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6 pts

Opinion on  Discovery Card (DFS)
A sound Finacial?

Dec 20, 2007 05:25 PM GMT
Barbaro
Return Risk
+3.02% HIGH
Associate

Recent News   Fundamental Analysis  

Lower late payments for last year

Higher domestic profits

Higher revenues

Low PE ratio

Growth into 2008

Sounds great!!!!! But it is a finacial. If it wasn't for England this stock would be flying right now. But the problem with the British has been corner andis being dealt with.

As God awful leverage the American are the British are far worse with the totally bloated home values. Our came down and we dealt with the problem to minimize the fall out. Sure if your a bank that loaned out money at 6% in piles of 500,000 against an asset that depreciated you got screw. But if you are DFS and loaned money out at 12% in piles of 5,000 the 3% problem losers of our country are not a death blow. DFS's profit growth proves this!!!


DFS:  This call was made on 12/20/07 @ $15.5
Rating:   Positive   $15.5 (12/20/07)
Closed:   12/21/2007 @ $15.32 (-1.16% in 1 day)
Target:   $24.00 (+54.84%) in Six months


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