Webster Financial (NYSE:WBS) Stock Rating Lowered by TD Cowen

Webster Financial (NYSE:WBS) was downgraded by research analysts at TD Cowen from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

Other equities research analysts have also issued reports about the company. Stephens restated an “equal weight” rating and set a $73.00 price target on shares of Webster Financial in a research report on Wednesday. UBS Group lowered Webster Financial from a “buy” rating to a “neutral” rating and lowered their target price for the company from $77.00 to $75.00 in a research note on Thursday. JPMorgan Chase & Co. lifted their price target on Webster Financial from $70.00 to $75.00 and gave the company an “overweight” rating in a report on Tuesday, December 16th. Santander lowered shares of Webster Financial to a “hold” rating in a report on Wednesday. Finally, Royal Bank Of Canada cut shares of Webster Financial from a “moderate buy” rating to a “hold” rating and set a $75.00 price objective for the company. in a research report on Wednesday. Eight analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Webster Financial has a consensus rating of “Moderate Buy” and a consensus price target of $74.36.

Webster Financial Trading Down 0.3%

Shares of Webster Financial stock opened at $72.04 on Wednesday. Webster Financial has a 12-month low of $39.43 and a 12-month high of $73.50. The stock has a market capitalization of $11.62 billion, a P/E ratio of 12.19, a price-to-earnings-growth ratio of 0.93 and a beta of 1.07. The company has a 50-day simple moving average of $64.42 and a 200 day simple moving average of $60.67. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 0.40.

Webster Financial (NYSE:WBS) last released its quarterly earnings results on Friday, January 23rd. The financial services provider reported $1.59 EPS for the quarter, beating analysts’ consensus estimates of $1.52 by $0.07. The firm had revenue of $760.48 million for the quarter, compared to analyst estimates of $731.95 million. Webster Financial had a net margin of 22.67% and a return on equity of 11.10%. During the same period in the previous year, the business earned $1.43 earnings per share. Research analysts expect that Webster Financial will post 5.88 earnings per share for the current fiscal year.

Insider Transactions at Webster Financial

In other Webster Financial news, CEO John R. Ciulla sold 8,000 shares of the company’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $55.45, for a total transaction of $443,600.00. Following the transaction, the chief executive officer directly owned 231,872 shares in the company, valued at approximately $12,857,302.40. This represents a 3.34% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.54% of the company’s stock.

Institutional Investors Weigh In On Webster Financial

Institutional investors and hedge funds have recently modified their holdings of the business. BOKF NA acquired a new position in Webster Financial in the third quarter valued at approximately $26,000. Flagship Harbor Advisors LLC bought a new stake in shares of Webster Financial during the 4th quarter valued at $28,000. Root Financial Partners LLC bought a new stake in shares of Webster Financial during the 3rd quarter valued at $29,000. Caitong International Asset Management Co. Ltd acquired a new position in shares of Webster Financial in the 3rd quarter valued at $29,000. Finally, Wilmington Savings Fund Society FSB bought a new position in shares of Webster Financial in the 3rd quarter worth $33,000. 85.58% of the stock is owned by institutional investors.

Trending Headlines about Webster Financial

Here are the key news stories impacting Webster Financial this week:

• Positive Sentiment: Santander agreed to buy Webster in a roughly $12.2–$12.3B cash-and-stock deal that values WBS near $75.59 per share — a concrete exit price that benefits holders and explains recent trading. Zacks: WBS Agrees to Buyout
• Neutral Sentiment: Morgan Stanley trimmed its price target to $75 and moved to “equal weight,” leaving only modest upside vs. the deal price — a small technical adjustment rather than a rejection of the transaction. Benzinga: Morgan Stanley PT Cut
• Neutral Sentiment: Other analysts (Investec/Jefferies) framed the takeover as a fair/takeout valuation that limits further upside, supporting “hold”/neutral stances and target levels near the deal price. TipRanks: Hold Rating Notes
• Negative Sentiment: Multiple broker downgrades (TD Cowen, Jefferies, Stephens among others) to “hold”/“equal weight” have increased selling pressure and signaled limited upside ahead of deal close. Zacks: Analyst Downgrades
• Negative Sentiment: Several shareholder-law firms (Kahn Swick & Foti, Halper Sadeh, Johnson Fistel) have opened investigations into the adequacy of price and process for the sale, introducing litigation/closing-risk uncertainty. BusinessWire: KSF Investigation
• Negative Sentiment: Santander’s own shares moved lower after the deal announcement, a reminder that acquirer stock performance (and financing/market reaction) could affect deal dynamics or perceived execution risk. MSN: Santander Shares Down

About Webster Financial

Webster Financial Corporation is a bank holding company headquartered in Waterbury, Connecticut. Through its principal subsidiary, Webster Bank, N.A., the company offers a broad range of banking products and financial services to individuals, small businesses, and middle-market commercial clients. Key offerings include deposit accounts, residential and commercial real estate lending, equipment finance, treasury management, and payment processing solutions.

In addition to traditional banking services, Webster Financial provides wealth management and insurance products designed to help clients plan for retirement, preserve assets, and manage risk.