PennyMac Financial Services, Inc. (NYSE:PFSI) Given Average Recommendation of “Hold” by Analysts

Shares of PennyMac Financial Services, Inc. (NYSE:PFSI) have been given a consensus recommendation of “Hold” by the ten research firms that are currently covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and four have issued a buy recommendation on the company. The average 1 year target price among analysts that have issued ratings on the stock in the last year is $104.8750.

Several research firms have recently commented on PFSI. Keefe, Bruyette & Woods dropped their target price on shares of PennyMac Financial Services from $108.00 to $100.00 and set an “outperform” rating for the company in a research report on Friday, July 31st. Wells Fargo & Company reduced their price target on shares of PennyMac Financial Services from $100.00 to $95.00 and set an “overweight” rating on the stock in a research report on Thursday, July 30th. Piper Sandler cut shares of PennyMac Financial Services from an “overweight” rating to a “neutral” rating and reduced their price target for the company from $106.00 to $86.00 in a research report on Thursday, July 30th. Zacks Research downgraded shares of PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research note on Friday, May 8th. Finally, BTIG Research lowered their price objective on shares of PennyMac Financial Services from $105.00 to $90.00 and set a “buy” rating for the company in a report on Thursday, July 30th.

PennyMac Financial Services Price Performance

Shares of PennyMac Financial Services stock opened at $75.10 on Tuesday. The business has a 50 day moving average of $81.20 and a 200 day moving average of $86.07. PennyMac Financial Services has a 52 week low of $71.68 and a 52 week high of $160.36. The company has a market cap of $3.90 billion, a PE ratio of 10.32, a P/E/G ratio of 0.71 and a beta of 1.45. The company has a quick ratio of 0.38, a current ratio of 0.38 and a debt-to-equity ratio of 3.22.

PennyMac Financial Services (NYSE:PFSI) last released its quarterly earnings results on Wednesday, July 29th. The real estate investment trust reported $1.39 earnings per share for the quarter, missing the consensus estimate of $2.11 by ($0.72). PennyMac Financial Services had a net margin of 17.74% and a return on equity of 11.18%. The firm’s revenue was up 11.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.54 earnings per share. As a group, equities research analysts forecast that PennyMac Financial Services will post 7.36 earnings per share for the current year.

PennyMac Financial Services Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 27th. Stockholders of record on Monday, August 17th will be given a $0.30 dividend. The ex-dividend date of this dividend is Monday, August 17th. This represents a $1.20 annualized dividend and a dividend yield of 1.6%. PennyMac Financial Services’s dividend payout ratio is currently 16.48%.

Insider Activity at PennyMac Financial Services

In other news, CAO Gregory L. Hendry sold 2,943 shares of the firm’s stock in a transaction that occurred on Monday, June 22nd. The stock was sold at an average price of $81.71, for a total value of $240,472.53. Following the completion of the transaction, the chief accounting officer owned 48,968 shares in the company, valued at $4,001,175.28. This trade represents a 5.67% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 15.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On PennyMac Financial Services

Institutional investors have recently added to or reduced their stakes in the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of PennyMac Financial Services by 0.7% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 16,034 shares of the real estate investment trust’s stock worth $1,598,000 after buying an additional 111 shares during the period. Sei Investments Co. lifted its position in PennyMac Financial Services by 0.7% during the 3rd quarter. Sei Investments Co. now owns 22,145 shares of the real estate investment trust’s stock valued at $2,743,000 after acquiring an additional 146 shares during the period. CANADA LIFE ASSURANCE Co lifted its position in 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 valued at $2,026,000 after acquiring an additional 163 shares during the period. Cerity Partners LLC lifted its position in PennyMac Financial Services by 7.3% during the 4th quarter. Cerity Partners LLC now owns 2,399 shares of the real estate investment trust’s stock valued at $316,000 after acquiring an additional 164 shares during the period. Finally, Vanguard Personalized Indexing Management LLC boosted its stake in PennyMac Financial Services by 4.4% during the fourth quarter. Vanguard Personalized Indexing Management LLC now owns 4,619 shares of the real estate investment trust’s stock worth $609,000 after acquiring an additional 196 shares in the last quarter. Institutional investors own 57.87% of the company’s stock.

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.