Discover Financial (Germany) Probability of Future Stock Price Finishing Over 118.33

DC7 Stock  EUR 167.96  6.00  3.70%   
Discover Financial's future price is the expected price of Discover Financial instrument. It is based on its current growth rate as well as the projected cash flow expected by the investors. This tool provides a mechanism to make assumptions about the upside potential and downside risk of Discover Financial Services performance during a given time horizon utilizing its historical volatility. Check out Discover Financial Backtesting, Discover Financial Valuation, Discover Financial Correlation, Discover Financial Hype Analysis, Discover Financial Volatility, Discover Financial History as well as Discover Financial Performance.
  
Please specify Discover Financial's target price for which you would like Discover Financial odds to be computed.

Discover Financial Target Price Odds to finish over 118.33

The tendency of Discover Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
Current PriceHorizonTarget PriceOdds to stay above € 118.33  in 90 days
 167.96 90 days 118.33 
under 95
Based on a normal probability distribution, the odds of Discover Financial to stay above € 118.33  in 90 days from now is under 95 (This Discover Financial Services probability density function shows the probability of Discover Stock to fall within a particular range of prices over 90 days) . Probability of Discover Financial price to stay between € 118.33  and its current price of €167.96 at the end of the 90-day period is about 78.88 .
Assuming the 90 days horizon the stock has the beta coefficient of 1.92 suggesting as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Discover Financial will likely underperform. Additionally Discover Financial Services has an alpha of 0.4149, implying that it can generate a 0.41 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta).
   Discover Financial Price Density   
       Price  

Predictive Modules for Discover Financial

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Discover Financial. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Hype
Prediction
LowEstimatedHigh
165.11167.96170.81
Details
Intrinsic
Valuation
LowRealHigh
151.16186.37189.22
Details

Discover Financial Risk Indicators

For the most part, the last 10-20 years have been a very volatile time for the stock market. Discover Financial is not an exception. The market had few large corrections towards the Discover Financial's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Discover Financial Services, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Discover Financial within the framework of very fundamental risk indicators.
α
Alpha over Dow Jones
0.41
β
Beta against Dow Jones1.92
σ
Overall volatility
18.87
Ir
Information ratio 0.15

Discover Financial Alerts and Suggestions

In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Discover Financial for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Discover Financial can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.
Discover Financial has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
Over 88.0% of the company shares are held by institutions such as insurance companies

Discover Financial Price Density Drivers

Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Discover Stock often depends not only on the future outlook of the current and potential Discover Financial's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Discover Financial's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding267.4 M

Discover Financial Technical Analysis

Discover Financial's future price can be derived by breaking down and analyzing its technical indicators over time. Discover Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Discover Financial Services. In general, you should focus on analyzing Discover Stock price patterns and their correlations with different microeconomic environments and drivers.

Discover Financial Predictive Forecast Models

Discover Financial's time-series forecasting models is one of many Discover Financial's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary Discover Financial's historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.

Things to note about Discover Financial

Checking the ongoing alerts about Discover Financial for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Discover Financial help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Discover Financial has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
Over 88.0% of the company shares are held by institutions such as insurance companies

Additional Information and Resources on Investing in Discover Stock

When determining whether Discover Financial is a strong investment it is important to analyze Discover Financial's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Discover Financial's future performance. For an informed investment choice regarding Discover Stock, refer to the following important reports:
Check out Discover Financial Backtesting, Discover Financial Valuation, Discover Financial Correlation, Discover Financial Hype Analysis, Discover Financial Volatility, Discover Financial History as well as Discover Financial Performance.
You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Please note, there is a significant difference between Discover Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Discover Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Discover Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.