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Webster Financial (WBS) is drawing fresh attention after its recent share price move, with the stock near US$64.53 and return figures over the past month and past 3 months in focus.
See our latest analysis for Webster Financial.
For context, Webster Financial’s recent 15.0% 3 month share price return, alongside an 11.3% 1 year total shareholder return, points to momentum that has been building rather than fading.
If you are watching bank stocks like Webster and want to widen your watchlist, it could be a good moment to scan for opportunities with fast growing stocks with high insider ownership.
With Webster shares around US$64.53 and data pointing to an estimated intrinsic value gap of about 37%, the key question is simple: is the stock still undervalued, or is the market already pricing in future growth?
At a last close of US$64.53 versus an implied fair value of about US$74.71, the most followed narrative frames Webster as trading at a discount, built on detailed views about growth, profitability and risk.
The asset management joint venture with Marathon Asset Management will enable Webster to participate in larger private credit deals, expand commercial lending opportunities, and create new fee income streams, setting up for meaningful non interest income growth beginning in 2026 and supporting top line revenue expansion.
Curious what earnings path and profit margins sit behind that valuation gap, and how a lower future P/E still fits the story? The full narrative lays out the revenue ramp, projected earnings power and capital return assumptions that underpin this fair value view.
Result: Fair Value of $74.71 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, that upside view still relies on stable commercial real estate credit costs and manageable funding pressures, both of which could quickly challenge the current valuation story.
Find out about the key risks to this Webster Financial narrative.
If you are not fully on board with this view or prefer to work from the raw numbers yourself, you can build a custom thesis in just a few minutes with Do it your way.
A good starting point is our analysis highlighting 5 key rewards investors are optimistic about regarding Webster Financial.
If Webster has your attention, do not stop there. Use the Simply Wall St Screener to quickly spot fresh ideas that fit the way you like to invest.