PennyMac Financial Services (NYSE:PFSI) Sets New 12-Month Low Following Analyst Downgrade

PennyMac Financial Services, Inc. (NYSE:PFSI)’s share price reached a new 52-week low on Tuesday after BTIG Research lowered their price target on the stock from $90.00 to $80.00. BTIG Research currently has a buy rating on the stock. PennyMac Financial Services traded as low as $58.72 and last traded at $58.82, with a volume of 679,711 shares trading hands. The stock had previously closed at $59.90.

A number of other equities research analysts have also issued reports on PFSI. Wells Fargo & Company decreased their target price on shares of PennyMac Financial Services from $100.00 to $95.00 and set an “overweight” rating for the company in a research note on Thursday, July 30th. Wall Street Zen downgraded shares of PennyMac Financial Services from a “hold” rating to a “sell” rating in a research note on Saturday, August 1st. Piper Sandler dropped their price target on shares of PennyMac Financial Services from $86.00 to $71.00 and set a “neutral” rating on the stock in a research note on Friday, October 9th. Weiss Ratings reiterated a “sell (d+)” rating on shares of PennyMac Financial Services in a report on Monday, August 3rd. Finally, Keefe, Bruyette & Woods cut their price objective on PennyMac Financial Services from $108.00 to $100.00 and set an “outperform” rating for the company in a report on Friday, July 31st. Four investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $100.00.

Institutional Trading of PennyMac Financial Services

A number of institutional investors have recently added to or reduced their stakes in the business. Caitong International Asset Management Co. Ltd boosted its stake in shares of PennyMac Financial Services by 7,600.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 231 shares of the real estate investment trust’s stock worth $30,000 after acquiring an additional 228 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in shares of PennyMac Financial Services during the 2nd quarter valued at about $25,000. Silvant Capital Management LLC bought a new position in shares of PennyMac Financial Services in the 2nd quarter valued at approximately $34,000. GAMMA Investing LLC raised its stake in shares of PennyMac Financial Services by 313.2% in the 3rd quarter. GAMMA Investing LLC now owns 438 shares of the real estate investment trust’s stock valued at $27,000 after acquiring an additional 332 shares in the last quarter. Finally, Freestone Grove Partners LP bought a new position in shares of PennyMac Financial Services in the 2nd quarter valued at approximately $41,000. 57.87% of the stock is currently owned by institutional investors and hedge funds.

PennyMac Financial Services Trading Down 2.5%

The company has a fifty day moving average of $69.46 and a two-hundred day moving average of $79.86. The company has a current ratio of 0.38, a quick ratio of 0.38 and a debt-to-equity ratio of 3.22. The stock has a market capitalization of $3.00 billion, a price-to-earnings ratio of 7.94, a price-to-earnings-growth ratio of 0.58 and a beta of 1.45.

PennyMac Financial Services (NYSE:PFSI) last announced its earnings results on Wednesday, July 29th. The real estate investment trust reported $1.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.11 by ($0.72). PennyMac Financial Services had a return on equity of 11.18% and a net margin of 17.74%. The company had revenue of $496.96 million for the quarter, compared to the consensus estimate of $571.60 million. During the same period in the previous year, the company earned $2.54 EPS. The firm’s revenue for the quarter was up 11.8% compared to the same quarter last year. On average, research analysts expect that PennyMac Financial Services, Inc. will post 7.09 EPS for the current year.

PennyMac Financial Services Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 27th. Stockholders of record on Monday, August 17th were paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date was Monday, August 17th. PennyMac Financial Services’s payout ratio is presently 16.48%.

PennyMac Financial Services Company Profile

PennyMac Financial Services, Inc (NYSE:PFSI) is a financial services company focused on the U.S. residential mortgage market. Through its operating subsidiaries, the company originates, acquires, services and manages investments in residential mortgage loans and related assets.

PennyMac’s business includes mortgage loan production through correspondent and consumer-direct channels, mortgage servicing and loan administration, and investment management activities. Its services support homeowners, mortgage originators and institutional investors across the residential lending lifecycle, including loan fulfillment, servicing and asset management.

The company was established in 2008 and serves customers and business partners throughout the United States.