Webster Financial Corporation (WBS) Financial Ratios
30 years of historical data (1996–2025) · Financial Services · Banks - Regional
EV/EBITDA
↓
11.27
+1% vs avg
5yr avg: 11.20
30Y Low9.4·High31.7
P/FCF
↑
12.23
↑+53% vs avg
5yr avg: 7.98
30Y Low1.6·High20.3
P/B Ratio
↓
1.29
+16% vs avg
5yr avg: 1.11
30Y Low0.4·High2.0
ROE
↓
10.8%
↓+1% vs avg
5yr avg: 10.6%
30Y Low-18%·High20%
Debt/EBITDA
↑
3.43
↓-18% vs avg
5yr avg: 4.20
30Y Low2.4·High25.0
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
WBS Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Webster Financial Corporation trades at 12.9x earnings, 9% above its 5-year average of 11.8x, sitting at the 39th percentile of its historical range. Compared to the Financial Services sector median P/E of 13.6x, the stock trades at a discount of 6%. On a free-cash-flow basis, the stock trades at 12.2x P/FCF, 53% above the 5-year average of 8.0x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $12.3B | $10.1B | $9.4B | $8.8B | $8.0B | $5.0B | $3.8B | $4.9B | $4.5B | $5.2B | $5.0B |
| Enterprise Value | $14.2B | $12.0B | $10.7B | $11.0B | $14.8B | $6.0B | $5.4B | $8.3B | $6.9B | $7.5B | $8.8B |
| P/E Ratio → | 12.88 | 10.65 | 12.64 | 10.34 | 12.73 | 12.63 | 17.94 | 13.14 | 12.94 | 21.03 | 25.13 |
| P/S Ratio | 2.79 | 2.29 | 2.26 | 2.23 | 2.94 | 3.98 | 2.95 | 3.40 | 3.40 | 4.42 | 4.59 |
| P/B Ratio | 1.29 | 1.06 | 1.03 | 1.01 | 0.99 | 1.46 | 1.17 | 1.53 | 1.57 | 1.92 | 1.97 |
| P/FCF | 12.23 | 10.02 | 6.87 | 9.38 | 6.12 | 7.50 | 10.58 | 17.63 | 10.42 | 12.46 | 13.95 |
| P/OCF | 11.66 | 9.55 | 6.69 | 8.99 | 5.99 | 7.32 | 9.99 | 16.14 | 9.68 | 11.66 | 12.52 |
P/E links to full P/E history page with 30-year chart
WBS EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Webster Financial Corporation's enterprise value stands at 11.3x EBITDA, roughly in line with its 5-year average of 11.2x. This is roughly in line with the Financial Services sector median of 11.4x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.71 | 2.56 | 2.78 | 5.45 | 4.72 | 4.21 | 5.80 | 5.12 | 6.37 | 8.09 |
| EV / EBITDA | 11.27 | 9.50 | 9.82 | 9.43 | 16.87 | 10.37 | 16.76 | 15.71 | 14.26 | 19.12 | 25.84 |
| EV / EBIT | 11.27 | 9.50 | 10.51 | 10.10 | 18.60 | 11.18 | 19.34 | 17.15 | 15.51 | 21.13 | 28.95 |
| EV / FCF | — | 11.87 | 7.81 | 11.67 | 11.35 | 8.88 | 15.07 | 30.02 | 15.70 | 17.95 | 24.58 |
WBS Profitability
Margins and return-on-capital ratios measuring operating efficiency
Webster Financial Corporation earns an operating margin of 28.5%, above the Financial Services sector average of 20.3%. ROE of 10.8% is modest. ROIC of 7.2% represents adequate returns on invested capital versus a sector median of 5.5%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 60.8% | 60.8% | 56.5% | 63.4% | 80.5% | 101.0% | 80.7% | 83.5% | 85.8% | 86.5% | 85.3% |
| Operating Margin | 28.5% | 28.5% | 24.4% | 27.5% | 29.3% | 42.2% | 21.7% | 33.8% | 33.0% | 30.2% | 27.9% |
| Net Profit Margin | 22.7% | 22.7% | 18.4% | 22.0% | 23.7% | 32.3% | 17.1% | 26.6% | 26.9% | 21.8% | 19.1% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.8% | 10.8% | 8.6% | 10.4% | 11.2% | 12.3% | 6.8% | 12.6% | 12.9% | 9.8% | 8.4% |
| ROA | 1.2% | 1.2% | 1.0% | 1.2% | 1.2% | 1.2% | 0.7% | 1.3% | 1.3% | 1.0% | 0.8% |
| ROIC | 7.2% | 7.2% | 6.1% | 5.7% | 5.8% | 8.1% | 3.5% | 5.9% | 6.2% | 4.5% | 3.5% |
| ROCE | 10.7% | 10.7% | 8.8% | 8.4% | 8.6% | 13.2% | 5.6% | 9.0% | 9.3% | 6.9% | 5.6% |
WBS Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Webster Financial Corporation carries a Debt/EBITDA ratio of 3.4x, which is moderately leveraged (20% below the sector average of 4.3x). Net debt stands at $1.9B ($4.3B total debt minus $2.4B cash). Interest coverage of just 0.8x is concerning — the company has limited headroom to absorb earnings volatility before struggling with debt service.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.45 | 0.45 | 0.37 | 0.45 | 0.95 | 0.41 | 0.58 | 1.15 | 0.91 | 0.94 | 1.59 |
| Debt / EBITDA | 3.43 | 3.43 | 3.09 | 3.33 | 8.74 | 2.42 | 5.81 | 6.97 | 5.48 | 6.51 | 11.82 |
| Net Debt / Equity | — | 0.20 | 0.14 | 0.25 | 0.85 | 0.27 | 0.50 | 1.07 | 0.80 | 0.85 | 1.50 |
| Net Debt / EBITDA | 1.48 | 1.48 | 1.18 | 1.85 | 7.78 | 1.62 | 5.00 | 6.48 | 4.80 | 5.86 | 11.17 |
| Debt / FCF | — | 1.85 | 0.94 | 2.29 | 5.24 | 1.39 | 4.50 | 12.39 | 5.28 | 5.50 | 10.63 |
| Interest Coverage | 0.83 | 0.83 | 0.64 | 0.84 | 3.19 | 12.79 | 2.53 | 2.44 | 2.97 | 3.02 | 2.93 |
WBS Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.03x is below 1.0, meaning current liabilities exceed current assets — though the company's $2.4B cash position helps mitigate short-term liquidity concerns. The current ratio has declined from 0.19x to 0.03x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.03 | 0.03 | 0.05 | 0.19 | 0.18 | 0.17 | 0.15 | 0.15 | 0.16 | 0.16 | 0.19 |
| Quick Ratio | 0.03 | 0.03 | 0.05 | 0.19 | 0.18 | 0.17 | 0.15 | 0.15 | 0.16 | 0.16 | 0.19 |
| Cash Ratio | 0.03 | 0.03 | 0.03 | 0.03 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 |
| Asset Turnover | — | 0.05 | 0.05 | 0.05 | 0.04 | 0.04 | 0.04 | 0.05 | 0.05 | 0.04 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
WBS Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Webster Financial Corporation returns 7.2% to shareholders annually — split between a 2.2% dividend yield and 5.0% buyback yield. The payout ratio of 26.6% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 7.8% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.2% | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | 26.6% | 26.6% | 35.7% | 32.1% | 38.5% | 35.4% | 65.7% | 36.8% | 31.9% | 37.0% | 43.2% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 7.8% | 9.4% | 7.9% | 9.7% | 7.9% | 7.9% | 5.6% | 7.6% | 7.7% | 4.8% | 4.0% |
| FCF Yield | 8.2% | 10.0% | 14.6% | 10.7% | 16.3% | 13.3% | 9.5% | 5.7% | 9.6% | 8.0% | 7.2% |
| Buyback Yield | 5.0% | — | — | — | — | — | — | — | — | — | — |
| Total Shareholder Yield | 7.2% | — | — | — | — | — | — | — | — | — | — |
| Shares Outstanding | — | $161M | $170M | $173M | $169M | $90M | $90M | $92M | $92M | $92M | $92M |
Peer Comparison
Compare WBS with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 WBSYou | $12B | 12.9 | 11.3 | 12.2 | 60.8% | 28.5% | 10.8% | 7.2% | 3.4 |
 WTFC | $11B | 13.5 | 12.0 | 12.2 | 62.2% | 26.4% | 12.1% | 7.5% | 3.7 |
 FHN | $12B | 13.2 | 11.9 | 12.9 | 67.3% | 25.7% | 10.8% | 7.0% | 3.4 |
 PNFP | $7B | 16.2 | 9.7 | 9.2 | 49.1% | 20.4% | 7.6% | 4.9% | 3.7 |
 IBCP | $704M | 10.5 | 9.5 | 10.0 | 69.6% | 25.8% | 14.3% | 10.2% | 1.4 |
 UMBF | $10B | 15.0 | 12.5 | 10.7 | 54.4% | 20.3% | 12.6% | 7.5% | 3.6 |
 WSFS | $4B | 14.8 | 7.2 | 18.5 | 74.7% | 28.0% | 10.8% | 9.5% | 0.7 |
 BOKF | $8B | 14.5 | 13.9 | 14.0 | 63.7% | 21.4% | 10.1% | 5.2% | 5.8 |
 SNV | $7B | 16.5 | 8.8 | 9.1 | 53.8% | 17.7% | 9.3% | 6.6% | 2.8 |
 HBAN | $27B | 12.3 | 16.3 | 11.8 | 61.7% | 21.5% | 10.0% | 5.1% | 6.9 |
 CFG | $30B | 17.6 | 10.5 | 14.5 | 69.8% | 20.9% | 7.2% | 4.7% | 4.2 |
| Financial Services Median | — | 13.6 | 11.4 | 11.1 | 64.1% | 20.3% | 9.0% | 5.5% | 4.3 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Includes 30+ ratios · 30 years · Updated daily
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WBS — Frequently Asked Questions
Quick answers to the most common questions about buying WBS stock.
What is Webster Financial Corporation's P/E ratio?
Webster Financial Corporation's current P/E ratio is 12.9x. The historical average is 15.9x. This places it at the 39th percentile of its historical range.
What is Webster Financial Corporation's EV/EBITDA?
Webster Financial Corporation's current EV/EBITDA is 11.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.4x.
What is Webster Financial Corporation's ROE?
Webster Financial Corporation's return on equity (ROE) is 10.8%. The historical average is 8.9%.
Is WBS stock overvalued?
Based on historical data, Webster Financial Corporation is trading at a P/E of 12.9x. This is at the 39th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Webster Financial Corporation's dividend yield?
Webster Financial Corporation's current dividend yield is 2.18% with a payout ratio of 26.6%.
What are Webster Financial Corporation's profit margins?
Webster Financial Corporation has 60.8% gross margin and 28.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Webster Financial Corporation have?
Webster Financial Corporation's Debt/EBITDA ratio is 3.4x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.