Zacks Investment Research upgraded shares of Webster Financial Corporation (NYSE:WBS) from a sell rating to a hold rating in a research note released on Monday morning.
According to Zacks, “Shares of Webster Financial have outperformed the industry over the past six months. The performance was supported by the company’s impressive earnings surprise history. It hasn’t missed the Zacks Consensus Estimate for earnings in any of the trailing four quarters. Webster Financial’s consistent growth in loans and deposits and easing margin pressure will aid profitability. Also, top-line strength and ample liquidity keep us encouraged. Further, its efforts to strengthen HSA Bank segment bode well for the long term. However, consistently rising cost base remains a major concern and significant exposure to commercial loans could pose a threat to its financials. Further, a stretched valuation indicates limited upside potential for the stock.”
Several other research analysts have also recently weighed in on WBS. BidaskClub cut Webster Financial Corporation from a hold rating to a sell rating in a research report on Saturday, June 24th. Wedbush reiterated an outperform rating and set a $60.00 price target on shares of Webster Financial Corporation in a research report on Tuesday, June 27th. Jefferies Group LLC reiterated a hold rating and set a $53.00 price target on shares of Webster Financial Corporation in a research report on Friday, July 14th. Piper Jaffray Companies reiterated a sell rating and set a $46.00 price target on shares of Webster Financial Corporation in a research report on Friday, July 14th. Finally, ValuEngine upgraded Webster Financial Corporation from a hold rating to a buy rating in a research report on Friday, September 1st. Two research analysts have rated the stock with a sell rating, seven have given a hold rating and two have assigned a buy rating to the company. Webster Financial Corporation has a consensus rating of Hold and an average price target of $53.00.
Shares of Webster Financial Corporation (NYSE WBS) opened at 53.04 on Monday. Webster Financial Corporation has a 52-week low of $36.96 and a 52-week high of $57.50. The stock has a market cap of $4.88 billion, a price-to-earnings ratio of 22.10 and a beta of 1.26. The stock’s 50 day moving average is $49.48 and its 200 day moving average is $50.38.
Webster Financial Corporation (NYSE:WBS) last released its earnings results on Friday, July 21st. The financial services provider reported $0.64 EPS for the quarter, topping the Zacks’ consensus estimate of $0.60 by $0.04. Webster Financial Corporation had a return on equity of 9.49% and a net margin of 20.43%. The firm had revenue of $262.50 million during the quarter, compared to the consensus estimate of $260.91 million. During the same quarter in the previous year, the company posted $0.53 earnings per share. On average, equities analysts predict that Webster Financial Corporation will post $2.55 EPS for the current fiscal year.
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In other news, EVP Daniel Bley sold 8,000 shares of Webster Financial Corporation stock in a transaction that occurred on Thursday, July 27th. The stock was sold at an average price of $51.20, for a total value of $409,600.00. Following the sale, the executive vice president now directly owns 25,657 shares of the company’s stock, valued at $1,313,638.40. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Nitin J. Mhatre sold 31,940 shares of Webster Financial Corporation stock in a transaction that occurred on Wednesday, August 2nd. The stock was sold at an average price of $51.34, for a total value of $1,639,799.60. Following the completion of the sale, the executive vice president now directly owns 23,120 shares in the company, valued at $1,186,980.80. The disclosure for this sale can be found here. Insiders own 2.20% of the company’s stock.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in WBS. US Bancorp DE boosted its stake in Webster Financial Corporation by 8.0% during the first quarter. US Bancorp DE now owns 4,551 shares of the financial services provider’s stock worth $229,000 after buying an additional 339 shares during the last quarter. Parametric Portfolio Associates LLC boosted its stake in Webster Financial Corporation by 11.0% during the first quarter. Parametric Portfolio Associates LLC now owns 92,120 shares of the financial services provider’s stock worth $4,610,000 after buying an additional 9,138 shares during the last quarter. Prudential Financial Inc. boosted its stake in Webster Financial Corporation by 6.5% during the first quarter. Prudential Financial Inc. now owns 61,784 shares of the financial services provider’s stock worth $3,092,000 after buying an additional 3,798 shares during the last quarter. Victory Capital Management Inc. acquired a new position in Webster Financial Corporation during the first quarter worth $1,027,000. Finally, Principal Financial Group Inc. boosted its stake in Webster Financial Corporation by 2.5% during the first quarter. Principal Financial Group Inc. now owns 371,682 shares of the financial services provider’s stock worth $18,599,000 after buying an additional 9,145 shares during the last quarter. 93.67% of the stock is currently owned by institutional investors.
Webster Financial Corporation Company Profile
Webster Financial Corporation is a bank and financial holding company. The Company’s segments include Commercial Banking, Community Banking, HSA Bank, Private Banking, and Corporate and Reconciling. The Commercial Banking segment includes middle-market, asset-based lending, commercial real estate, equipment finance, and treasury and payment solutions, which includes government and institutional banking.
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