Webster Financial (NYSE:WBS) Hits New 52-Week Low After Insider Selling

Webster Financial Co. (NYSE:WBS) shares reached 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. The stock had previously closed at $47.70.

Specifically, insider Daniel Bley sold 1,800 shares of the stock in a transaction on Tuesday, April 29th. The stock was sold at an average price of $47.84, for a total value of $86,112.00. Following the completion of the transaction, the insider now owns 21,517 shares in the company, valued at approximately $1,029,373.28. This represents a 7.72 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on the stock. Barclays cut their price target on shares of Webster Financial from $80.00 to $72.00 and set an “overweight” rating for the company in a report on Tuesday, April 8th. Keefe, Bruyette & Woods reduced their price target on shares of Webster Financial from $70.00 to $65.00 and set an “outperform” rating for the company in a research report on Friday, April 25th. Raymond James lowered their price target on Webster Financial from $65.00 to $58.00 and set an “outperform” rating on the stock in a report on Wednesday, April 2nd. JPMorgan Chase & Co. reduced their price objective on Webster Financial from $67.00 to $65.00 and set an “overweight” rating for the company in a report on Tuesday, January 7th. Finally, StockNews.com raised Webster Financial from a “sell” rating to a “hold” rating in a report on Saturday, January 11th. Three equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $62.73.

Webster Financial Trading Up 1.3 %

The firm has a market cap of $8.06 billion, a price-to-earnings ratio of 10.96, a price-to-earnings-growth ratio of 1.02 and a beta of 1.05. The business has a 50 day moving average of $48.76 and a 200 day moving average of $54.35. The company has a quick ratio of 0.84, a current ratio of 0.84 and a debt-to-equity ratio of 0.34.

Webster Financial (NYSE:WBS) last released its quarterly earnings results 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). The firm had revenue of $704.80 million for the quarter, compared to analyst estimates of $708.46 million. Webster Financial had a return on equity of 10.82% and a net margin of 18.39%. Webster Financial’s revenue for the quarter was up 5.7% on a year-over-year basis. During the same period in the prior year, the business earned $1.35 earnings per share. On average, research analysts forecast that Webster Financial Co. will post 5.88 earnings per share for the current fiscal year.

Webster Financial Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, May 22nd. Shareholders of record on Monday, May 12th will be issued a $0.40 dividend. The ex-dividend date of this dividend is Monday, May 12th. This represents a $1.60 annualized dividend and a yield of 3.34%. Webster Financial’s dividend payout ratio (DPR) is presently 36.04%.

Webster Financial announced that its board has initiated a stock repurchase program on Thursday, May 1st that allows the company to buyback $700.00 million in outstanding shares. This buyback authorization allows the financial services provider to buy up to 8.7% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Institutional Investors Weigh In On Webster Financial

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. HighTower Advisors LLC boosted its stake in Webster Financial by 0.6% in the 4th quarter. HighTower Advisors LLC now owns 32,155 shares of the financial services provider’s stock worth $1,776,000 after buying an additional 177 shares during the last quarter. Sanctuary Advisors LLC lifted its holdings in shares of Webster Financial by 0.9% during the 4th quarter. Sanctuary Advisors LLC now owns 19,336 shares of the financial services provider’s stock worth $1,163,000 after acquiring an additional 178 shares during the period. Kovitz Investment Group Partners LLC boosted its position in shares of Webster Financial by 3.2% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 5,912 shares of the financial services provider’s stock worth $326,000 after acquiring an additional 186 shares during the last quarter. Cardinal Capital Management grew its holdings in Webster Financial by 0.4% in the fourth quarter. Cardinal Capital Management now owns 49,983 shares of the financial services provider’s stock valued at $2,760,000 after purchasing an additional 189 shares during the period. Finally, US Bancorp DE increased its position in Webster Financial by 2.8% during the fourth quarter. US Bancorp DE now owns 7,143 shares of the financial services provider’s stock worth $394,000 after purchasing an additional 192 shares during the last quarter. Hedge funds and other institutional investors own 85.58% of the company’s stock.

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.