PennyMac Financial Services (NYSE:PFSI) Rating Increased to Strong-Buy at Jefferies Financial Group

Jefferies Financial Group upgraded shares of PennyMac Financial Services (NYSE:PFSI) to a strong-buy rating in a research report sent to investors on Friday,Zacks.com reports.

Several other analysts also recently weighed in on PFSI. Weiss Ratings reiterated a “hold (c+)” rating on shares of PennyMac Financial Services in a research note on Friday, October 31st. Piper Sandler lifted their target price on PennyMac Financial Services from $136.00 to $140.00 and gave the stock an “overweight” rating in a report on Wednesday, October 22nd. UBS Group increased their price target on shares of PennyMac Financial Services from $135.00 to $145.00 and gave the stock a “neutral” rating in a report on Friday, October 24th. BTIG Research reissued a “buy” rating and set a $135.00 price target on shares of PennyMac Financial Services in a research report on Wednesday, October 22nd. Finally, Zacks Research raised shares of PennyMac Financial Services from a “strong sell” rating to a “hold” rating in a report on Monday, October 6th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $142.43.

PennyMac Financial Services Trading Up 1.1%

NYSE PFSI opened at $133.91 on Friday. The company has a fifty day simple moving average of $127.98 and a two-hundred day simple moving average of $114.06. The stock has a market cap of $6.96 billion, a P/E ratio of 14.43 and a beta of 1.58. PennyMac Financial Services has a 12-month low of $85.74 and a 12-month high of $137.53. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 3.01.

PennyMac Financial Services (NYSE:PFSI) last announced its quarterly earnings data on Tuesday, October 21st. The real estate investment trust reported $3.37 earnings per share for the quarter, beating analysts’ consensus estimates of $2.98 by $0.39. PennyMac Financial Services had a net margin of 25.21% and a return on equity of 11.69%. The firm had revenue of $632.90 million for the quarter, compared to analyst estimates of $573.46 million. During the same period in the previous year, the company earned $1.30 earnings per share. The business’s quarterly revenue was up 53.7% compared to the same quarter last year. On average, analysts forecast that PennyMac Financial Services will post 13.77 earnings per share for the current year.

PennyMac Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, November 26th. Shareholders of record on Monday, November 17th were given a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 0.9%. The ex-dividend date was Monday, November 17th. PennyMac Financial Services’s dividend payout ratio is currently 12.93%.

Insider Activity

In related news, Director Doug Jones sold 23,453 shares of the firm’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $127.56, for a total transaction of $2,991,664.68. Following the sale, the director owned 19,056 shares in the company, valued at approximately $2,430,783.36. This trade represents a 55.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Anne Mccallion sold 27,771 shares of PennyMac Financial Services stock in a transaction on Friday, October 24th. The shares were sold at an average price of $131.55, for a total transaction of $3,653,275.05. Following the completion of the transaction, the director directly owned 1,547 shares of the company’s stock, valued at $203,507.85. The trade was a 94.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 218,129 shares of company stock valued at $28,164,517 in the last quarter. Company insiders own 15.80% of the company’s stock.

Institutional Investors Weigh In On PennyMac Financial Services

A number of institutional investors have recently modified their holdings of the business. EverSource Wealth Advisors LLC purchased a new position in shares of PennyMac Financial Services in the 2nd quarter valued at about $26,000. Strs Ohio acquired a new stake in PennyMac Financial Services in the first quarter valued at approximately $30,000. Bayforest Capital Ltd purchased a new stake in shares of PennyMac Financial Services in the second quarter valued at approximately $62,000. Harbor Capital Advisors Inc. raised its stake in shares of PennyMac Financial Services by 26.3% during 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 during the period. Finally, CWM LLC raised its stake in shares of PennyMac Financial Services by 92.7% during the 3rd quarter. CWM LLC now owns 555 shares of the real estate investment trust’s stock worth $69,000 after buying an additional 267 shares during the period. 57.87% of the stock is currently owned by institutional investors and hedge funds.

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.