Insider Buying: PennyMac Financial Services (NYSE:PFSI) Director Acquires 2,250 Shares of Stock

PennyMac Financial Services, Inc. (NYSE:PFSI) Director Patrick Kinsella purchased 2,250 shares of PennyMac Financial Services stock in a transaction that occurred on Thursday, February 12th. The stock was purchased at an average cost of $89.15 per share, for a total transaction of $200,587.50. Following the completion of the purchase, the director owned 34,210 shares of the company’s stock, valued at $3,049,821.50. This trade represents a 7.04% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is available through the SEC website.

PennyMac Financial Services Stock Up 0.8%

PennyMac Financial Services stock traded up $0.71 on Friday, hitting $92.20. 816,886 shares of the stock traded hands, compared to its average volume of 994,156. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 3.01. The firm has a market cap of $4.79 billion, a P/E ratio of 9.91, a price-to-earnings-growth ratio of 0.51 and a beta of 1.54. The business’s fifty day simple moving average is $130.34 and its 200 day simple moving average is $122.69. PennyMac Financial Services, Inc. has a 1 year low of $85.74 and a 1 year high of $160.36.

PennyMac Financial Services (NYSE:PFSI) last released its earnings results 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). The business had revenue of $538.01 million during the quarter, compared to analysts’ expectations of $639.81 million. PennyMac Financial Services had a return on equity of 10.36% and a net margin of 24.48%.The firm’s quarterly revenue was up 14.4% compared to the same quarter last year. During the same period in the prior year, the company earned $1.95 earnings per share. As a group, sell-side analysts forecast that PennyMac Financial Services, Inc. will post 13.77 earnings per share for the current year.

PennyMac Financial Services Dividend Announcement

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

Hedge Funds Weigh In On PennyMac Financial Services

Several hedge funds and other institutional investors have recently added to or reduced their stakes in PFSI. EverSource Wealth Advisors LLC purchased a new stake in PennyMac Financial Services during the 2nd quarter valued at $26,000. Strs Ohio purchased a new position in shares of PennyMac Financial Services in the first quarter worth $30,000. Los Angeles Capital Management LLC bought a new position in shares of PennyMac Financial Services during the fourth quarter valued at $31,000. GAMMA Investing LLC lifted its holdings in shares of PennyMac Financial Services by 97.3% during the fourth quarter. GAMMA Investing LLC now owns 288 shares of the real estate investment trust’s stock valued at $38,000 after purchasing an additional 142 shares in the last quarter. Finally, Bayforest Capital Ltd purchased a new stake in shares of PennyMac Financial Services during the second quarter valued at $62,000. 57.87% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on PFSI shares. Barclays lowered their target price on shares of PennyMac Financial Services from $158.00 to $136.00 and set an “overweight” rating for the company in a report on Friday, January 30th. UBS Group raised their price objective on PennyMac Financial Services from $135.00 to $145.00 and gave the company a “neutral” rating in a research report on Friday, October 24th. Keefe, Bruyette & Woods dropped their target price on PennyMac Financial Services from $143.00 to $115.00 and set a “market perform” rating on the stock in a report on Monday, February 2nd. Wells Fargo & Company cut their target price on PennyMac Financial Services from $150.00 to $135.00 and set an “overweight” rating on the stock in a research note on Friday, January 30th. Finally, Wall Street Zen downgraded PennyMac Financial Services from a “buy” rating to a “hold” rating in a report on Sunday, January 18th. Five equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $139.71.

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.