PennyMac Financial Services (NYSE:PFSI) Announces Earnings Results, Beats Estimates By $0.14 EPS

PennyMac Financial Services (NYSE:PFSI) issued its quarterly earnings results on Wednesday. The real estate investment trust reported $2.48 earnings per share for the quarter, topping analysts’ consensus estimates of $2.34 by $0.14, reports. The firm had revenue of $305.66 million for the quarter, compared to analysts’ expectations of $422.87 million. PennyMac Financial Services had a return on equity of 10.51% and a net margin of 10.94%.

PennyMac Financial Services Stock Performance

Shares of PFSI traded up $0.80 on Friday, reaching $87.00. 487,854 shares of the stock traded hands, compared to its average volume of 239,720. The firm has a market cap of $4.39 billion, a price-to-earnings ratio of 30.21, a P/E/G ratio of 0.56 and a beta of 1.67. The company has a debt-to-equity ratio of 1.90, a current ratio of 0.37 and a quick ratio of 0.37. PennyMac Financial Services has a 12 month low of $56.16 and a 12 month high of $94.78. The stock’s 50-day moving average price is $87.83 and its 200-day moving average price is $83.05.

PennyMac Financial Services Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 24th. Stockholders of record on Tuesday, May 14th will be given a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.92%. The ex-dividend date is Monday, May 13th. PennyMac Financial Services’s dividend payout ratio is presently 27.78%.

Analyst Ratings Changes

A number of equities analysts recently weighed in on the company. Keefe, Bruyette & Woods dropped their price target on PennyMac Financial Services from $105.00 to $100.00 and set an “outperform” rating on the stock in a research note on Friday. Wedbush restated an “outperform” rating and set a $110.00 price objective on shares of PennyMac Financial Services in a research report on Thursday. Deutsche Bank Aktiengesellschaft decreased their price objective on PennyMac Financial Services from $115.00 to $112.00 and set a “buy” rating for the company in a research report on Thursday. Barclays raised their price objective on PennyMac Financial Services from $103.00 to $112.00 and gave the stock an “overweight” rating in a research report on Tuesday, April 9th. Finally, StockNews.com lowered PennyMac Financial Services from a “hold” rating to a “sell” rating in a research report on Thursday. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and six have given a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $97.75.

Insider Activity

In other PennyMac Financial Services news, CEO David Spector sold 26,451 shares of the company’s stock in a transaction on Monday, March 11th. The stock was sold at an average price of $86.05, for a total value of $2,276,108.55. Following the sale, the chief executive officer now directly owns 647,938 shares in the company, valued at $55,755,064.90. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In other PennyMac Financial Services news, insider James Follette sold 2,617 shares of the business’s stock in a transaction on Tuesday, February 27th. The stock was sold at an average price of $86.24, for a total value of $225,690.08. Following the transaction, the insider now owns 7,257 shares of the company’s stock, valued at $625,843.68. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CEO David Spector sold 26,451 shares of the business’s stock in a transaction on Monday, March 11th. The stock was sold at an average price of $86.05, for a total value of $2,276,108.55. Following the completion of the transaction, the chief executive officer now directly owns 647,938 shares in the company, valued at approximately $55,755,064.90. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 87,802 shares of company stock worth $7,666,108. Company insiders own 17.40% of the company’s stock.

Institutional Investors Weigh In On PennyMac Financial Services

Several large investors have recently modified their holdings of PFSI. SG Americas Securities LLC boosted its position in PennyMac Financial Services by 283.2% during the third quarter. SG Americas Securities LLC now owns 10,415 shares of the real estate investment trust’s stock valued at $694,000 after purchasing an additional 7,697 shares during the last quarter. Exchange Traded Concepts LLC acquired a new position in PennyMac Financial Services during the third quarter valued at approximately $57,000. Dakota Wealth Management acquired a new position in PennyMac Financial Services during the third quarter valued at approximately $1,313,000. Bank of New York Mellon Corp lifted its position in shares of PennyMac Financial Services by 3.2% in the third quarter. Bank of New York Mellon Corp now owns 234,486 shares of the real estate investment trust’s stock valued at $15,617,000 after buying an additional 7,251 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank lifted its position in shares of PennyMac Financial Services by 13.2% in the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 8,076 shares of the real estate investment trust’s stock valued at $538,000 after buying an additional 944 shares during the last quarter. 57.87% of the stock is currently owned by institutional investors.

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.