Webster Financial Corporation $WBS Stake Lessened by Systematic Financial Management LP

Key Points

• Systematic Financial Management LP cut its Webster Financial stake by 28.7% in the first quarter, selling 291,728 shares and ending with 726,069 shares valued at about $50.4 million.
• Webster Financial reported quarterly earnings of $1.60 per share, narrowly missing estimates, while revenue of $739.99 million also came in below expectations despite 3.4% year-over-year growth.
• The company paid a quarterly dividend of $0.40 per share, implying an annualized yield of 2.1%, while analysts currently rate the stock a consensus Hold with an average price target of $74.04.

Systematic Financial Management LP decreased its holdings in shares of Webster Financial Corporation (NYSE:WBS - Free Report) by 28.7% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 726,069 shares of the financial services provider's stock after selling 291,728 shares during the quarter. Webster Financial accounts for approximately 1.2% of Systematic Financial Management LP's holdings, making the stock its 16th biggest position. Systematic Financial Management LP owned approximately 0.45% of Webster Financial worth $50,404,000 at the end of the most recent quarter.

Other large investors have also recently bought and sold shares of the company. BOKF NA purchased a new stake in Webster Financial in the 3rd quarter worth about $26,000. New England Capital Financial Advisors LLC boosted its position in Webster Financial by 246.8% during the 1st quarter. New England Capital Financial Advisors LLC now owns 437 shares of the financial services provider's stock worth $30,000 after acquiring an additional 311 shares during the period. Flagship Harbor Advisors LLC purchased a new position in Webster Financial during the 4th quarter valued at about $28,000. Caitong International Asset Management Co. Ltd purchased a new position in Webster Financial during the 3rd quarter valued at about $29,000. Finally, Atlas Capital Advisors Inc. acquired a new position in shares of Webster Financial in the 4th quarter valued at about $31,000. 85.58% of the stock is owned by institutional investors and hedge funds.

Webster Financial Stock Performance

Shares of WBS stock opened at $75.44 on Friday. The company has a debt-to-equity ratio of 0.46, a current ratio of 0.87 and a quick ratio of 0.87. Webster Financial Corporation has a fifty-two week low of $52.69 and a fifty-two week high of $77.69. The stock's 50-day moving average is $74.51 and its two-hundred day moving average is $71.33. The firm has a market cap of $12.22 billion, a P/E ratio of 12.27 and a beta of 1.00.

Webster Financial (NYSE:WBS - Get Free Report) last posted its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $1.60 earnings per share for the quarter, missing analysts' consensus estimates of $1.61 by ($0.01). The firm had revenue of $739.99 million for the quarter, compared to analysts' expectations of $755.80 million. Webster Financial had a return on equity of 11.23% and a net margin of 22.78%.The firm's revenue for the quarter was up 3.4% on a year-over-year basis. During the same period last year, the business earned $1.52 earnings per share. Analysts predict that Webster Financial Corporation will post 6.57 earnings per share for the current fiscal year.

Webster Financial Announces Dividend

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

Analysts Set New Price Targets

WBS has been the subject of a number of research analyst reports. UBS Group started coverage on shares of Webster Financial in a research report on Tuesday, April 7th. They issued a "neutral" rating and a $69.00 price target for the company. Keefe, Bruyette & Woods lowered their price objective on shares of Webster Financial from $79.00 to $77.50 and set an "outperform" rating on the stock in a research report on Friday, May 1st. Weiss Ratings reiterated a "buy (b)" rating on shares of Webster Financial in a research report on Friday, June 12th. Finally, Royal Bank Of Canada increased their target price on shares of Webster Financial from $75.00 to $76.00 and gave the stock a "sector perform" rating in a research report on Wednesday. Four equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $74.04.

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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