Based on the recent data and pending merger with Capital One, DFS stock shows a bullish momentum with strong technical support. The stock closed at $195.97 on February 14, 2025, with a +3.08% gain [Relevant Data]. The merger agreement with Capital One has been extended to May 19, 2025, pending regulatory approvals.
The stock is currently trading above all major moving averages (SMA 5, 10, 20, 60, 200), indicating strong upward momentum. The RSI-14 at 55.09 suggests balanced momentum without being overbought. The MACD shows a positive trend with a reading of 2.81, though the histogram (-1.71) indicates some short-term weakness.
The stock has shown remarkable strength, with a 223% price return over 10 years compared to competitor SYF's 101%. The company demonstrated strong financial performance in Q4 2024, with a 41% growth in net income year-over-year.
Given these factors, holding DFS stock appears to be the optimal strategy at current levels. The pending merger with Capital One could create significant value, though regulatory uncertainty remains a key risk factor.