Discover Financial Services DFS is set to report first-quarter 2016 results on Apr 19, 2016 after the market closes. Last quarter, the company had posted a negative earnings surprise of 12.31%. Let’s see how things are shaping up for this announcement.Factors to be Considered this Quarter Discover Financial is likely to witness a rise in expenses associated with the attraction and retention of customers. Such marketing and business development expenses of the company are likely to taper profits. Moreover, legal, regulatory and compliance costs are likely to increase operating expenses, thereby further weighing on margin expansion.Also, the Payment Services segment is likely to witness another quarter of soft performances owing to weaker revenues. Nevertheless, the company’s compelling portfolio and expanded client base should have a favorable impact on its top line. Card sales too are expected to have exhibited improvement in the quarter. Additionally, Discover Financial’s extensive student loan portfolio should drive growth in the to-be reported quarter.Earnings WhispersOur proven model does not conclusively show that Discover Financial is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.Zacks ESP: Discover Financial has 0.00% Earnings ESP. This is because both the Most Accurate estimate and the Zacks Consensus Estimate stand at $1.30.Zacks Rank: Discover Financial carries a Zacks Rank #4 (Sell). The company’s unfavorable Zacks Rank along with a 0.00% ESP complicates surprise prediction.Stocks to ConsiderHere are some companies from the finance sector that you may want to consider as these have the right combination of elements to post an earnings beat this quarter: Credit Acceptance Corp. CACC has an Earnings ESP of +0.53% and a Zacks Rank #2. The company is expected to report first-quarter earnings results on May 4.Heritage Financial Corporation HFWA has an Earnings ESP of +3.45% and a Zacks Rank #3. The company is set to report first-quarter earnings results on Apr 21.People’s United Financial Inc. PBCT has an Earnings ESP of +4.76% and a Zacks Rank #3. The company is slated to report first-quarter earnings results on Apr 21.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free reportWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DISCOVER FIN SV (DFS): Free Stock Analysis Report CREDIT ACCEPT (CACC): Free Stock Analysis Report PEOPLES UTD FIN (PBCT): Free Stock Analysis Report HERITAGE FIN CP (HFWA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research