PennyMac Financial Services (NYSE:PFSI) Upgraded at Wall Street Zen

by · The Cerbat Gem

Wall Street Zen upgraded shares of PennyMac Financial Services (NYSE:PFSI – Free Report) from a hold rating to a buy rating in a research report released on Saturday morning.

Other equities research analysts have also recently issued research reports about the company. Keefe, Bruyette & Woods boosted their target price on PennyMac Financial Services from $138.00 to $143.00 and gave the stock a “market perform” rating in a report on Thursday, December 18th. BTIG Research boosted their price objective on PennyMac Financial Services from $135.00 to $150.00 and gave the stock a “buy” rating in a research note on Monday, December 29th. Barclays upped their price objective on PennyMac Financial Services from $139.00 to $158.00 and gave the company an “overweight” rating in a report on Tuesday, January 6th. Jefferies Financial Group started coverage on PennyMac Financial Services in a report on Friday, December 19th. They set a “buy” rating and a $160.00 target price on the stock. Finally, Piper Sandler upped their price target on shares of PennyMac Financial Services from $140.00 to $146.00 and gave the company an “overweight” rating in a report on Monday, December 22nd. Six research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $150.29.

View Our Latest Research Report on PennyMac Financial Services

PennyMac Financial Services Price Performance

Shares of NYSE PFSI opened at $146.36 on Friday. The stock has a market cap of $7.61 billion, a P/E ratio of 15.77, a P/E/G ratio of 0.67 and a beta of 1.57. The firm’s 50-day simple moving average is $131.47 and its 200 day simple moving average is $118.73. PennyMac Financial Services has a fifty-two week low of $85.74 and a fifty-two week high of $148.33. The company has a quick ratio of 0.36, a current ratio of 0.36 and a debt-to-equity ratio of 3.01.

PennyMac Financial Services (NYSE:PFSI – Get Free Report) last released its earnings results on Tuesday, October 21st. The real estate investment trust reported $3.37 EPS for the quarter, beating the consensus estimate of $2.98 by $0.39. The firm had revenue of $632.90 million for the quarter, compared to analysts’ expectations of $573.46 million. PennyMac Financial Services had a net margin of 25.21% and a return on equity of 11.69%. PennyMac Financial Services’s quarterly revenue was up 53.7% on a year-over-year basis. During the same quarter last year, the company earned $1.30 EPS. Equities analysts expect that PennyMac Financial Services will post 13.77 EPS for the current year.

PennyMac Financial Services Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, November 26th. Stockholders of record on Monday, November 17th were paid a $0.30 dividend. The ex-dividend date of this dividend was Monday, November 17th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 0.8%. PennyMac Financial Services’s dividend payout ratio is 12.93%.

Insider Buying and Selling at PennyMac Financial Services

In related news, CEO David Spector sold 5,000 shares of PennyMac Financial Services stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $129.81, for a total transaction of $649,050.00. Following the completion of the sale, the chief executive officer owned 110,604 shares of the company’s stock, valued at approximately $14,357,505.24. This trade represents a 4.33% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Daniel Stanley Perotti sold 8,775 shares of the business’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $126.67, for a total value of $1,111,529.25. Following the completion of the transaction, the chief financial officer owned 216,475 shares in the company, valued at $27,420,888.25. This trade represents a 3.90% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 208,129 shares of company stock valued at $26,957,567 in the last quarter. Corporate insiders own 15.80% of the company’s stock.

Hedge Funds Weigh In On PennyMac Financial Services

Several hedge funds and other institutional investors have recently added to or reduced their stakes in PFSI. Creative Planning raised its holdings in PennyMac Financial Services by 89.5% in the 2nd quarter. Creative Planning now owns 13,495 shares of the real estate investment trust’s stock worth $1,345,000 after acquiring an additional 6,374 shares during the period. Vise Technologies Inc. bought a new stake in PennyMac Financial Services during the second quarter valued at about $383,000. American Century Companies Inc. grew its position in shares of PennyMac Financial Services by 15.0% in the second quarter. American Century Companies Inc. now owns 399,388 shares of the real estate investment trust’s stock valued at $39,795,000 after purchasing an additional 52,227 shares during the last quarter. Lightrock Netherlands B.V. increased its stake in shares of PennyMac Financial Services by 5.2% in the second quarter. Lightrock Netherlands B.V. now owns 143,113 shares of the real estate investment trust’s stock worth $14,260,000 after purchasing an additional 7,058 shares during the period. Finally, Norges Bank bought a new position in shares of PennyMac Financial Services in the second quarter worth about $39,976,000. Institutional investors own 57.87% of the company’s stock.

About PennyMac Financial Services

(Get Free Report)

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.

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