Insider Selling: PennyMac Financial Services (NYSE:PFSI) CEO Sells 10,000 Shares of Stock

PennyMac Financial Services, Inc. (NYSE:PFSI) CEO David Spector sold 10,000 shares of PennyMac Financial Services stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $94.50, for a total transaction of $945,000.00. Following the sale, the chief executive officer owned 90,604 shares of the company’s stock, valued at $8,562,078. The trade was a 9.94% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

David Spector also recently made the following trade(s):

• On Thursday, February 19th, David Spector sold 2,950 shares of PennyMac Financial Services stock. The stock was sold at an average price of $94.52, for a total transaction of $278,834.00.
• On Tuesday, January 13th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The shares were sold at an average price of $145.19, for a total value of $1,451,900.00.
• On Tuesday, December 16th, David Spector sold 5,000 shares of PennyMac Financial Services stock. The stock was sold at an average price of $129.81, for a total value of $649,050.00.

PennyMac Financial Services Stock Down 1.9%

NYSE PFSI traded down $1.80 on Friday, reaching $92.53. 849,009 shares of the stock traded hands, compared to its average volume of 990,221. PennyMac Financial Services, Inc. has a 12 month low of $85.74 and a 12 month high of $160.36. The company has a debt-to-equity ratio of 3.01, a quick ratio of 0.36 and a current ratio of 0.36. The company has a fifty day moving average price of $126.68 and a 200-day moving average price of $122.67. The company has a market cap of $4.81 billion, a price-to-earnings ratio of 9.95, a PEG ratio of 0.54 and a beta of 1.54.

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

PennyMac Financial Services Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, February 26th. Investors of record on Monday, February 16th will be issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend is Friday, February 13th. PennyMac Financial Services’s dividend payout ratio (DPR) is presently 12.90%.

Analysts Set New Price Targets

A number of research firms have weighed in on PFSI. BTIG Research restated a “buy” rating on shares of PennyMac Financial Services in a report on Friday, January 30th. Zacks Research downgraded PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research report on Tuesday, February 3rd. Piper Sandler cut their target price on PennyMac Financial Services from $168.00 to $137.00 and set an “overweight” rating on the stock in a research note on Friday, January 30th. UBS Group raised their price target on shares of PennyMac Financial Services from $135.00 to $145.00 and gave the company a “neutral” rating in a report on Friday, October 24th. Finally, Barclays cut their price objective on shares of PennyMac Financial Services from $158.00 to $136.00 and set an “overweight” rating on the stock in a research report on Friday, January 30th. Five research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $139.71.

Hedge Funds Weigh In On PennyMac Financial Services

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC acquired a new position in shares of PennyMac Financial Services in the second quarter valued at about $26,000. Strs Ohio purchased a new stake in PennyMac Financial Services in the first quarter valued at approximately $30,000. Los Angeles Capital Management LLC acquired a new position in PennyMac Financial Services in the 4th quarter worth approximately $31,000. GAMMA Investing LLC increased its holdings in PennyMac Financial Services by 97.3% in the 4th quarter. GAMMA Investing LLC now owns 288 shares of the real estate investment trust’s stock worth $38,000 after buying an additional 142 shares during the period. Finally, Harbor Capital Advisors Inc. raised its position in 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 last quarter. Hedge funds and other 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.