JPMorgan Chase & Co. Reduces Stock Position in PennyMac Financial Services, Inc. $PFSI

JPMorgan Chase & Co. lessened its stake in PennyMac Financial Services, Inc. (NYSE:PFSI) by 10.4% in the 3rd quarter, Holdings Channel.com reports. The firm owned 647,878 shares of the real estate investment trust’s stock after selling 74,881 shares during the period. JPMorgan Chase & Co.’s holdings in PennyMac Financial Services were worth $80,259,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently added to or reduced their stakes in PFSI. Invesco Ltd. boosted its stake in PennyMac Financial Services by 18.3% during the third quarter. Invesco Ltd. now owns 1,463,096 shares of the real estate investment trust’s stock worth $181,248,000 after buying an additional 226,581 shares during the last quarter. Geode Capital Management LLC increased its stake in shares of PennyMac Financial Services by 6.0% in the 2nd quarter. Geode Capital Management LLC now owns 721,757 shares of the real estate investment trust’s stock worth $71,924,000 after acquiring an additional 41,124 shares during the last quarter. Basswood Capital Management L.L.C. boosted its position in shares of PennyMac Financial Services by 5.9% during the 2nd quarter. Basswood Capital Management L.L.C. now owns 570,210 shares of the real estate investment trust’s stock valued at $56,816,000 after acquiring an additional 31,743 shares during the last quarter. 140 Summer Partners LP acquired a new stake in PennyMac Financial Services during the third quarter worth about $55,268,000. Finally, American Century Companies Inc. increased its position in PennyMac Financial Services by 7.5% during the third quarter. American Century Companies Inc. now owns 429,403 shares of the real estate investment trust’s stock worth $53,195,000 after purchasing an additional 30,015 shares during the last quarter. Hedge funds and other institutional investors own 57.87% of the company’s stock.

Analysts Set New Price Targets

PFSI has been the topic of a number of analyst reports. Weiss Ratings downgraded shares of PennyMac Financial Services from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, January 20th. BTIG Research reissued a “buy” rating on shares of PennyMac Financial Services in a research note on Friday, January 30th. Wall Street Zen lowered shares of PennyMac Financial Services from a “buy” rating to a “hold” rating in a research report on Sunday, January 18th. Zacks Research cut PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research note on Tuesday, February 3rd. Finally, Keefe, Bruyette & Woods upgraded PennyMac Financial Services from a “market perform” rating to an “outperform” rating and set a $115.00 target price on the stock in a research report on Monday. Six equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $139.71.

Insider Transactions at PennyMac Financial Services

In related news, CEO David Spector sold 10,000 shares of the business’s stock in a transaction on Friday, March 6th. The stock was sold at an average price of $86.39, for a total value of $863,900.00. Following the sale, the chief executive officer owned 80,604 shares in the company, valued at approximately $6,963,379.56. The trade was a 11.04% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Derek Stark sold 1,066 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $87.66, for a total value of $93,445.56. Following the transaction, the insider directly owned 20,944 shares in the company, valued at approximately $1,835,951.04. The trade was a 4.84% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 51,280 shares of company stock valued at $5,154,453. Corporate insiders own 15.80% of the company’s stock.

PennyMac Financial Services Price Performance

PennyMac Financial Services stock opened at $87.18 on Thursday. The company’s 50 day simple moving average is $110.01 and its 200-day simple moving average is $120.69. The company has a debt-to-equity ratio of 3.32, a quick ratio of 0.34 and a current ratio of 0.34. PennyMac Financial Services, Inc. has a 1 year low of $83.66 and a 1 year high of $160.36. The company has a market capitalization of $4.55 billion, a price-to-earnings ratio of 9.37, a price-to-earnings-growth ratio of 0.50 and a beta of 1.56.

PennyMac Financial Services (NYSE:PFSI) last posted 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). PennyMac Financial Services had a return on equity of 10.20% and a net margin of 24.48%.The company had revenue of $538.01 million for the quarter, compared to analysts’ expectations of $639.81 million. During the same period in the previous year, the business posted $1.95 EPS. The business’s revenue for the quarter was up 14.4% on a year-over-year basis. As a group, equities research analysts expect that PennyMac Financial Services, Inc. will post 13.77 earnings per share for the current year.

PennyMac Financial Services Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, February 26th. Stockholders of record on Monday, February 16th were given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 1.4%. The ex-dividend date was Friday, February 13th. PennyMac Financial Services’s dividend payout ratio (DPR) is currently 12.90%.

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.