Webster Financial Corporation
WBSFinancial Services · Stock · quarterly payer
Forward Yield
2.10%
Annual Dividend
$1.60
Payout Ratio
26%
5-Yr Growth
0.0%
Ex-Date
May 11, 2026
Frequency
Quarterly
Summary
As of July 2026, Webster Financial Corporation (WBS) yields 2.10% ($1.60 per share annually), with a blended fair-value estimate of $121.69 — +60% upside, so it screens as undervalued. Dividend safety grade: A (89/100).
Is WBS a good dividend stock?
YesWebster Financial Corporation (WBS) pays a quarterly dividend yielding 2.10% ($1.60/yr), with 0 years of growth and a dividend-safety grade of A. It scores well across payout coverage, growth history and safety — a dependable income holding.
Advantages
- Comfortable payout ratio (26%)
- 50% total price return over 5 years
- Top-tier dividend safety score
Risks
- Cut its dividend in 2009
Key Data
- Dividend Yield
- 2.10%
- Payout Ratio
- 26%
- Annual Dividend
- $1.60
- 5-Yr Avg Growth
- 0.0%
- Ex-Dividend Date
- May 11, 2026
- Years of Growth
- 0
- Frequency
- quarterly
- Beta
- 1.00
- Market Cap
- $12.2B
- P/E Ratio
- 12.4
- 5-Yr Total Return
- 50%
- 52-Week Range
- $52.69 – $77.69
- Dividend Safety
- A · 89/100
- Ever Cut?
- Yes (2009)
Frequently Asked Questions
WBS Price — Last 12 Months
Daily close
Price Return
1 Year
+22%
3 Years
+79%
5 Years
+50%
52-Week Range
$52.69 – $77.69
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is WBS worth?
Undervaluedlow confidenceOur blended fair-value estimate for Webster Financial Corporation is $121.69 per share, versus a market price of $76.01. That implies 60% of upside — a margin of safety of about 38%.
Fair Value
$121.69
Current Price
$76.01
Upside
+60%
Margin of Safety
38%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about 0.7% annual free-cash-flow growth. We model 12.9% — below our estimate, leaving room for upside if the business executes.
Assumptions: 9.3% discount rate (CAPM), 12.9% stage-1 growth, 2.5% terminal growth, $6.10 EPS, $1.60 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
WBS Dividend Safety Score
Very Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| May 11, 2026 | — | $0.4000 | regular |
| Feb 9, 2026 | — | $0.4000 | regular |
| Nov 10, 2025 | — | $0.4000 | regular |
| Aug 11, 2025 | — | $0.4000 | regular |
| May 12, 2025 | — | $0.4000 | regular |
| Feb 10, 2025 | — | $0.4000 | regular |
| Nov 1, 2024 | — | $0.4000 | regular |
| Jul 29, 2024 | — | $0.4000 | regular |
| May 3, 2024 | — | $0.4000 | regular |
| Feb 2, 2024 | — | $0.4000 | regular |
| Nov 2, 2023 | — | $0.4000 | regular |
| Aug 1, 2023 | — | $0.4000 | regular |
| May 5, 2023 | — | $0.4000 | regular |
| Feb 3, 2023 | — | $0.4000 | regular |
Income Calculator
At $1.60 / yr per share
