Hsbc Holdings PLC Sells 58,726 Shares of Webster Financial Corporation $WBS

Key Points

• HSBC Holdings PLC cut its stake in Webster Financial by 81.9% in the fourth quarter, selling 58,726 shares and leaving it with 12,994 shares valued at about $821,000.
• Webster Financial reported better-than-expected quarterly earnings of $1.57 per share, topping estimates by $0.04, while revenue rose 4.4% year over year to $764.05 million.
• The company also paid a quarterly dividend of $0.40 per share, annualizing to $1.60 and a yield of 2.1%; analysts currently have a consensus rating of Hold with a target price of $73.96.

Hsbc Holdings PLC lessened its position in shares of Webster Financial Corporation (NYSE:WBS - Free Report) by 81.9% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 12,994 shares of the financial services provider's stock after selling 58,726 shares during the quarter. Hsbc Holdings PLC's holdings in Webster Financial were worth $821,000 as of its most recent SEC filing.

A number of other large investors have also added to or reduced their stakes in WBS. BOKF NA bought a new position in shares of Webster Financial during the 3rd quarter valued at approximately $26,000. Flagship Harbor Advisors LLC bought a new stake in Webster Financial in the fourth quarter worth $28,000. Caitong International Asset Management Co. Ltd bought a new stake in Webster Financial in the third quarter worth $29,000. Atlas Capital Advisors Inc. purchased a new stake in Webster Financial during the fourth quarter valued at $31,000. Finally, Wilmington Savings Fund Society FSB purchased a new stake in Webster Financial during the third quarter valued at $33,000. Institutional investors own 85.58% of the company's stock.

Webster Financial Stock Down 0.1%

Shares of WBS opened at $76.18 on Wednesday. The company has a quick ratio of 0.87, a current ratio of 0.87 and a debt-to-equity ratio of 0.60. The business has a fifty day moving average of $73.99 and a 200 day moving average of $70.73. The company has a market cap of $12.34 billion, a PE ratio of 12.47 and a beta of 1.00. Webster Financial Corporation has a 52-week low of $52.69 and a 52-week high of $77.69.

Webster Financial (NYSE:WBS - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The financial services provider reported $1.57 earnings per share for the quarter, beating analysts' consensus estimates of $1.53 by $0.04. Webster Financial had a net margin of 22.95% and a return on equity of 11.31%. The business had revenue of $764.05 million for the quarter, compared to analysts' expectations of $735.26 million. During the same quarter in the previous year, the business posted $1.30 earnings per share. The business's revenue was up 4.4% compared to the same quarter last year. On average, sell-side analysts expect that Webster Financial Corporation will post 6.57 EPS for the current year.

Webster Financial Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, May 21st. Investors of record on Monday, May 11th were issued a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a yield of 2.1%. The ex-dividend date was Monday, May 11th. Webster Financial's dividend payout ratio is presently 26.19%.

Analyst Upgrades and Downgrades

WBS has been the subject of a number of recent research reports. Keefe, Bruyette & Woods dropped their price objective on shares of Webster Financial from $79.00 to $77.50 and set an "outperform" rating for the company in a research note on Friday, May 1st. Weiss Ratings restated a "buy (b)" rating on shares of Webster Financial in a research report on Friday, June 12th. Finally, UBS Group began coverage on shares of Webster Financial in a report on Tuesday, April 7th. They issued a "neutral" rating and a $69.00 price target for the company. Four analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus target price of $73.96.

About Webster Financial

Webster Financial Corporation is a bank holding company headquartered in Waterbury, Connecticut. Through its principal subsidiary, Webster Bank, N.A., the company offers a broad range of banking products and financial services to individuals, small businesses, and middle-market commercial clients. Key offerings include deposit accounts, residential and commercial real estate lending, equipment finance, treasury management, and payment processing solutions.

In addition to traditional banking services, Webster Financial provides wealth management and insurance products designed to help clients plan for retirement, preserve assets, and manage risk.

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