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WBS:NYSEWebster Financial Corporation Analysis

Data as of 2026-08-01 - not real-time

$77.22

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

Webster Financial (WBS) trades at $77.22, comfortably above its 20‑day ($76.41) and 50‑day ($74.94) moving averages, indicating a short‑term bullish bias. The stock benefits from a solid operating margin of 50.6% and a profit margin of 36.8%, while revenue grew 5.8% YoY to $2.77 B. At a forward PE of 10.74 versus the industry average of 18.03, the valuation appears attractive, and the 2.07% dividend yield with a 26% payout ratio suggests sustainable income.
Technical signals, however, show the price hovering near the $77.69 resistance level with a bearish MACD crossover and a neutral RSI of 57.6, hinting at possible short‑term consolidation. The 30‑day volatility of 14.2% and a beta of 0.86 point to moderate price swings and lower market sensitivity, while the DCF fair value of $83.71 implies upside potential if the stock can break through the current ceiling.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Price near resistance at $77.69
  • Bearish MACD crossover
  • Stable volume and moderate volatility

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Undervalued relative to industry PE and DCF
  • Strong operating and profit margins
  • Sustainable dividend yield

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Robust cash position versus debt
  • Low beta indicating defensive profile
  • Consistent earnings growth and dividend sustainability

Key Metrics & Analysis

Financial Health

Revenue Growth5.80%
Profit Margin36.83%
P/E Ratio12.6
ROE10.68%
ROA1.22%
P/B Ratio1.3
Op. Cash Flow$1.4B
Industry P/E18.0

Technical Analysis

TrendBullish
RSI57.6
Support$75.07
Resistance$77.69
MA 20$76.41
MA 50$74.94
MA 200$68.18
MACDBearish
VolumeStable
Fear & Greed Index92.88

Valuation

Fair Value$83.71
Target Price$75.42
Upside/Downside-2.34%
GradeUndervalued
TypeBlend
Dividend Yield2.07%

Risk Assessment

Beta0.86
Volatility14.25%
Sector RiskMedium
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.