Discover Financial Services

Discover Financial Services ROCE

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The Return on Capital Employed (ROCE) of Discover Financial Services (DFS) as of Nov 14, 2026 is 98.61 %. In the previous year, Return on Capital Employed (ROCE) was 34.49 % — a change of 185.91% (higher).

ROCE

98.61 %

YoY

185.91%

Last updated:

In 2024, Discover Financial Services's return on capital employed (ROCE) was 98.61 %, a 185.91% increase from the 34.49 % ROCE in the previous year.

The Discover Financial Services ROCE history

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ROCE
Date
ROCE
Jan 1, 2017
47.60 USD
Jan 1, 2018
51.54 USD
Jan 1, 2019
4.34 USD
Jan 1, 2020
1.57 USD
Jan 1, 2021
52.68 USD
Jan 1, 2022
52.14 USD
Jan 1, 2023
34.49 USD
Jan 1, 2024
98.61 USD
The Discover Financial Services ROCE history
YEARROCEYoY
98.61 %+185.91%
34.49 %-33.85%
52.14 %-1.04%
52.68 %+3,264.79%
1.57 %-63.95%
4.34 %-91.57%
51.54 %+8.26%
47.60 %+6.65%
44.63 %+3.23%
43.24 %-0.29%
43.36 %—

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Discover Financial Services Stock analysis

What does Discover Financial Services do? Discover Financial Services (DFS) is a US financial services company that was founded in 1985 by Sears, Roebuck and Co., a retail company. The company is headquartered in Riverwoods, Illinois, and offers various financial products and services such as credit cards, payment processing, online banking, deposits, loans, and mortgages. DFS is best known for its credit cards, particularly the Discover Card, which was introduced to the market in 1986. This card was the first to have a cashback rewards program that credits customers a percentage of their purchases as a credit to their card statement, encouraging them to spend more with the card. In 2005, DFS acquired the PULSE ATM/Debit network platform to expand its payment processing services. DFS's credit card division is still one of its major sources of revenue, offering different credit cards like the Discover it Card, Discover it Miles Card, and NHL Discover it Card. These cards provide various benefits such as cashback bonuses, rewards miles and points, as well as low interest rates and fees. DFS also has partnerships with other companies like Amazon, Gap, and Walmart to offer card-related bonuses and discounts. In addition to credit cards, DFS also provides various banking services. Discover Bank is an online banking provider that offers deposit products such as checking accounts, savings accounts, overdraft protection, and more. The bank also has a mobile app that allows customers to manage their accounts and transactions. DFS also offers loans such as personal loans, student loans, and mortgages. The loans are provided through Discover Loans or Discover Home Loans. These loans often have lower interest rates than competitors and have flexible repayment terms. Another important area of DFS is the B2B sector. DFS offers solutions to partner companies that include payment processing services, data analytics, risk management, and fraud detection. This also includes various tools for customer loyalty and rewards programs management. Overall, Discover Financial Services is a leading American provider of financial services, thanks to its innovative and diversified business model. It focuses on offering top-quality products and services while also expanding through partnerships and expanding into new regions. Discover Financial Services is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling Discover Financial Services's Return on Capital Employed (ROCE)

Discover Financial Services's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing Discover Financial Services's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

Discover Financial Services's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in Discover Financial Services’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about Discover Financial Services stock

Return on Capital Employed (ROCE) of Discover Financial Services is 98.61 % in 2024.

Return on Capital Employed (ROCE) of Discover Financial Services changed from 34.49 % to 98.61 %, representing a 185.91% change. The value is higher than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) Discover Financial Services since 2006 – with annual values, charts, and detailed analysis.

ROCE is a profitability measure and stands for Return on Capital Employed or the return on invested capital. The measure shows the ratio of operating profit to the interest-bearing capital employed. The higher the return on capital employed, the more profitable a company operates and the higher the important free cash flow. The free cash flow refers to the portion of profits that is not needed for expanding the company at the end of a period, but is available to shareholders.

A 'good' varies by industry and company stage. On Eulerpool, you can compare Return on Capital Employed (ROCE)'s Discover Financial Services with sector peers and the industry average to assess whether it is attractive.

To evaluate Return on Capital Employed (ROCE)'s, it is essential to compare it with peers in the same industry and sector. On Eulerpool, you can find direct industry comparisons for Return on Capital Employed (ROCE).

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Profitability — Discover Financial Services

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