Seaport Res Ptn Analysts Reduce Earnings Estimates for Webster Financial Co. (NYSE:WBS)

Webster Financial Co. (NYSE:WBS) – Research analysts at Seaport Res Ptn lowered their Q2 2024 EPS estimates for Webster Financial in a report released on Wednesday, April 24th. Seaport Res Ptn analyst L. Hunsicker now expects that the financial services provider will post earnings of $1.39 per share for the quarter, down from their previous estimate of $1.60. The consensus estimate for Webster Financial’s current full-year earnings is $5.72 per share. Seaport Res Ptn also issued estimates for Webster Financial’s Q3 2024 earnings at $1.42 EPS, FY2024 earnings at $5.64 EPS, Q3 2025 earnings at $1.56 EPS, Q4 2025 earnings at $1.58 EPS and FY2025 earnings at $6.18 EPS.

Webster Financial (NYSE:WBS) last posted its quarterly earnings results on Tuesday, April 23rd. The financial services provider reported $1.35 EPS for the quarter, missing analysts’ consensus estimates of $1.37 by ($0.02). Webster Financial had a return on equity of 12.55% and a net margin of 21.09%. The company had revenue of $667.10 million during the quarter, compared to the consensus estimate of $680.72 million. During the same period last year, the firm posted $1.49 EPS. The company’s revenue for the quarter was up .2% compared to the same quarter last year.

Several other research analysts also recently weighed in on WBS. Morgan Stanley increased their price target on Webster Financial from $51.00 to $61.00 and gave the stock an “overweight” rating in a research note on Wednesday, February 7th. Bank of America began coverage on shares of Webster Financial in a research note on Thursday, January 11th. They issued a “buy” rating and a $60.00 target price for the company. JPMorgan Chase & Co. lowered their price target on shares of Webster Financial from $65.00 to $63.00 and set an “overweight” rating on the stock in a research report on Wednesday. StockNews.com raised shares of Webster Financial from a “sell” rating to a “hold” rating in a report on Friday. Finally, Keefe, Bruyette & Woods lowered their target price on shares of Webster Financial from $64.00 to $58.00 and set an “outperform” rating on the stock in a report on Wednesday. Three research analysts have rated the stock with a hold rating and twelve have given a buy rating to the stock. According to data from MarketBeat, Webster Financial has an average rating of “Moderate Buy” and an average target price of $56.23.

Webster Financial Stock Performance

NYSE:WBS opened at $45.02 on Friday. The company has a market capitalization of $7.73 billion, a P/E ratio of 9.23, a P/E/G ratio of 0.37 and a beta of 1.33. The business has a fifty day simple moving average of $47.88 and a two-hundred day simple moving average of $46.48. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.86 and a quick ratio of 0.85. Webster Financial has a 1 year low of $31.03 and a 1 year high of $53.39.

Institutional Investors Weigh In On Webster Financial

A number of large investors have recently added to or reduced their stakes in the company. Charles Schwab Investment Management Inc. boosted its holdings in shares of Webster Financial by 1.7% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,278,976 shares of the financial services provider’s stock worth $51,556,000 after purchasing an additional 21,026 shares in the last quarter. Hudson Valley Investment Advisors Inc. ADV lifted its position in Webster Financial by 98.1% in the 4th quarter. Hudson Valley Investment Advisors Inc. ADV now owns 149,258 shares of the financial services provider’s stock worth $7,576,000 after buying an additional 73,924 shares during the last quarter. FDx Advisors Inc. lifted its position in Webster Financial by 7.6% in the 3rd quarter. FDx Advisors Inc. now owns 5,753 shares of the financial services provider’s stock worth $232,000 after buying an additional 408 shares during the last quarter. Envestnet Asset Management Inc. boosted its stake in Webster Financial by 58.2% in the third quarter. Envestnet Asset Management Inc. now owns 319,379 shares of the financial services provider’s stock worth $12,874,000 after buying an additional 117,437 shares in the last quarter. Finally, Mitsubishi UFJ Kokusai Asset Management Co. Ltd. grew its position in Webster Financial by 15.7% during the third quarter. Mitsubishi UFJ Kokusai Asset Management Co. Ltd. now owns 83,725 shares of the financial services provider’s stock valued at $3,375,000 after acquiring an additional 11,387 shares during the last quarter. Hedge funds and other institutional investors own 85.58% of the company’s stock.

Insider Buying and Selling

In related news, insider Daniel Bley sold 2,000 shares of the business’s stock in a transaction dated Thursday, February 29th. The stock was sold at an average price of $47.60, for a total transaction of $95,200.00. Following the completion of the transaction, the insider now directly owns 27,955 shares in the company, valued at $1,330,658. The transaction was disclosed in a document filed with the SEC, which is available through this link. In other news, COO Luis Massiani sold 13,500 shares of the firm’s stock in a transaction on Tuesday, January 30th. The shares were sold at an average price of $51.63, for a total transaction of $697,005.00. Following the sale, the chief operating officer now owns 89,621 shares in the company, valued at approximately $4,627,132.23. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Daniel Bley sold 2,000 shares of Webster Financial stock in a transaction on Thursday, February 29th. The stock was sold at an average price of $47.60, for a total transaction of $95,200.00. Following the sale, the insider now directly owns 27,955 shares of the company’s stock, valued at $1,330,658. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 25,975 shares of company stock worth $1,341,095. Corporate insiders own 0.88% of the company’s stock.

Webster Financial Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, May 16th. Stockholders of record on Monday, May 6th will be issued a $0.40 dividend. The ex-dividend date is Friday, May 3rd. This represents a $1.60 annualized dividend and a dividend yield of 3.55%. Webster Financial’s payout ratio is currently 32.79%.

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.