Webster Financial (NYSE:WBS) Lowered to “Sell” at StockNews.com

StockNews.com downgraded shares of Webster Financial (NYSE:WBS) from a hold rating to a sell rating in a research note released on Tuesday.

A number of other research analysts also recently issued reports on WBS. Barclays started coverage on shares of Webster Financial in a research report on Friday, March 8th. They issued an overweight rating and a $70.00 price target on the stock. JPMorgan Chase & Co. raised shares of Webster Financial from a neutral rating to an overweight rating and lifted their target price for the stock from $60.00 to $65.00 in a research report on Wednesday, January 24th. Bank of America assumed coverage on shares of Webster Financial in a research report on Thursday, January 11th. They set a buy rating and a $60.00 price objective on the stock. Royal Bank of Canada decreased their target price on shares of Webster Financial from $59.00 to $57.00 and set an outperform rating for the company in a research report on Tuesday, April 9th. Finally, Jefferies Financial Group decreased their price objective on shares of Webster Financial from $65.00 to $56.00 and set a buy rating for the company in a report on Monday, April 8th. One research analyst has rated the stock with a sell rating, two have issued a hold rating and twelve have issued a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of Moderate Buy and a consensus price target of $57.85.

Webster Financial Price Performance

Webster Financial stock opened at $45.33 on Tuesday. Webster Financial has a 52-week low of $31.03 and a 52-week high of $53.39. The firm has a fifty day moving average of $48.01 and a 200-day moving average of $46.26. The firm has a market capitalization of $7.79 billion, a P/E ratio of 9.27, a PEG ratio of 0.37 and a beta of 1.33. 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 released its quarterly earnings results on Tuesday, January 23rd. The financial services provider reported $1.46 earnings per share for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.02). The firm had revenue of $996.96 million for the quarter, compared to analyst estimates of $674.82 million. Webster Financial had a net margin of 22.01% and a return on equity of 13.05%. During the same period in the previous year, the business posted $1.60 earnings per share. As a group, analysts predict that Webster Financial will post 5.86 EPS for the current year.

Webster Financial Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, February 16th. Investors of record on Monday, February 5th were given a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 3.53%. The ex-dividend date of this dividend was Friday, February 2nd. Webster Financial’s dividend payout ratio (DPR) is currently 32.72%.

Insider Buying and Selling

In other Webster Financial news, insider Charles L. Wilkins sold 3,966 shares of the stock in a transaction dated Thursday, January 25th. The shares were sold at an average price of $51.56, for a total transaction of $204,486.96. Following the sale, the insider now owns 49,528 shares of the company’s stock, valued at approximately $2,553,663.68. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. In related news, COO Luis Massiani sold 13,500 shares of Webster Financial stock in a transaction that occurred on Tuesday, January 30th. The shares were sold at an average price of $51.63, for a total transaction of $697,005.00. Following the transaction, the chief operating officer now owns 89,621 shares of the company’s stock, valued at approximately $4,627,132.23. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Charles L. Wilkins sold 3,966 shares of Webster Financial stock in a transaction that occurred on Thursday, January 25th. The stock was sold at an average price of $51.56, for a total transaction of $204,486.96. Following the transaction, the insider now directly owns 49,528 shares in the company, valued at approximately $2,553,663.68. The disclosure for this sale can be found here. Insiders sold 29,941 shares of company stock worth $1,545,582 in the last quarter. 0.72% of the stock is owned by corporate insiders.

Institutional Trading of Webster Financial

Several hedge funds have recently bought and sold shares of WBS. Charles Schwab Investment Management Inc. grew its stake in shares of Webster Financial by 1.7% in 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 in the last quarter. Hudson Valley Investment Advisors Inc. ADV increased its stake in shares of Webster Financial by 98.1% in 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 holdings in Webster Financial by 7.6% in the third quarter. FDx Advisors Inc. now owns 5,753 shares of the financial services provider’s stock valued at $232,000 after acquiring an additional 408 shares during the last quarter. Envestnet Asset Management Inc. boosted its holdings in shares of Webster Financial by 58.2% during the 3rd quarter. Envestnet Asset Management Inc. now owns 319,379 shares of the financial services provider’s stock worth $12,874,000 after buying an additional 117,437 shares in the last quarter. Finally, Mitsubishi UFJ Kokusai Asset Management Co. Ltd. boosted its holdings in shares of Webster Financial by 15.7% during the 3rd quarter. Mitsubishi UFJ Kokusai Asset Management Co. Ltd. now owns 83,725 shares of the financial services provider’s stock worth $3,375,000 after buying an additional 11,387 shares in the last quarter. 85.58% of the stock is currently owned by institutional investors and hedge funds.

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.