Webster Financial (NYSE:WBS) Shares Down 3.4% After Analyst Downgrade

Webster Financial Co. (NYSE:WBS) shares traded down 3.4% on Wednesday after Jefferies Financial Group lowered their price target on the stock from $56.00 to $51.00. Jefferies Financial Group currently has a buy rating on the stock. Webster Financial traded as low as $43.58 and last traded at $43.58. 671,818 shares were traded during trading, a decline of 43% from the average session volume of 1,176,493 shares. The stock had previously closed at $45.13.

Several other equities research analysts also recently commented on WBS. Royal Bank of Canada lowered their target price on shares of Webster Financial from $57.00 to $54.00 and set an “outperform” rating for the company in a research note on Wednesday, April 24th. Citigroup reduced their target price on Webster Financial from $60.00 to $55.00 and set a “buy” rating on the stock in a report on Wednesday, April 24th. JPMorgan Chase & Co. lowered their price target on Webster Financial from $63.00 to $58.00 and set an “overweight” rating for the company in a report on Thursday, June 27th. Raymond James reiterated an “outperform” rating and issued a $60.00 price objective on shares of Webster Financial in a research report on Tuesday, March 26th. Finally, StockNews.com upgraded shares of Webster Financial from a “sell” rating to a “hold” rating in a report on Friday, April 26th. Three investment analysts have rated the stock with a hold rating and eleven have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $55.75.

Insider Activity at Webster Financial

In other news, insider Daniel Bley sold 2,280 shares of the firm’s stock in a transaction dated Wednesday, May 1st. The stock was sold at an average price of $44.80, for a total value of $102,144.00. Following the completion of the transaction, the insider now owns 28,693 shares in the company, valued at approximately $1,285,446.40. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.72% of the stock is owned by insiders.

Hedge Funds Weigh In On Webster Financial

Institutional investors have recently added to or reduced their stakes in the company. Rise Advisors LLC bought a new stake in shares of Webster Financial in the 1st quarter valued at about $29,000. Spire Wealth Management increased its holdings in shares of Webster Financial by 79.1% during the 4th quarter. Spire Wealth Management now owns 607 shares of the financial services provider’s stock worth $31,000 after acquiring an additional 268 shares during the last quarter. Bruce G. Allen Investments LLC bought a new stake in Webster Financial in the 4th quarter valued at $42,000. Principal Securities Inc. acquired a new stake in Webster Financial during the 4th quarter valued at $45,000. Finally, EverSource Wealth Advisors LLC boosted its position in Webster Financial by 29.7% during the fourth quarter. EverSource Wealth Advisors LLC now owns 1,114 shares of the financial services provider’s stock worth $57,000 after purchasing an additional 255 shares during the period. 85.58% of the stock is currently owned by institutional investors and hedge funds.

Webster Financial Stock Performance

The stock has a market capitalization of $7.45 billion, a price-to-earnings ratio of 9.09, a P/E/G ratio of 0.53 and a beta of 1.30. The company’s fifty day simple moving average is $43.59 and its 200 day simple moving average is $46.98. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 0.54.

Webster Financial (NYSE:WBS) last announced 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 net margin of 21.09% and a return on equity of 12.55%. The company had revenue of $667.10 million during the quarter, compared to analyst estimates of $680.72 million. During the same quarter last year, the company posted $1.49 EPS. The firm’s quarterly revenue was up .2% on a year-over-year basis. On average, equities research analysts expect that Webster Financial Co. will post 5.56 earnings per share for the current year.

Webster Financial Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, May 16th. Investors of record on Monday, May 6th were paid a $0.40 dividend. The ex-dividend date was Friday, May 3rd. This represents a $1.60 annualized dividend and a yield of 3.68%. Webster Financial’s dividend payout ratio (DPR) is presently 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.