TD Cowen Begins Coverage on Webster Financial (NYSE:WBS)

Key Points

• TD Cowen has initiated coverage on Webster Financial (NYSE:WBS) with a buy rating and a price target of $78.00, indicating a potential upside of 29.75% from the current stock price.
• Other analysts have also raised their price targets, with Barclays setting a target of $77.00 and Truist Financial increasing theirs to $67.00, reflecting a strong consensus rating of "Moderate Buy" for the stock.
• Webster Financial recently reported earnings of $1.52 EPS for the quarter, surpassing expectations, with a year-over-year revenue growth of 16.5%.

Equities research analysts at TD Cowen began coverage on shares of Webster Financial (NYSE:WBS - Get Free Report) in a research report issued to clients and investors on Thursday,Briefing.com Automated Import reports. The brokerage set a "buy" rating and a $78.00 price target on the financial services provider's stock. TD Cowen's target price would suggest a potential upside of 29.75% from the company's current price.

A number of other analysts have also weighed in on the stock. Barclays upped their price target on shares of Webster Financial from $72.00 to $77.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Truist Financial reaffirmed a "buy" rating and issued a $67.00 price target (up from $61.00) on shares of Webster Financial in a research note on Friday, July 11th. Wells Fargo & Company upped their price target on shares of Webster Financial from $70.00 to $75.00 and gave the stock an "overweight" rating in a research note on Friday, July 18th. JPMorgan Chase & Co. upped their price target on shares of Webster Financial from $55.00 to $65.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 1st. Finally, Keefe, Bruyette & Woods upped their price target on shares of Webster Financial from $65.00 to $68.00 and gave the stock an "outperform" rating in a research note on Friday, July 18th. Twelve research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, Webster Financial presently has a consensus rating of "Moderate Buy" and a consensus target price of $67.73.

Webster Financial Trading Down 1.0%

Webster Financial stock opened at $60.12 on Thursday. The company has a quick ratio of 0.85, a current ratio of 0.86 and a debt-to-equity ratio of 0.47. The firm has a 50-day moving average price of $59.85 and a two-hundred day moving average price of $54.04. The firm has a market capitalization of $9.99 billion, a price-to-earnings ratio of 12.19, a PEG ratio of 0.56 and a beta of 1.07. Webster Financial has a 52-week low of $39.43 and a 52-week high of $63.99.

Webster Financial (NYSE:WBS - Get Free Report) last posted its earnings results on Thursday, July 17th. The financial services provider reported $1.52 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.43 by $0.09. The firm had revenue of $715.80 million during the quarter, compared to analyst estimates of $716.59 million. Webster Financial had a net margin of 20.06% and a return on equity of 10.84%. Webster Financial's revenue was up 16.5% on a year-over-year basis. During the same period in the previous year, the business posted $1.26 EPS. Sell-side analysts expect that Webster Financial will post 5.88 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director William L. Atwell sold 16,823 shares of the business's stock in a transaction that occurred on Monday, July 28th. The shares were sold at an average price of $59.20, for a total value of $995,921.60. Following the sale, the director directly owned 30,915 shares in the company, valued at $1,830,168. The trade was a 35.24% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider James Mi Griffin sold 807 shares of the business's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $62.14, for a total transaction of $50,146.98. Following the completion of the sale, the insider owned 12,556 shares in the company, valued at $780,229.84. The trade was a 6.04% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 36,445 shares of company stock worth $2,168,537. Company insiders own 0.54% of the company's stock.

Hedge Funds Weigh In On Webster Financial

Several institutional investors and hedge funds have recently added to or reduced their stakes in WBS. Curi Capital LLC boosted its stake in shares of Webster Financial by 0.3% in the 2nd quarter. Curi Capital LLC now owns 68,500 shares of the financial services provider's stock valued at $3,740,000 after purchasing an additional 182 shares during the last quarter. BCGM Wealth Management LLC boosted its stake in shares of Webster Financial by 1.2% in the 2nd quarter. BCGM Wealth Management LLC now owns 16,161 shares of the financial services provider's stock valued at $882,000 after purchasing an additional 186 shares during the last quarter. Perigon Wealth Management LLC boosted its stake in shares of Webster Financial by 4.5% in the 2nd quarter. Perigon Wealth Management LLC now owns 4,348 shares of the financial services provider's stock valued at $237,000 after purchasing an additional 189 shares during the last quarter. Journey Strategic Wealth LLC boosted its stake in shares of Webster Financial by 3.2% in the 2nd quarter. Journey Strategic Wealth LLC now owns 6,747 shares of the financial services provider's stock valued at $368,000 after purchasing an additional 210 shares during the last quarter. Finally, PenderFund Capital Management Ltd. boosted its stake in shares of Webster Financial by 4.0% in the 1st quarter. PenderFund Capital Management Ltd. now owns 5,578 shares of the financial services provider's stock valued at $288,000 after purchasing an additional 215 shares during the last quarter. 85.58% of the stock is currently owned by hedge funds and other institutional investors.

Webster Financial Company Profile

Webster Financial Corporation operates as the bank holding company for Webster Bank, National Association that provides a range of financial products and services to individuals, families, and businesses in the United States. It operates through three segments: Commercial Banking, HSA Bank, and Consumer Banking.

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