Webster Financial Co. (NYSE:WBS) declared a quarterly dividend on Tuesday, July 21st, Zacks reports. Stockholders of record on Wednesday, August 5th will be given a dividend of 0.40 per share by the financial services provider on Wednesday, August 19th. This represents a $1.60 annualized dividend and a dividend yield of 5.87%. The ex-dividend date of this dividend is Tuesday, August 4th.
Webster Financial has increased its dividend by an average of 56.1% annually over the last three years and has raised its dividend every year for the last 9 years. Webster Financial has a dividend payout ratio of 76.6% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings tumble. Analysts expect Webster Financial to earn $2.68 per share next year, which means the company should continue to be able to cover its $1.60 annual dividend with an expected future payout ratio of 59.7%.
Webster Financial stock opened at $27.27 on Friday. Webster Financial has a 12 month low of $18.16 and a 12 month high of $54.04. The stock’s 50 day moving average is $27.30 and its 200-day moving average is $31.80. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 0.36. The company has a market capitalization of $2.46 billion, a price-to-earnings ratio of 9.18 and a beta of 1.71.
Webster Financial (NYSE:WBS) last posted its earnings results on Thursday, July 23rd. The financial services provider reported $0.57 EPS for the quarter, beating the consensus estimate of $0.54 by $0.03. Webster Financial had a return on equity of 9.30% and a net margin of 20.01%. The company had revenue of $284.48 million for the quarter, compared to the consensus estimate of $298.68 million. During the same quarter in the prior year, the business earned $1.05 earnings per share. As a group, equities research analysts predict that Webster Financial will post 2.36 earnings per share for the current fiscal year.
A number of equities research analysts recently issued reports on the company. Wells Fargo & Co reissued a “buy” rating and set a $29.00 price target (up previously from $27.00) on shares of Webster Financial in a research report on Tuesday, July 7th. Royal Bank of Canada assumed coverage on Webster Financial in a research report on Wednesday, June 24th. They set an “outperform” rating and a $37.00 price target on the stock. Compass Point downgraded Webster Financial from a “buy” rating to a “neutral” rating and set a $24.00 price target on the stock. in a research report on Wednesday, April 22nd. ValuEngine downgraded Webster Financial from a “hold” rating to a “sell” rating in a research report on Friday, May 1st. Finally, UBS Group increased their price target on Webster Financial from $22.50 to $23.50 and gave the stock a “neutral” rating in a research report on Friday, May 15th. Two research analysts have rated the stock with a sell rating, five have given a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company’s stock. The company has an average rating of “Hold” and a consensus price target of $36.44.
In other Webster Financial news, CFO Glenn I. Macinnes bought 5,000 shares of Webster Financial stock in a transaction on Wednesday, May 13th. The shares were purchased at an average price of $21.34 per share, with a total value of $106,700.00. Following the acquisition, the chief financial officer now owns 115,502 shares in the company, valued at approximately $2,464,812.68. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director William L. Atwell bought 2,500 shares of Webster Financial stock in a transaction on Thursday, May 14th. The stock was acquired at an average cost of $20.16 per share, for a total transaction of $50,400.00. Following the acquisition, the director now owns 33,709 shares in the company, valued at approximately $679,573.44. The disclosure for this purchase can be found here. Company insiders own 1.46% of the company’s stock.
About Webster Financial
Webster Financial Corporation operates as the holding company for Webster Bank, National Association that provides a range of banking, investment, and financial services to individuals, families, and businesses in the United States. It operates through three segments: Commercial Banking, HSA Bank, and Community Banking.
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