Brokerages Set PennyMac Financial Services, Inc. (NYSE:PFSI) PT at $122.75

Shares of PennyMac Financial Services, Inc. (NYSE:PFSI) have earned a consensus rating of “Hold” from the ten ratings firms that are presently covering the firm, Marketbeat Ratings reports. Two research analysts have rated the stock with a sell recommendation, two have given a hold recommendation and six have given a buy recommendation to the company. The average 1 year target price among analysts that have issued ratings on the stock in the last year is $122.75.

Several brokerages have recently weighed in on PFSI. Piper Sandler reduced their price target on PennyMac Financial Services from $122.00 to $112.00 and set an “overweight” rating for the company in a research report on Wednesday, May 6th. Barclays reduced their price target on PennyMac Financial Services from $116.00 to $107.00 and set an “overweight” rating for the company in a research report on Monday, May 11th. Stephens began coverage on PennyMac Financial Services in a research report on Friday, April 24th. They issued an “equal weight” rating and a $100.00 price target for the company. Weiss Ratings cut PennyMac Financial Services from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, May 6th. Finally, Zacks Research cut PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research report on Friday, May 8th.

Insider Buying and Selling at PennyMac Financial Services

In other news, CEO David Spector sold 10,000 shares of PennyMac Financial Services stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $87.99, for a total value of $879,900.00. Following the completion of the transaction, the chief executive officer directly owned 60,604 shares in the company, valued at approximately $5,332,545.96. The trade was a 14.16% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daniel Stanley Perotti sold 2,925 shares of PennyMac Financial Services stock in a transaction on Friday, May 15th. The shares were sold at an average price of $87.50, for a total value of $255,937.50. Following the completion of the transaction, the chief financial officer owned 210,625 shares of the company’s stock, valued at approximately $18,429,687.50. This trade represents a 1.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 22,925 shares of company stock valued at $2,064,138. 15.80% of the stock is owned by company insiders.

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. AQR Capital Management LLC grew its position in PennyMac Financial Services by 3.8% during the first quarter. AQR Capital Management LLC now owns 24,012 shares of the real estate investment trust’s stock worth $2,404,000 after buying an additional 875 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in PennyMac Financial Services by 4.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 15,923 shares of the real estate investment trust’s stock worth $1,594,000 after buying an additional 706 shares in the last quarter. Intech Investment Management LLC grew its position in PennyMac Financial Services by 5.8% during the first quarter. Intech Investment Management LLC now owns 15,382 shares of the real estate investment trust’s stock worth $1,540,000 after buying an additional 840 shares in the last quarter. Strs Ohio purchased a new position in PennyMac Financial Services during the first quarter worth about $30,000. Finally, Prudential Financial Inc. grew its position in PennyMac Financial Services by 82.8% during the second quarter. Prudential Financial Inc. now owns 4,084 shares of the real estate investment trust’s stock worth $413,000 after buying an additional 1,850 shares in the last quarter. 57.87% of the stock is currently owned by hedge funds and other institutional investors.

PennyMac Financial Services Stock Performance

NYSE:PFSI opened at $80.07 on Thursday. The company has a debt-to-equity ratio of 3.63, a current ratio of 0.33 and a quick ratio of 0.33. The business has a fifty day simple moving average of $87.90 and a two-hundred day simple moving average of $106.22. PennyMac Financial Services has a 1 year low of $78.81 and a 1 year high of $160.36. The company has a market capitalization of $4.16 billion, a P/E ratio of 8.51, a P/E/G ratio of 0.53 and a beta of 1.44.

PennyMac Financial Services (NYSE:PFSI) last announced its quarterly earnings results on Tuesday, May 5th. The real estate investment trust reported $2.19 earnings per share for the quarter, missing the consensus estimate of $2.22 by ($0.03). The company had revenue of $544.98 million during the quarter, compared to analysts’ expectations of $546.17 million. PennyMac Financial Services had a net margin of 23.47% and a return on equity of 10.93%. PennyMac Financial Services’s revenue for the quarter was up 26.5% compared to the same quarter last year. During the same quarter last year, the firm posted $1.42 earnings per share. On average, analysts expect that PennyMac Financial Services will post 10.68 earnings per share for the current year.

PennyMac Financial Services Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, May 28th. Stockholders of record on Monday, May 18th were given a $0.30 dividend. The ex-dividend date was Monday, May 18th. This represents a $1.20 annualized dividend and a dividend yield of 1.5%. PennyMac Financial Services’s payout ratio is 12.75%.

About PennyMac Financial Services

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.