Webster Financial (NYSE:WBS) Reaches New 52-Week High – Still a Buy?

Webster Financial Corporation (NYSE:WBS)’s share price reached a new 52-week high on Monday . The company traded as high as $74.12 and last traded at $74.5930, with a volume of 392 shares trading hands. The stock had previously closed at $73.91.

Analyst Ratings Changes

A number of analysts recently weighed in on the company. Keefe, Bruyette & Woods decreased their price target on Webster Financial from $79.00 to $77.50 and set an “outperform” rating on the stock in a research note on Friday, May 1st. Santander downgraded Webster Financial from a “neutral” rating to an “underweight” rating in a research report on Tuesday, March 3rd. UBS Group began coverage on Webster Financial in a research report on Tuesday, April 7th. They set a “neutral” rating and a $69.00 target price on the stock. Weiss Ratings reiterated a “buy (b)” rating on shares of Webster Financial in a research report on Friday. Finally, Wells Fargo & Company upgraded Webster Financial from a “strong sell” rating to a “hold” rating in a research report on Wednesday, March 4th. Four investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Webster Financial currently has a consensus rating of “Hold” and an average target price of $73.96.

Webster Financial Stock Performance

The stock has a 50-day simple moving average of $72.32 and a 200 day simple moving average of $68.87. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.87 and a quick ratio of 0.87. The company has a market capitalization of $12.13 billion, a PE ratio of 12.25 and a beta of 1.00.

Webster Financial (NYSE:WBS) last released its quarterly earnings results on Tuesday, April 28th. The financial services provider reported $1.57 earnings per share for the quarter, topping analysts’ consensus estimates of $1.53 by $0.04. Webster Financial had a return on equity of 11.31% and a net margin of 22.95%.The company had revenue of $764.05 million during the quarter, compared to analysts’ expectations of $735.26 million. During the same period in the previous year, the firm posted $1.30 earnings per share. The business’s revenue for the quarter was up 4.4% compared to the same quarter last year. Equities analysts anticipate that Webster Financial Corporation will post 6.59 EPS for the current fiscal year.

Webster Financial Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, May 21st. Stockholders of record on Monday, May 11th were issued a $0.40 dividend. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date of this dividend was Monday, May 11th. Webster Financial’s payout ratio is 26.19%.

Hedge Funds Weigh In On Webster Financial

A number of institutional investors have recently made changes to their positions in the stock. Grove Bank & Trust raised its holdings in shares of Webster Financial by 18.7% in the fourth quarter. Grove Bank & Trust now owns 1,005 shares of the financial services provider’s stock worth $63,000 after acquiring an additional 158 shares during the last quarter. Farther Finance Advisors LLC raised its holdings in shares of Webster Financial by 39.7% in the fourth quarter. Farther Finance Advisors LLC now owns 560 shares of the financial services provider’s stock worth $35,000 after acquiring an additional 159 shares during the last quarter. Curi Capital LLC raised its holdings in shares of Webster Financial by 0.3% in the second quarter. Curi Capital LLC now owns 68,500 shares of the financial services provider’s stock worth $3,740,000 after acquiring an additional 182 shares during the last quarter. Brown Brothers Harriman & Co. raised its holdings in shares of Webster Financial by 27.9% in the third quarter. Brown Brothers Harriman & Co. now owns 839 shares of the financial services provider’s stock worth $50,000 after acquiring an additional 183 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd raised its holdings in shares of Webster Financial by 37.8% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 674 shares of the financial services provider’s stock worth $42,000 after acquiring an additional 185 shares during the last quarter. 85.58% of the stock is owned by institutional investors and hedge funds.

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.