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Discover misses 4Q profit forecasts

RIVERWOODS, Ill. (AP) _ Discover Financial Services (DFS) on Wednesday reported fourth-quarter net income of $500 million.

The Riverwoods, Illinois-based company said it had profit of $1.14 per share.

The results fell short of Wall Street expectations. The average estimate of 13 analysts surveyed by Zacks Investment Research was for earnings of $1.30 per share.

The credit card issuer and lender posted revenue of $2.21 billion in the period, surpassing Street forecasts. Eight analysts surveyed by Zacks expected $1.8 billion.

Discover shares have dropped 9 per cent since the beginning of the year, while the Standard & Poor’s 500 index has fallen nearly 8 per cent. In the final minutes of trading on Wednesday, shares hit $48.72, a decline of 13 per cent in the last 12 months.

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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on DFS at http://www.zacks.com/ap/DFS

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