 'Network Volume - Total Payment Services' is anticipated to reach $98.08 billion, compared to $89.31 billion a year ago [3] - 'Transactions Processed on Networks - Discover Network' is expected to be 984.96 million, up from 940 million a year ago [4] - 'Tier 1 Risk Based Capital Ratio' is projected at 11.9%, down from 12.5% a year ago [4] - 'Transactions Processed on Networks - Total' is expected to reach 3.07 billion, compared to 2.70 billion a year ago [4] - 'Network Volume - Network Partners' is estimated at $10.60 billion, slightly up from $10.41 billion a year ago [4] Market Performance - Discover shares have returned +7.5% over the past month, outperforming the Zacks S&P 500 composite's +4.3% change [5] - With a Zacks Rank 3 (Hold), Discover is expected to mirror overall market performance in the near future [5]