Wedbush Comments on Webster Financial Co.’s Q2 2024 Earnings (NYSE:WBS)

Webster Financial Co. (NYSE:WBS) – Equities research analysts at Wedbush reduced their Q2 2024 earnings per share (EPS) estimates for Webster Financial in a report issued on Tuesday, April 23rd. Wedbush analyst D. Chiaverini now forecasts that the financial services provider will post earnings per share of $1.35 for the quarter, down from their previous forecast of $1.45. The consensus estimate for Webster Financial’s current full-year earnings is $5.72 per share. Wedbush also issued estimates for Webster Financial’s Q3 2024 earnings at $1.50 EPS and FY2024 earnings at $5.80 EPS.

Webster Financial (NYSE:WBS) last issued its quarterly earnings results on Tuesday, April 23rd. The financial services provider reported $1.35 earnings per share for the quarter, missing the consensus estimate 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 for the quarter, compared to the consensus estimate of $680.72 million. During the same quarter in the previous year, the business earned $1.49 earnings per share. Webster Financial’s revenue was up .2% compared to the same quarter last year.

Other equities research analysts also recently issued reports about the company. Jefferies Financial Group reduced their price objective on Webster Financial from $65.00 to $56.00 and set a “buy” rating for the company in a report on Monday, April 8th. Keefe, Bruyette & Woods reduced their price objective on Webster Financial from $64.00 to $58.00 and set an “outperform” rating for the company in a report on Wednesday. JPMorgan Chase & Co. reduced their price objective on Webster Financial from $65.00 to $63.00 and set an “overweight” rating for the company in a report on Wednesday. Barclays reduced their price objective on Webster Financial from $70.00 to $65.00 and set an “overweight” rating for the company in a report on Wednesday. Finally, Bank of America assumed coverage on Webster Financial in a report on Thursday, January 11th. They issued a “buy” rating and a $60.00 price objective for the company. Three equities research analysts have rated the stock with a hold rating and twelve have given a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $56.23.

Webster Financial Price Performance

Shares of NYSE:WBS opened at $45.48 on Friday. Webster Financial has a 1-year low of $31.03 and a 1-year high of $53.39. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.86 and a quick ratio of 0.85. The business has a fifty day moving average price of $47.94 and a 200-day moving average price of $46.49. The company has a market capitalization of $7.81 billion, a PE ratio of 9.32, a PEG ratio of 0.37 and a beta of 1.33.

Institutional Trading of Webster Financial

Large investors have recently added to or reduced their stakes in the company. FMR LLC lifted its holdings in shares of Webster Financial by 22.6% in the 3rd quarter. FMR LLC now owns 7,258,411 shares of the financial services provider’s stock worth $292,587,000 after buying an additional 1,339,862 shares during the period. Dimensional Fund Advisors LP lifted its stake in shares of Webster Financial by 12.3% during the 4th quarter. Dimensional Fund Advisors LP now owns 3,916,013 shares of the financial services provider’s stock worth $198,785,000 after purchasing an additional 430,331 shares during the last quarter. Bank of New York Mellon Corp lifted its stake in shares of Webster Financial by 1.8% during the 3rd quarter. Bank of New York Mellon Corp now owns 2,732,942 shares of the financial services provider’s stock worth $110,165,000 after purchasing an additional 48,445 shares during the last quarter. Earnest Partners LLC lifted its stake in shares of Webster Financial by 8.4% during the 3rd quarter. Earnest Partners LLC now owns 2,394,951 shares of the financial services provider’s stock worth $96,540,000 after purchasing an additional 184,905 shares during the last quarter. Finally, Davis Asset Management L.P. lifted its stake in shares of Webster Financial by 14.3% during the 4th quarter. Davis Asset Management L.P. now owns 2,000,000 shares of the financial services provider’s stock worth $101,520,000 after purchasing an additional 250,000 shares during the last quarter. Institutional investors own 85.58% of the company’s stock.

Insider Activity

In other news, insider Christopher J. Motl sold 10,475 shares of Webster Financial stock in a transaction dated Tuesday, January 30th. The stock was sold at an average price of $52.40, for a total transaction of $548,890.00. Following the transaction, the insider now directly owns 63,306 shares of the company’s stock, valued at approximately $3,317,234.40. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. In related news, COO Luis Massiani sold 13,500 shares of the business’s stock in a transaction that occurred on Tuesday, January 30th. The stock was sold at an average price of $51.63, for a total value of $697,005.00. Following the transaction, the chief operating officer now directly 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 SEC, which can be accessed through the SEC website. Also, insider Christopher J. Motl sold 10,475 shares of the business’s stock in a transaction that occurred on Tuesday, January 30th. The stock was sold at an average price of $52.40, for a total value of $548,890.00. Following the completion of the transaction, the insider now directly owns 63,306 shares in the company, valued at $3,317,234.40. The disclosure for this sale can be found here. Insiders have sold a total of 25,975 shares of company stock valued at $1,341,095 in the last ninety days. Corporate insiders own 0.88% of the company’s stock.

Webster Financial Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, May 16th. Stockholders of record on Monday, May 6th will be given a dividend of $0.40 per share. The ex-dividend date is Friday, May 3rd. This represents a $1.60 dividend on an annualized basis and a dividend yield of 3.52%. Webster Financial’s payout ratio is currently 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.