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Webster Financial Corporation (NYSE:WBS) Receives $67.00 Average PT from Analysts

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Key Points

  • Webster Financial Corporation has received a consensus recommendation of "Moderate Buy" from fourteen ratings firms, with an average target price of $67.00.
  • The company's quarterly earnings report showed an EPS of $1.52, surpassing estimates and achieving a revenue increase of 16.5% compared to the same quarter last year.
  • Webster Financial recently announced a quarterly dividend of $0.40 per share, representing a 2.6% yield, with a payout ratio of 32.45%.
  • Interested in Webster Financial? Here are five stocks we like better.

Webster Financial Corporation (NYSE:WBS - Get Free Report) has received a consensus rating of "Moderate Buy" from the fourteen research firms that are presently covering the firm, Marketbeat Ratings reports. Three research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company. The average 1 year target price among analysts that have covered the stock in the last year is $67.00.

A number of brokerages have weighed in on WBS. Cantor Fitzgerald assumed coverage on shares of Webster Financial in a report on Wednesday, September 10th. They issued an "overweight" rating and a $70.00 price target for the company. UBS Group restated a "buy" rating and issued a $69.00 price objective on shares of Webster Financial in a research report on Wednesday, July 9th. Seaport Res Ptn lowered shares of Webster Financial from a "strong-buy" rating to a "hold" rating in a research note on Friday, July 25th. JPMorgan Chase & Co. lifted their price objective 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, Raymond James Financial lifted their price target on shares of Webster Financial from $65.00 to $68.00 and gave the company an "outperform" rating in a research note on Friday, July 18th.

Read Our Latest Stock Report on WBS

Insider Buying and Selling at Webster Financial

In other Webster Financial news, Director William L. Atwell sold 16,823 shares of the stock in a transaction 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 completion of the sale, the director owned 30,915 shares in the company, valued at $1,830,168. This trade represents a 35.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CAO Albert Jen-Wen Wang sold 3,250 shares of Webster Financial stock in a transaction dated Tuesday, July 22nd. The shares were sold at an average price of $60.31, for a total transaction of $196,007.50. Following the completion of the transaction, the chief accounting officer directly owned 15,755 shares of the company's stock, valued at approximately $950,184.05. This trade represents a 17.10% decrease in their position. The disclosure for this sale can be found here. Insiders sold 36,445 shares of company stock valued at $2,168,537 in the last 90 days. Company insiders own 0.54% of the company's stock.

Hedge Funds Weigh In On Webster Financial

Institutional investors and hedge funds have recently modified their holdings of the stock. Picton Mahoney Asset Management acquired a new position in shares of Webster Financial in the first quarter valued at $25,000. Mitsubishi UFJ Asset Management Co. Ltd. lifted its holdings in shares of Webster Financial by 327.2% in the first quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 739 shares of the financial services provider's stock worth $38,000 after acquiring an additional 566 shares during the last quarter. TCTC Holdings LLC raised its holdings in Webster Financial by 118.4% in the 1st quarter. TCTC Holdings LLC now owns 832 shares of the financial services provider's stock valued at $43,000 after buying an additional 451 shares during the last quarter. IFP Advisors Inc raised its holdings in Webster Financial by 3,628.6% in the 2nd quarter. IFP Advisors Inc now owns 783 shares of the financial services provider's stock valued at $43,000 after buying an additional 762 shares during the last quarter. Finally, Allworth Financial LP raised its holdings in Webster Financial by 43.7% during the 1st quarter. Allworth Financial LP now owns 941 shares of the financial services provider's stock worth $45,000 after purchasing an additional 286 shares during the last quarter. 85.58% of the stock is currently owned by institutional investors and hedge funds.

Webster Financial Stock Up 0.4%

Shares of WBS traded up $0.23 during mid-day trading on Friday, hitting $60.92. 228,319 shares of the company's stock were exchanged, compared to its average volume of 1,310,428. The firm has a fifty day moving average of $59.76 and a two-hundred day moving average of $53.96. Webster Financial has a twelve month low of $39.43 and a twelve month high of $63.99. The stock has a market cap of $10.12 billion, a price-to-earnings ratio of 12.34, a P/E/G ratio of 0.56 and a beta of 1.07. The company has a quick ratio of 0.85, a current ratio of 0.86 and a debt-to-equity ratio of 0.47.

Webster Financial (NYSE:WBS - Get Free Report) last announced its quarterly earnings results on Thursday, July 17th. The financial services provider reported $1.52 EPS for the quarter, topping the consensus estimate of $1.43 by $0.09. The company had revenue of $715.80 million for 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 quarterly revenue was up 16.5% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.26 EPS. On average, sell-side analysts forecast that Webster Financial will post 5.88 earnings per share for the current year.

Webster Financial Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 21st. Stockholders of record on Monday, August 11th were given a $0.40 dividend. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date of this dividend was Monday, August 11th. Webster Financial's payout ratio is currently 32.45%.

About Webster Financial

(Get Free Report)

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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