PennyMac Financial Services (NYSE:PFSI) Price Target Lowered to $136.00 at Barclays

PennyMac Financial Services (NYSE:PFSI) had its price target cut by Barclays from $158.00 to $136.00 in a research note released on Friday,Benzinga reports. They currently have an overweight rating on the real estate investment trust’s stock.

A number of other analysts also recently issued reports on the company. UBS Group raised their target price on PennyMac Financial Services from $135.00 to $145.00 and gave the stock a “neutral” rating in a research note on Friday, October 24th. Wells Fargo & Company lowered their price objective 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. Keefe, Bruyette & Woods boosted their price target on shares of PennyMac Financial Services from $138.00 to $143.00 and gave the stock a “market perform” rating in a research note on Thursday, December 18th. Jefferies Financial Group began coverage on PennyMac Financial Services in a research report on Friday, December 19th. They set a “buy” rating and a $160.00 price objective on the stock. Finally, BTIG Research restated a “buy” rating on shares of PennyMac Financial Services in a research note on Friday. Five investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $143.71.

PennyMac Financial Services Stock Performance

NYSE PFSI opened at $99.91 on Friday. The company has a debt-to-equity ratio of 3.01, a current ratio of 0.36 and a quick ratio of 0.36. PennyMac Financial Services has a 1-year low of $85.74 and a 1-year high of $160.36. The company has a market cap of $5.19 billion, a PE ratio of 10.74, a price-to-earnings-growth ratio of 0.68 and a beta of 1.57. The stock’s 50 day simple moving average is $137.44 and its 200-day simple moving average is $123.00.

PennyMac Financial Services (NYSE:PFSI) last announced its quarterly earnings data on Thursday, January 29th. The real estate investment trust reported $1.97 earnings per share for the quarter, missing analysts’ consensus estimates of $3.23 by ($1.26). The firm had revenue of $538.01 million during the quarter, compared to analysts’ expectations of $639.81 million. PennyMac Financial Services had a net margin of 24.48% and a return on equity of 10.36%. The company’s revenue for the quarter was up 14.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.95 EPS. As a group, equities research analysts anticipate that PennyMac Financial Services will post 13.77 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, February 26th. Stockholders of record on Monday, February 16th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Friday, February 13th. PennyMac Financial Services’s dividend payout ratio (DPR) is 12.93%.

Insider Activity

In other PennyMac Financial Services news, CAO Gregory L. Hendry sold 3,530 shares of PennyMac Financial Services 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 sale, the chief accounting officer owned 48,633 shares of the company’s stock, valued at approximately $6,402,048.12. The trade was a 6.77% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO David Spector sold 10,000 shares of PennyMac Financial Services stock in a transaction that occurred on Tuesday, January 13th. The shares were sold at an average price of $145.19, for a total value of $1,451,900.00. Following the completion of the sale, the chief executive officer owned 100,604 shares in the company, valued at approximately $14,606,694.76. This trade represents a 9.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 80,076 shares of company stock worth $10,512,190 in the last three months. 15.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On PennyMac Financial Services

Several hedge funds and other institutional investors have recently bought and sold shares of PFSI. Harbor Capital Advisors Inc. boosted its position in shares of PennyMac Financial Services by 26.3% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 504 shares of the real estate investment trust’s stock worth $62,000 after buying an additional 105 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of PennyMac Financial Services by 0.7% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 16,034 shares of the real estate investment trust’s stock valued at $1,598,000 after buying an additional 111 shares during the period. GAMMA Investing LLC boosted its holdings in shares of PennyMac Financial Services by 97.3% during the fourth quarter. GAMMA Investing LLC now owns 288 shares of the real estate investment trust’s stock worth $38,000 after purchasing an additional 142 shares during the last quarter. Sei Investments Co. boosted its stake in PennyMac Financial Services by 0.7% in the 3rd quarter. Sei Investments Co. now owns 22,145 shares of the real estate investment trust’s stock worth $2,743,000 after buying an additional 146 shares during the last quarter. Finally, CANADA LIFE ASSURANCE Co increased its holdings in shares of PennyMac Financial Services by 1.0% during the 3rd quarter. CANADA LIFE ASSURANCE Co now owns 16,236 shares of the real estate investment trust’s stock worth $2,026,000 after buying an additional 163 shares during the last quarter. 57.87% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting PennyMac Financial Services

Here are the key news stories impacting PennyMac Financial Services this week:

• Positive Sentiment: PFSI declared a quarterly cash dividend of $0.30/share (record Feb 16, payable Feb 26) — supports yield and income-minded holders. PennyMac Reports Q4 & Full‑Year 2025 Results
• Neutral Sentiment: Some brokers still rate PFSI “overweight”/”moderate buy” despite cutting price targets (Barclays: $158→$136; Wells Fargo: $150→$135), which signals confidence in recovery longer term even as near-term estimates are trimmed. Benzinga
• Neutral Sentiment: Company provided an earnings presentation and call transcript that investors should review for management commentary on margin outlook and mortgage margin drivers. Q4 Presentation / Press Release
• Negative Sentiment: PFSI missed Q4 EPS and revenue estimates (EPS $1.97 vs. consensus $3.23; revenue $538M vs. $640M consensus); management flagged margin pressure — the primary driver of the sharp selloff. Seeking Alpha: Shares Sink After Earnings Miss
• Negative Sentiment: Multiple law firms (BFA Law) launched securities‑fraud investigations following the post‑earnings share drop, which can increase legal risk, headline volatility and selling pressure. GlobeNewswire: BFA Law Investigation Alert BusinessWire: BFA Law Launches Investigation
• Negative Sentiment: Unusually large options activity: traders bought ~3,076 puts (≈566% above normal), signaling speculative or hedging bearish interest that can accelerate downward moves. (No external link)
• Negative Sentiment: Trading volume and volatility spiked on the selloff — heavy volume usually amplifies price moves and can create short‑term downside as liquidity is absorbed. Yahoo Finance: Q4 Miss & Stock Drop

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.