Discover Financial Services (DFS) FCF Payout Ratio: 8.31%
Is Discover Financial Services’s FCF payout ratio high or low?
Discover Financial Services's FCF payout ratio of 8.31% is 16% below its 5-year average of 9.84%, near the low end of its 5-year range (9.10%–10.92%).
The FCF payout ratio for Discover Financial Services (DFS) is 8.31%. It is below its 12-month average by 10.43% (9.28%).
DFS FCF Payout Ratio Chart
DFS Average FCF Payout Ratio Chart
DFS Current vs Average FCF Payout Ratio Chart
DFS FCF Payout Ratio Metrics
FCF PAYOUT RATIO
8.31%
FCF PAYOUT RATIO AVG TTM
9.28%
FCF PAYOUT RATIO AVG 3Y
9.91%
FCF PAYOUT RATIO AVG 5Y
9.84%
FCF PAYOUT RATIO AVG 10Y
10.87%
FCF PAYOUT RATIO AVG 15Y
10.95%
FCF PAYOUT RATIO AVG 20Y
13.01%
CURRENT VS TTM AVG
-10.43%
CURRENT VS 3Y AVG
-16.18%
CURRENT VS 5Y AVG
-15.57%
CURRENT VS 10Y AVG
-23.54%
CURRENT VS 15Y AVG
-24.08%
CURRENT VS 20Y AVG
-36.13%
Payout Ratio Comparison
FCF Payout Ratio
8.3%
Earnings Payout Ratio
15.8%
Dividend Yield
1.40%
FCF Yield
16.78%
Annual FCF Payout Ratio History
| Year | Free Cash Flow | Dividends Paid | FCF Payout Ratio |
|---|---|---|---|
| 2024 | $8.16B | $771.00M | 9.5% |
| 2023 | $8.26B | $752.00M | 9.1% |
| 2022 | $6.90B | $703.00M | 10.2% |
| 2021 | $5.83B | $636.00M | 10.9% |
| 2020 | $5.93B | $576.00M | 9.7% |
| 2019 | $5.91B | $573.00M | 9.7% |
| 2018 | $4.94B | $552.00M | 11.2% |
| 2017 | $4.99B | $527.00M | 10.6% |
| 2016 | $4.25B | $514.00M | 12.1% |
| 2015 | $3.69B | $515.00M | 14.0% |
| 2014 | $3.68B | $467.00M | 12.7% |
| 2013 | $3.29B | $399.00M | 12.1% |
| 2012 | $2.90B | $209.00M | 7.2% |
| 2011 | $3.50B | $109.57M | 3.1% |
| 2010 | $3.82B | $845.43M | 22.1% |
| 2009 | $3.54B | $101.03M | 2.9% |
| 2008 | $4.41B | $116.96M | 2.7% |
| 2007 | $1.92B | $879.15M | 45.8% |
| 2006 | $1.58B | $500.00M | 31.7% |
| 2005 | $1.54B | $0 | 0.0% |
| 2004 | $1.49B | $637.00M | 42.8% |
Formula: FCF Payout Ratio = Dividends Paid / Free Cash Flow × 100
FCF payout and earnings payout:
- FCF represents operating cash flow after capital expenditures
- FCF payout compares dividends paid with free cash flow
- FCF payout above 100% means dividends paid exceeded free cash flow for the period
- Earnings payout compares dividends paid with net income
Reading the series: Use the chart and table to compare dividend payments with cash generation over time.
Discover Financial Services FCF Payout Ratio Formula & Definition
FCF Payout Ratio measures what percentage of free cash flow is paid out as dividends. Unlike earnings-based payout, it compares dividends with cash generated after capital expenditures.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Discover Financial Services FCF Payout Ratio FAQ
- What is the FCF payout ratio for Discover Financial Services (DFS)?
- The FCF payout ratio for DFS stock is 8.31%.
- Is Discover Financial Services's FCF payout ratio high or low?
- Discover Financial Services's FCF payout ratio of 8.31% is 16% below its 5-year average of 9.84%, near the low end of its 5-year range (9.10%–10.92%).
- What is the TTM average FCF payout ratio for Discover Financial Services (DFS)?
- The TTM average FCF payout ratio for DFS stock is 9.28%.
- What is the 3Y average FCF payout ratio for Discover Financial Services (DFS)?
- The 3Y average FCF payout ratio for DFS stock is 9.91%.
- What is the 5Y average FCF payout ratio for Discover Financial Services (DFS)?
- The 5Y average FCF payout ratio for DFS stock is 9.84%.
- What is the 10Y average FCF payout ratio for Discover Financial Services (DFS)?
- The 10Y average FCF payout ratio for DFS stock is 10.87%.
- What is the 15Y average FCF payout ratio for Discover Financial Services (DFS)?
- The 15Y average FCF payout ratio for DFS stock is 10.95%.
- What is the 20Y average FCF payout ratio for Discover Financial Services (DFS)?
- The 20Y average FCF payout ratio for DFS stock is 13.01%.
Discover Financial Services FCF Payout Ratio History
| DATE | FCF PAYOUT RATIO |
|---|---|
| 2024-12-31 | 9.45% |
| 2023-12-31 | 9.10% |
| 2022-12-31 | 10.18% |
| 2021-12-31 | 10.92% |
| 2020-12-31 | 9.71% |
| 2019-12-31 | 9.69% |
| 2018-12-31 | 11.18% |
| 2017-12-31 | 10.56% |
| 2016-12-31 | 12.11% |
| 2015-12-31 | 13.97% |
| 2014-12-31 | 12.69% |
| 2013-12-31 | 12.14% |
| 2012-11-30 | 7.21% |
| 2011-11-30 | 3.13% |
| 2010-11-30 | 22.14% |
| 2009-11-30 | 2.85% |
| 2008-11-30 | 2.65% |
| 2007-11-30 | 45.79% |
| 2006-11-30 | 31.71% |
| 2004-11-30 | 42.77% |
About Discover Financial Services
Based in Riverwoods, Illinois, and founded in 1960, Discover Financial Services offers a comprehensive suite of digital banking and payment solutions throughout the United States. Its operations are organized into two primary divisions: Digital Banking and Payment Services. The Digital Banking segment caters to individuals with Discover-branded credit cards, various consumer loan products including private student, personal, and home loans, and a direct-to-consumer deposit portfolio featuring savings, certificates of deposit (CDs), money market, checking, and sweep accounts, alongside specialized IRA deposit options. The Payment Services segment is responsible for operating the PULSE network, which supports automated teller machines, debit transactions, and electronic funds transfers. It also oversees Diners Club International, a global payments network involved in issuing branded charge cards and facilitating card acceptance. Furthermore, this segment provides essential payment transaction processing and settlement services.
- Sector
- Financial Services
- Industry
- Financial - Credit Services
- CEO
- J. Michael Shepherd