DFS Forecast + Trading Strategies



Bearish<—>Bullish



80% Confidence




Bullish Case: DFS shows strong loan growth and digital expansion, supported by institutional interest and positive earnings potential, indicating robust upside potential.




Bearish Case: Regulatory scrutiny and high charge-off rates pose significant risks, potentially impacting DFS's profitability and leading to further declines.




Potential Outcomes:

1. DFS overcomes regulatory hurdles, maintaining confidence (40%).

2. Regulatory issues cause prolonged downtrend (45%).

3. Steady performance amid market volatility (15%).




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April 16, 2025


Discover Financial Services Forecast

DFS        Discover Financial Services











Correlated Assets

Assets that tend to move strongly with DFS



COF Forecast + Options Trading Strategies   COF  Capital One Financial (0.98)


JPM Forecast + Options Trading Strategies   JPM  JPMorgan Chase (0.96)


ARKF Forecast + Options Trading Strategies   ARKF  ARK Fintech Innovation (0.94)


SOFI Forecast + Options Trading Strategies   SOFI  SoFi (0.94)


RKLB Forecast + Options Trading Strategies   RKLB  Rocket Lab USA (0.94)



Uncorrelated Assets

Assets with little price relationship to DFS



FDX Forecast + Options Trading Strategies   FDX  Fedex (0.0)


ESTC Forecast + Options Trading Strategies   ESTC  Elastic (0.0)


CVX Forecast + Options Trading Strategies   CVX  Chevron (-0.01)


RPD Forecast + Options Trading Strategies   RPD  Rapid7 (0.02)


SMG Forecast + Options Trading Strategies   SMG  Scotts Miracle-Gro (0.02)



Anticorrelated Assets

Assets that tend to move strongly against DFS



BCE Forecast + Options Trading Strategies   BCE  BCE (-0.82)


STM Forecast + Options Trading Strategies   STM  New York Shares (-0.82)


PAGS Forecast + Options Trading Strategies   PAGS  PagSeguro Digital (-0.82)


DVN Forecast + Options Trading Strategies   DVN  Devon Energy (-0.84)


XP Forecast + Options Trading Strategies   XP  XP (-0.84)









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