Brokerages Set PennyMac Financial Services, Inc. (NYSE:PFSI) Target Price at $107.17

PennyMac Financial Services, Inc. (NYSE:PFSI) has earned a consensus rating of “Moderate Buy” from the six brokerages that are currently covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 12 month target price among brokerages that have covered the stock in the last year is $107.17.

A number of equities analysts have recently issued reports on the company. Keefe, Bruyette & Woods downgraded PennyMac Financial Services from an “outperform” rating to a “market perform” rating and set a $102.00 price target on the stock. in a research report on Monday, July 22nd. Piper Sandler upped their price target on PennyMac Financial Services from $110.00 to $112.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 24th. Deutsche Bank Aktiengesellschaft reduced their price target on PennyMac Financial Services from $115.00 to $112.00 and set a “buy” rating on the stock in a research report on Thursday, April 25th. Wedbush upped their target price on PennyMac Financial Services from $110.00 to $120.00 and gave the company an “outperform” rating in a research report on Wednesday, July 24th. Finally, StockNews.com downgraded PennyMac Financial Services from a “hold” rating to a “sell” rating in a research report on Wednesday, July 3rd.

PennyMac Financial Services Stock Performance

Shares of NYSE:PFSI opened at $97.99 on Monday. The company has a market capitalization of $4.99 billion, a price-to-earnings ratio of 34.02, a price-to-earnings-growth ratio of 0.64 and a beta of 1.72. PennyMac Financial Services has a 52 week low of $62.15 and a 52 week high of $105.94. The company has a quick ratio of 0.39, a current ratio of 0.39 and a debt-to-equity ratio of 2.33. The firm has a 50 day moving average of $94.42 and a 200 day moving average of $90.64.

PennyMac Financial Services (NYSE:PFSI) last issued its quarterly earnings results on Tuesday, July 23rd. The real estate investment trust reported $1.85 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.65 by ($0.80). The business had revenue of $406.13 million for the quarter, compared to analyst estimates of $469.64 million. PennyMac Financial Services had a return on equity of 12.78% and a net margin of 13.13%. The business’s revenue for the quarter was up 20.7% on a year-over-year basis. During the same period in the previous year, the company posted $1.11 earnings per share. On average, sell-side analysts predict that PennyMac Financial Services will post 10.54 earnings per share for the current fiscal year.

PennyMac Financial Services Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 23rd. Shareholders of record on Tuesday, August 13th will be issued a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.22%. This is a positive change from PennyMac Financial Services’s previous quarterly dividend of $0.20. The ex-dividend date of this dividend is Tuesday, August 13th. PennyMac Financial Services’s dividend payout ratio is presently 27.78%.

Insider Buying and Selling at PennyMac Financial Services

In other PennyMac Financial Services news, Director Doug Jones sold 30,000 shares of the company’s stock in a transaction on Wednesday, May 22nd. The shares were sold at an average price of $91.49, for a total value of $2,744,700.00. Following the sale, the director now directly owns 480,000 shares of the company’s stock, valued at $43,915,200. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. In other news, CEO David Spector sold 10,000 shares of the stock in a transaction dated Monday, June 3rd. The shares were sold at an average price of $90.56, for a total transaction of $905,600.00. Following the sale, the chief executive officer now directly owns 230,604 shares of the company’s stock, valued at approximately $20,883,498.24. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director Doug Jones sold 30,000 shares of the stock in a transaction dated Wednesday, May 22nd. The stock was sold at an average price of $91.49, for a total transaction of $2,744,700.00. Following the sale, the director now directly owns 480,000 shares in the company, valued at $43,915,200. The disclosure for this sale can be found here. Over the last three months, insiders have sold 71,400 shares of company stock valued at $6,551,300. 16.60% of the stock is owned by insiders.

Institutional Investors Weigh In On PennyMac Financial Services

Several hedge funds have recently modified their holdings of the company. Hexagon Capital Partners LLC boosted its stake in shares of PennyMac Financial Services by 29.6% during the 2nd quarter. Hexagon Capital Partners LLC now owns 477 shares of the real estate investment trust’s stock worth $45,000 after acquiring an additional 109 shares in the last quarter. QRG Capital Management Inc. lifted its stake in PennyMac Financial Services by 0.7% in the 1st quarter. QRG Capital Management Inc. now owns 33,892 shares of the real estate investment trust’s stock valued at $3,087,000 after buying an additional 232 shares in the last quarter. MorganRosel Wealth Management LLC lifted its stake in PennyMac Financial Services by 2.2% in the 1st quarter. MorganRosel Wealth Management LLC now owns 10,811 shares of the real estate investment trust’s stock valued at $985,000 after buying an additional 236 shares in the last quarter. USA Financial Formulas purchased a new position in PennyMac Financial Services in the 4th quarter valued at about $25,000. Finally, ProShare Advisors LLC lifted its stake in PennyMac Financial Services by 8.5% in the 1st quarter. ProShare Advisors LLC now owns 4,587 shares of the real estate investment trust’s stock valued at $418,000 after buying an additional 361 shares in the last quarter. 57.87% of the stock is owned by hedge funds and other institutional investors.

PennyMac Financial Services Company Profile

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.