PennyMac Financial Services, Inc. (NYSE:PFSI) Receives Average Recommendation of “Moderate Buy” from Brokerages

PennyMac Financial Services, Inc. (NYSE:PFSI) has been assigned an average rating of “Moderate Buy” from the seven ratings firms that are presently covering the company, Marketbeat reports. Two equities research analysts have rated the stock with a hold recommendation and five have given a buy recommendation to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $115.86.

A number of equities research analysts have commented on the company. Keefe, Bruyette & Woods cut PennyMac Financial Services from an “outperform” rating to a “market perform” rating and set a $102.00 target price on the stock. in a report on Monday, July 22nd. Wedbush reaffirmed an “outperform” rating and set a $130.00 price objective on shares of PennyMac Financial Services in a research note on Wednesday, October 23rd. Wells Fargo & Company boosted their target price on shares of PennyMac Financial Services from $110.00 to $125.00 and gave the company an “overweight” rating in a research note on Thursday, October 24th. Barclays raised their price target on shares of PennyMac Financial Services from $112.00 to $125.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 8th. Finally, Piper Sandler lifted their price target on shares of PennyMac Financial Services from $125.00 to $132.00 and gave the stock an “overweight” rating in a report on Wednesday, October 23rd.

PennyMac Financial Services Price Performance

PennyMac Financial Services stock opened at $102.33 on Wednesday. The firm has a market capitalization of $5.24 billion, a PE ratio of 32.49 and a beta of 1.79. PennyMac Financial Services has a 52 week low of $70.29 and a 52 week high of $119.13. The firm’s 50-day simple moving average is $107.85 and its 200 day simple moving average is $98.89. The company has a quick ratio of 0.38, a current ratio of 0.38 and a debt-to-equity ratio of 2.75.

PennyMac Financial Services (NYSE:PFSI) last announced its quarterly earnings results on Tuesday, October 22nd. The real estate investment trust reported $1.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.92 by ($1.62). PennyMac Financial Services had a net margin of 11.45% and a return on equity of 15.13%. The business had revenue of $411.83 million during the quarter, compared to analysts’ expectations of $513.12 million. During the same period last year, the company earned $1.77 EPS. The firm’s revenue for the quarter was up 2.9% on a year-over-year basis. On average, equities research analysts predict that PennyMac Financial Services will post 11.88 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 27th. Stockholders of record on Monday, November 18th will be paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.17%. The ex-dividend date is Monday, November 18th. PennyMac Financial Services’s dividend payout ratio is currently 38.10%.

Insider Transactions at PennyMac Financial Services

In other news, CEO David Spector sold 10,000 shares of the business’s stock in a transaction on Wednesday, August 21st. The shares were sold at an average price of $99.31, for a total transaction of $993,100.00. Following the completion of the sale, the chief executive officer now directly owns 210,604 shares of the company’s stock, valued at $20,915,083.24. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. In other news, CEO David Spector sold 10,000 shares of the firm’s stock in a transaction dated Wednesday, August 21st. The stock was sold at an average price of $99.31, for a total value of $993,100.00. Following the transaction, the chief executive officer now directly owns 210,604 shares in the company, valued at $20,915,083.24. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Daniel Stanley Perotti sold 10,500 shares of the business’s stock in a transaction dated Thursday, September 26th. The stock was sold at an average price of $112.93, for a total value of $1,185,765.00. Following the sale, the chief financial officer now owns 235,997 shares of the company’s stock, valued at $26,651,141.21. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 89,855 shares of company stock worth $9,647,599 in the last three months. Company insiders own 16.60% of the company’s stock.

Institutional Investors Weigh In On PennyMac Financial Services

Several large investors have recently made changes to their positions in the business. Edgestream Partners L.P. grew its stake in shares of PennyMac Financial Services by 256.9% in the second quarter. Edgestream Partners L.P. now owns 84,861 shares of the real estate investment trust’s stock valued at $8,028,000 after buying an additional 61,087 shares in the last quarter. American Century Companies Inc. boosted its holdings in PennyMac Financial Services by 13.2% in the 2nd quarter. American Century Companies Inc. now owns 347,979 shares of the real estate investment trust’s stock worth $32,919,000 after acquiring an additional 40,676 shares during the period. EMG Holdings L.P. grew its position in PennyMac Financial Services by 107.4% in the second quarter. EMG Holdings L.P. now owns 64,451 shares of the real estate investment trust’s stock valued at $6,097,000 after acquiring an additional 33,370 shares in the last quarter. Quantbot Technologies LP acquired a new position in shares of PennyMac Financial Services during the first quarter worth $2,570,000. Finally, Denali Advisors LLC boosted its stake in shares of PennyMac Financial Services by 63.0% in the second quarter. Denali Advisors LLC now owns 67,800 shares of the real estate investment trust’s stock valued at $6,414,000 after purchasing an additional 26,200 shares during the period. Institutional investors and hedge funds own 57.87% of the company’s stock.

About PennyMac Financial Services

PennyMac Financial Services, Inc, through its subsidiaries, engages in the mortgage banking and investment management activities in the United States. The company operates through three segments: Production, Servicing, and Investment Management. The Production segment is involved in the origination, acquisition, and sale of loans.