Brokerages Set PennyMac Financial Services, Inc. (NYSE:PFSI) Target Price at $117.12

PennyMac Financial Services, Inc. (NYSE:PFSI) has been assigned an average rating of “Hold” from the ten brokerages that are presently covering the company, Marketbeat.com reports. Two research analysts have rated the stock with a sell rating, two have issued a hold rating and six have issued a buy rating on the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $116.3750.

Several equities research analysts recently weighed in on PFSI shares. Wells Fargo & Company dropped their price objective on shares of PennyMac Financial Services from $110.00 to $100.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 6th. Wall Street Zen upgraded PennyMac Financial Services from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Barclays lowered their price target on PennyMac Financial Services from $116.00 to $107.00 and set an “overweight” rating on the stock in a report on Monday, May 11th. Weiss Ratings downgraded shares of PennyMac Financial Services from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, May 6th. Finally, Keefe, Bruyette & Woods dropped their target price on PennyMac Financial Services from $115.00 to $108.00 and set an “outperform” rating on the stock in a research report on Friday, May 8th.

Insider Buying and Selling

In other news, CEO David Spector sold 10,000 shares of the stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $87.99, for a total transaction of $879,900.00. Following the transaction, the chief executive officer owned 60,604 shares in the company, valued at $5,332,545.96. This represents a 14.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daniel Stanley Perotti sold 2,925 shares of the firm’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $87.50, for a total transaction of $255,937.50. Following the transaction, the chief financial officer owned 210,625 shares in the company, valued at $18,429,687.50. This represents a 1.37% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 28,045 shares of company stock worth $2,493,770. Insiders own 15.80% of the company’s stock.

Hedge Funds Weigh In On PennyMac Financial Services

Institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its stake in shares of PennyMac Financial Services by 0.5% during the 4th quarter. Vanguard Group Inc. now owns 2,832,737 shares of the real estate investment trust’s stock worth $373,468,000 after acquiring an additional 12,782 shares in the last quarter. Dimensional Fund Advisors LP lifted its holdings in PennyMac Financial Services by 7.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,916,271 shares of the real estate investment trust’s stock worth $167,474,000 after purchasing an additional 126,902 shares during the last quarter. Invesco Ltd. boosted its position in PennyMac Financial Services by 7.3% during the fourth quarter. Invesco Ltd. now owns 1,569,184 shares of the real estate investment trust’s stock worth $206,881,000 after purchasing an additional 106,088 shares during the period. 140 Summer Partners LP boosted its position in PennyMac Financial Services by 50.2% during the fourth quarter. 140 Summer Partners LP now owns 669,892 shares of the real estate investment trust’s stock worth $88,319,000 after purchasing an additional 223,752 shares during the period. Finally, Basswood Capital Management L.L.C. grew its holdings in PennyMac Financial Services by 5.9% during the second 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 purchasing an additional 31,743 shares during the last quarter. 57.87% of the stock is currently owned by institutional investors.

PennyMac Financial Services Trading Up 0.1%

Shares of PFSI stock opened at $83.54 on Monday. The firm has a market cap of $4.34 billion, a P/E ratio of 8.88, a PEG ratio of 0.56 and a beta of 1.44. The firm’s 50-day simple moving average is $85.20 and its 200-day simple moving average is $100.62. PennyMac Financial Services has a 1-year low of $77.67 and a 1-year high of $160.36. The company has a debt-to-equity ratio of 3.63, a current ratio of 0.33 and a quick ratio of 0.33.

PennyMac Financial Services (NYSE:PFSI) last issued its quarterly earnings data on Tuesday, May 5th. The real estate investment trust reported $2.19 EPS for the quarter, missing analysts’ consensus estimates of $2.22 by ($0.03). The company had revenue of $544.98 million for the quarter, compared to analyst estimates of $546.17 million. PennyMac Financial Services had a return on equity of 10.93% and a net margin of 23.47%.The company’s revenue for the quarter was up 26.5% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.42 EPS. As a group, equities analysts forecast that PennyMac Financial Services will post 10.43 EPS for the current year.

PennyMac Financial Services Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, May 28th. Investors of record on Monday, May 18th were paid a $0.30 dividend. The ex-dividend date of this dividend was Monday, May 18th. This represents a $1.20 annualized dividend and a dividend yield of 1.4%. PennyMac Financial Services’s payout ratio is presently 12.75%.

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.