PennyMac Financial Services (NYSE:PFSI) Rating Increased to Outperform at Keefe, Bruyette & Woods

Keefe, Bruyette & Woods upgraded shares of PennyMac Financial Services (NYSE:PFSI) from a market perform rating to an outperform rating in a report released on Monday, Marketbeat.com reports. Keefe, Bruyette & Woods currently has $115.00 price target on the real estate investment trust’s stock.

Several other analysts have also issued reports on PFSI. BTIG Research reiterated a “buy” rating on shares of PennyMac Financial Services in a research report on Friday, January 30th. Wells Fargo & Company reduced their price target on shares of PennyMac Financial Services from $150.00 to $135.00 and set an “overweight” rating for the company in a research report on Friday, January 30th. Weiss Ratings lowered shares of PennyMac Financial Services from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, January 20th. Wall Street Zen cut PennyMac Financial Services from a “buy” rating to a “hold” rating in a report on Sunday, January 18th. Finally, Piper Sandler reduced their target price on PennyMac Financial Services from $168.00 to $137.00 and set an “overweight” rating for the company in a report on Friday, January 30th. Six research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $139.71.

PennyMac Financial Services Trading Up 2.8%

Shares of PFSI stock opened at $86.48 on Monday. PennyMac Financial Services has a 1-year low of $83.66 and a 1-year high of $160.36. The company has a market cap of $4.51 billion, a price-to-earnings ratio of 9.30, a PEG ratio of 0.48 and a beta of 1.56. The company has a debt-to-equity ratio of 3.32, a current ratio of 0.34 and a quick ratio of 0.34. The stock has a 50 day simple moving average of $111.93 and a 200-day simple moving average of $121.09.

PennyMac Financial Services (NYSE:PFSI) last released its quarterly earnings results on Thursday, January 29th. The real estate investment trust reported $1.97 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.23 by ($1.26). The company had revenue of $538.01 million during the quarter, compared to analyst estimates of $639.81 million. PennyMac Financial Services had a net margin of 24.48% and a return on equity of 10.20%. PennyMac Financial Services’s revenue was up 14.4% compared to the same quarter last year. During the same period in the prior year, the business posted $1.95 EPS. On average, equities research analysts expect that PennyMac Financial Services will post 13.77 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, February 26th. Shareholders of record on Monday, February 16th were issued a $0.30 dividend. The ex-dividend date was Friday, February 13th. This represents a $1.20 dividend on an annualized basis and a yield of 1.4%. PennyMac Financial Services’s dividend payout ratio is presently 12.90%.

Insiders Place Their Bets

In related news, CAO Gregory L. Hendry sold 3,530 shares of the stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $131.64, for a total value of $464,689.20. Following the completion of the sale, the chief accounting officer owned 48,633 shares of the company’s stock, valued at approximately $6,402,048.12. This trade represents a 6.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Derek Stark sold 1,903 shares of PennyMac Financial Services stock in a transaction that occurred on Wednesday, February 25th. The stock was sold at an average price of $91.50, for a total value of $174,124.50. Following the transaction, the insider owned 22,477 shares in the company, valued at approximately $2,056,645.50. The trade was a 7.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 54,810 shares of company stock worth $5,619,142. 15.80% of the stock is currently owned by insiders.

Institutional Trading of PennyMac Financial Services

Several large investors have recently added to or reduced their stakes in PFSI. AQR Capital Management LLC raised its holdings in shares of PennyMac Financial Services by 3.8% during the 1st quarter. AQR Capital Management LLC now owns 24,012 shares of the real estate investment trust’s stock worth $2,404,000 after acquiring an additional 875 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of PennyMac Financial Services by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 15,923 shares of the real estate investment trust’s stock valued at $1,594,000 after purchasing an additional 706 shares during the period. Intech Investment Management LLC grew its holdings in shares of PennyMac Financial Services by 5.8% in the first quarter. Intech Investment Management LLC now owns 15,382 shares of the real estate investment trust’s stock valued at $1,540,000 after purchasing an additional 840 shares during the period. Strs Ohio acquired a new stake in PennyMac Financial Services during the first quarter worth about $30,000. Finally, ProShare Advisors LLC raised its stake in PennyMac Financial Services by 3.6% during the second quarter. ProShare Advisors LLC now owns 5,999 shares of the real estate investment trust’s stock worth $598,000 after purchasing an additional 211 shares during the period. 57.87% of the stock is currently owned by hedge funds and other institutional investors.

PennyMac Financial Services Company Profile

PennyMac Financial Services, Inc (NYSE: PFSI) is a leading mortgage banking company based in Westlake Village, California. The firm operates through two primary business segments: Production and Mortgage Servicing Rights (MSR). In its Production segment, PennyMac originates residential mortgage loans through retail, wholesale and correspondent channels, focusing on both purchase and refinance transactions. The MSR segment involves the acquisition and servicing of mortgage loans, whereby the company earns fees for managing loan portfolios on behalf of investors.

Since its founding in 2008, PennyMac has grown through a combination of organic origination and strategic acquisition of servicing rights, positioning itself as one of the largest residential mortgage loan servicers in the United States.