Sifting through countless of stocks in the Banks industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Webster Financial Corporation because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.
Read on to learn how Webster Financial Corporation compare based on key financial metrics to determine which better meets your investment needs.
About Webster Financial Corporation
Webster Financial Corporation operates as the bank holding company for Webster Bank, National Association that provides various financial products and services to businesses, individuals, and families in the United States. It operates through three segments: Commercial Banking, Healthcare Financial Services, and Consumer Banking. It offers checking, savings, and money market accounts; individual retirement account retirement savings; certificates of deposit; mortgages; home equity loans and lines of credit; business and commercial lines of credit; overdrafts; and term, commercial, student, SBA, and personal loans. The company also provides commercial real estate financing, equipment and lender finance, asset-based and community lending, and public finance solutions; financial planning, life and long-term insurance, personal retirement, and portfolio management solutions; employee retirement plans; credit cards; payroll services; automated clearing house payables and wires; bill pay, remote deposit capture, merchant, and lockbox services; treasury management and investment services; private banking services; capital markets and finance solutions; employee benefits solutions, including administrators of HSAs, emergency savings accounts, and flexible spending accounts administration services; wealth management services; and online and mobile banking services. Webster Financial Corporation was founded in 1870 and is headquartered in Stamford, Connecticut.
Latest Banks and Webster Financial Corporation, Stock News
As of December 12, 2025, Webster Financial Corporation had a $10.3 billion market capitalization, compared to the Banks median of $517.5 million. Webster Financial Corporation’s stock is up 15.8% in 2025, up 2.4% in the previous five trading days and up 8.55% in the past year.
Currently, Webster Financial Corporation’s price-earnings ratio is 11.9. Webster Financial Corporation’s trailing 12-month revenue is $2.6 billion with a 35.8% net profit margin. Year-over-year quarterly sales growth most recently was 16.0%. Analysts expect adjusted earnings to reach $5.892 per share for the current fiscal year. Webster Financial Corporation currently has a 2.5% dividend yield.
Currently, does not have a price-earnings ratio. ’s trailing 12-month revenue is $0.0 with a % net profit margin. As of December 12, 2025, has not reported significant year-over-year quarterly sales. There are no analysts providing consensus earnings estimates for the current fiscal year. does not currently pay a dividend.
How We Compare Webster Financial Corporation Stock Grades
Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Webster Financial Corporation’s stock grades to see how they measure up against one another.
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Webster Financial Corporation Growth Grades
| Company | Ticker | Growth |
| Webster Financial Corporation | WBS | B |
The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.
In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.
The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.
Webster Financial Corporation has a Growth Score of 72, which is Strong.
The Growth Grade Winner: Webster Financial Corporation
As you can clearly see from the Growth Grade breakdown above, Webster Financial Corporation has a more attractive growth grade than . For investors who focus solely on how a company is growing relative to other companies in the same industry, Webster Financial Corporation could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
Webster Financial Corporation’s Quality Grades
| Company | Ticker | Quality |
| Webster Financial Corporation | WBS | D |
Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.
The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.
The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.
Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.
Webster Financial Corporation has a Quality Score of 26, which is Weak.
The Quality Stock Winner: No Clear Winner
Neither Webster Financial Corporation has a high enough Quality Grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Webster Financial Corporation is the better investment when it comes to quality.
Webster Financial Corporation’s Momentum Grades
| Company | Ticker | Momentum |
| Webster Financial Corporation | WBS | C |
Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.
Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.
Webster Financial Corporation has a Momentum Score of 56, which is Average.
The Momentum Stock Winner: No Clear Winner
Neither Webster Financial Corporation has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Webster Financial Corporation is the better investment when it comes to momentum.
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Other Webster Financial Corporation Grades
In addition to Growth, Momentum and Quality, A+ Investor also provides grades for Value and Estimate Revisions.
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Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).
Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.
These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Webster Financial Corporation pass any of our 60+ stock screens that have outperformed the market since their creation.
So, Which Is the Better Investment, Webster Financial Corporation Stock?
Overall, Webster Financial Corporation stock has a Growth Score of 72, Momentum Score of 56 and Quality Score of 26.
Comparing Webster Financial Corporation’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.
Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.
A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
AAII Disclaimer
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.
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