Webster Financial (NYSE:WBS) Cut to Hold at Barclays

Barclays downgraded shares of Webster Financial (NYSE:WBS) from a strong-buy rating to a hold rating in a research report report published on Wednesday morning,Zacks.com reports.

Other equities analysts have also issued reports about the stock. UBS Group lowered shares of Webster Financial from a “buy” rating to a “neutral” rating and decreased their target price for the company from $77.00 to $75.00 in a report on Thursday. Royal Bank Of Canada lowered shares of Webster Financial from a “moderate buy” rating to a “hold” rating and set a $75.00 price target on the stock. in a research report on Wednesday. Weiss Ratings reiterated a “buy (b-)” rating on shares of Webster Financial in a research report on Monday, December 29th. Citigroup reduced their target price on Webster Financial from $77.00 to $75.00 and set a “buy” rating on the stock in a research report on Monday, January 26th. Finally, Stephens reiterated an “equal weight” rating and set a $73.00 price target on shares of Webster Financial in a report on Wednesday. Six investment analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $74.36.

Webster Financial Stock Performance

NYSE WBS opened at $73.28 on Wednesday. The stock’s fifty day moving average is $64.69 and its two-hundred day moving average is $60.76. The firm has a market capitalization of $11.82 billion, a P/E ratio of 12.40, a price-to-earnings-growth ratio of 0.92 and a beta of 1.07. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.86 and a current ratio of 0.86. Webster Financial has a fifty-two week low of $39.43 and a fifty-two week high of $73.50.

Webster Financial (NYSE:WBS) last issued its earnings results on Friday, January 23rd. The financial services provider reported $1.59 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.52 by $0.07. Webster Financial had a return on equity of 11.10% and a net margin of 22.67%.The business had revenue of $760.48 million during the quarter, compared to the consensus estimate of $731.95 million. During the same period last year, the company earned $1.43 EPS. On average, research analysts anticipate that Webster Financial will post 5.88 earnings per share for the current year.

Webster Financial Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, February 19th. Shareholders of record on Monday, February 9th will be given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Monday, February 9th. Webster Financial’s payout ratio is currently 27.07%.

Insider Activity

In other news, CEO John R. Ciulla sold 8,000 shares of the firm’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $55.45, for a total value of $443,600.00. Following the completion of the transaction, the chief executive officer owned 231,872 shares of the company’s stock, valued at approximately $12,857,302.40. This trade represents a 3.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 0.54% of the company’s stock.

Institutional Investors Weigh In On Webster Financial

A number of hedge funds have recently added to or reduced their stakes in the business. Y Intercept Hong Kong Ltd purchased a new stake in Webster Financial in the third quarter valued at $578,000. Assenagon Asset Management S.A. boosted its position in shares of Webster Financial by 959.3% in the 3rd quarter. Assenagon Asset Management S.A. now owns 358,294 shares of the financial services provider’s stock valued at $21,297,000 after purchasing an additional 324,471 shares during the period. Campbell & CO Investment Adviser LLC purchased a new position in Webster Financial during the 3rd quarter worth approximately $1,991,000. Norges Bank acquired a new position in Webster Financial during the second quarter worth approximately $131,780,000. Finally, Pzena Investment Management LLC lifted its stake in Webster Financial by 1.5% in the second quarter. Pzena Investment Management LLC now owns 1,612,758 shares of the financial services provider’s stock valued at $88,057,000 after buying an additional 23,605 shares during the last quarter. 85.58% of the stock is currently owned by institutional investors and hedge funds.

Webster Financial News Summary

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

• Positive Sentiment: Santander agreed to acquire Webster in a transaction that market reports say will increase Santander’s U.S. scale and profitability — this takeover announcement is the primary bullish catalyst for WBS today. Santander to Buy Webster Bank
• Neutral Sentiment: Morgan Stanley trimmed its price target from $77 to $75 and moved to an “equal weight” stance — a modest target cut that still implies small upside vs. current levels, so it’s a minor, mixed signal. Benzinga

Webster Financial Company Profile

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.