Webster Financial (NYSE:WBS) Reaches New 52-Week Low on Insider Selling

Webster Financial Co. (NYSE:WBS - Get Free Report) shares hit a new 52-week low on Wednesday following insider selling activity. The company traded as low as $45.94 and last traded at $47.25, with a volume of 1087907 shares trading hands. The stock had previously closed at $47.70.

Specifically, insider Daniel Bley sold 1,800 shares of the business's stock in a transaction that occurred on Tuesday, April 29th. The stock was sold at an average price of $47.84, for a total transaction of $86,112.00. Following the completion of the transaction, the insider now owns 21,517 shares in the company, valued at $1,029,373.28. The trade was a 7.72 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

Wall Street Analysts Forecast Growth

WBS has been the subject of a number of recent analyst reports. JPMorgan Chase & Co. lowered their target price on shares of Webster Financial from $67.00 to $65.00 and set an "overweight" rating for the company in a research note on Tuesday, January 7th. StockNews.com upgraded Webster Financial from a "sell" rating to a "hold" rating in a research note on Saturday, January 11th. Wells Fargo & Company cut their target price on Webster Financial from $75.00 to $60.00 and set an "overweight" rating for the company in a research note on Wednesday, April 9th. Morgan Stanley dropped their target price on shares of Webster Financial from $75.00 to $66.00 and set an "equal weight" rating for the company in a report on Thursday, March 13th. Finally, Raymond James decreased their price objective on shares of Webster Financial from $65.00 to $58.00 and set an "outperform" rating on the stock in a research report on Wednesday, April 2nd. Three equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat, Webster Financial presently has a consensus rating of "Moderate Buy" and a consensus price target of $62.73.

Webster Financial Trading Up 4.0 %

The firm has a 50 day moving average price of $48.64 and a two-hundred day moving average price of $54.40. The firm has a market capitalization of $8.37 billion, a P/E ratio of 11.38, a price-to-earnings-growth ratio of 1.02 and a beta of 1.05. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.84 and a current ratio of 0.84.

Webster Financial (NYSE:WBS - Get Free Report) last posted its quarterly earnings data on Thursday, April 24th. The financial services provider reported $1.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.38 by ($0.08). Webster Financial had a return on equity of 10.82% and a net margin of 18.39%. The firm had revenue of $704.80 million for the quarter, compared to the consensus estimate of $708.46 million. During the same period in the prior year, the company posted $1.35 earnings per share. Webster Financial's quarterly revenue was up 5.7% on a year-over-year basis. On average, equities research analysts expect that Webster Financial Co. will post 5.88 EPS for the current fiscal year.

Webster Financial Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, May 22nd. Shareholders of record on Monday, May 12th will be given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 3.22%. The ex-dividend date of this dividend is Monday, May 12th. Webster Financial's payout ratio is presently 36.04%.

Webster Financial announced that its board has approved a stock buyback plan on Thursday, May 1st that authorizes the company to buyback $700.00 million in outstanding shares. This buyback authorization authorizes the financial services provider to repurchase up to 8.7% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Institutional Trading of Webster Financial

Hedge funds and other institutional investors have recently modified their holdings of the stock. Skandinaviska Enskilda Banken AB publ acquired a new stake in shares of Webster Financial in the 4th quarter valued at $26,000. Headlands Technologies LLC acquired a new stake in Webster Financial in the fourth quarter worth about $32,000. R Squared Ltd bought a new stake in Webster Financial during the 4th quarter worth about $43,000. 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. Finally, Versant Capital Management Inc lifted its position in Webster Financial by 171.2% during the 1st quarter. Versant Capital Management Inc now owns 1,025 shares of the financial services provider's stock valued at $53,000 after purchasing an additional 647 shares during the period. Institutional investors and hedge funds own 85.58% of the company's stock.

About Webster Financial

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.