Wedbush Comments on Webster Financial Co.’s Q1 2024 Earnings (NYSE:WBS)

Webster Financial Co. (NYSE:WBS) – Wedbush decreased their Q1 2024 earnings per share (EPS) estimates for Webster Financial in a report released on Wednesday, March 27th. Wedbush analyst D. Chiaverini now anticipates that the financial services provider will earn $1.33 per share for the quarter, down from their previous forecast of $1.37. The consensus estimate for Webster Financial’s current full-year earnings is $5.90 per share. Wedbush also issued estimates for Webster Financial’s FY2024 earnings at $5.90 EPS, Q1 2025 earnings at $1.54 EPS, Q2 2025 earnings at $1.60 EPS, Q3 2025 earnings at $1.70 EPS and Q4 2025 earnings at $1.76 EPS.

A number of other brokerages have also weighed in on WBS. Keefe, Bruyette & Woods reiterated an “outperform” rating and set a $64.00 target price on shares of Webster Financial in a research note on Tuesday. Royal Bank of Canada reiterated an “outperform” rating and issued a $59.00 price target on shares of Webster Financial in a research note on Wednesday, January 24th. StockNews.com raised Webster Financial from a “sell” rating to a “hold” rating in a report on Thursday. Citigroup cut their target price on Webster Financial from $61.00 to $60.00 and set a “buy” rating on the stock in a report on Thursday, January 25th. Finally, Piper Sandler lifted their target price on Webster Financial from $53.00 to $60.00 and gave the stock an “overweight” rating in a report on Friday, December 15th. Three 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, Webster Financial presently has a consensus rating of “Moderate Buy” and a consensus price target of $57.31.

Webster Financial Stock Performance

WBS opened at $50.74 on Thursday. Webster Financial has a 12-month low of $31.03 and a 12-month high of $53.39. The stock has a market cap of $8.71 billion, a price-to-earnings ratio of 10.38, a PEG ratio of 0.34 and a beta of 1.32. The business has a 50 day moving average of $48.54 and a 200-day moving average of $45.55. The company has a quick ratio of 0.85, a current ratio of 0.85 and a debt-to-equity ratio of 0.41.

Webster Financial (NYSE:WBS) last issued its quarterly earnings results on Tuesday, January 23rd. The financial services provider reported $1.46 EPS for the quarter, missing the consensus estimate of $1.48 by ($0.02). Webster Financial had a net margin of 22.01% and a return on equity of 13.05%. The company had revenue of $996.96 million for the quarter, compared to analyst estimates of $674.82 million. During the same period last year, the company posted $1.60 earnings per share.

Institutional Trading of Webster Financial

Institutional investors have recently added to or reduced their stakes in the business. Charles Schwab Investment Management Inc. boosted its position in Webster Financial by 1.7% during the third quarter. Charles Schwab Investment Management Inc. now owns 1,278,976 shares of the financial services provider’s stock valued at $51,556,000 after buying an additional 21,026 shares during the period. Hudson Valley Investment Advisors Inc. ADV boosted its position in Webster Financial by 98.1% during the fourth quarter. Hudson Valley Investment Advisors Inc. ADV now owns 149,258 shares of the financial services provider’s stock valued at $7,576,000 after buying an additional 73,924 shares during the period. FDx Advisors Inc. boosted its position in Webster Financial by 7.6% during the third quarter. FDx Advisors Inc. now owns 5,753 shares of the financial services provider’s stock valued at $232,000 after buying an additional 408 shares during the period. Envestnet Asset Management Inc. boosted its position in Webster Financial by 58.2% during the third quarter. Envestnet Asset Management Inc. now owns 319,379 shares of the financial services provider’s stock valued at $12,874,000 after buying an additional 117,437 shares during the period. Finally, Mitsubishi UFJ Kokusai Asset Management Co. Ltd. boosted 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 buying an additional 11,387 shares during the period. 85.58% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In related news, insider Daniel Bley sold 2,000 shares of the company’s stock in a transaction that occurred on Thursday, February 29th. The stock was sold at an average price of $47.60, for a total value of $95,200.00. Following the transaction, the insider now 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 the SEC website. In other news, insider Christopher J. Motl sold 10,475 shares of the company’s stock in a transaction on Tuesday, January 30th. The shares were sold at an average price of $52.40, for a total value of $548,890.00. Following the transaction, the insider now owns 63,306 shares of the company’s stock, valued at $3,317,234.40. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Daniel Bley sold 2,000 shares of the stock in a transaction on Thursday, February 29th. The shares were sold at an average price of $47.60, for a total value of $95,200.00. Following the completion of the transaction, the insider now directly owns 27,955 shares in the company, valued at approximately $1,330,658. The disclosure for this sale can be found here. In the last ninety days, insiders sold 34,941 shares of company stock valued at $1,796,482. Corporate insiders own 0.88% of the company’s stock.

Webster Financial Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 16th. Shareholders of record on Monday, February 5th were issued a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a yield of 3.15%. The ex-dividend date of this dividend was Friday, February 2nd. Webster Financial’s dividend payout ratio is currently 32.72%.

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.