PennyMac Financial Services (NYSE:PFSI) Releases Quarterly Earnings Results, Misses Expectations By $0.21 EPS

PennyMac Financial Services (NYSE:PFSI) announced its earnings results on Thursday. The real estate investment trust reported $2.88 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.09 by ($0.21), Zacks reports. PennyMac Financial Services had a return on equity of 15.13% and a net margin of 11.45%.

PennyMac Financial Services Stock Down 8.4 %

NYSE:PFSI traded down $9.64 on Friday, hitting $105.18. 162,694 shares of the company’s stock were exchanged, compared to its average volume of 307,603. The firm has a 50-day moving average price of $104.67 and a 200-day moving average price of $104.39. The company has a debt-to-equity ratio of 2.75, a current ratio of 0.38 and a quick ratio of 0.38. The company has a market cap of $5.39 billion, a P/E ratio of 33.33, a price-to-earnings-growth ratio of 0.21 and a beta of 1.78. PennyMac Financial Services has a 52 week low of $83.03 and a 52 week high of $119.13.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on PFSI. Piper Sandler reduced their price target on PennyMac Financial Services from $132.00 to $130.00 and set an “overweight” rating for the company in a research note on Friday. Wells Fargo & Company boosted their price objective on PennyMac Financial Services from $110.00 to $125.00 and gave the company an “overweight” rating in a research note on Thursday, October 24th. Barclays raised their price target on shares of PennyMac Financial Services from $112.00 to $125.00 and gave the stock an “overweight” rating in a report on Tuesday, October 8th. Wedbush restated an “outperform” rating and set a $130.00 price objective on shares of PennyMac Financial Services in a research note on Wednesday, October 23rd. Finally, Keefe, Bruyette & Woods decreased their price target on shares of PennyMac Financial Services from $112.00 to $111.00 and set a “market perform” rating on the stock in a research report on Tuesday, December 10th. One investment analyst has rated the stock with a sell rating, one has issued a hold rating and five have issued a buy rating to the company. According to MarketBeat, PennyMac Financial Services currently has an average rating of “Moderate Buy” and an average price target of $122.17.

Insider Buying and Selling

In other news, Director Doug Jones sold 600 shares of the firm’s stock in a transaction dated Friday, December 20th. The stock was sold at an average price of $102.04, for a total value of $61,224.00. Following the transaction, the director now owns 23,892 shares of the company’s stock, valued at $2,437,939.68. This trade represents a 2.45 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Gregory L. Hendry sold 3,032 shares of the firm’s stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $102.09, for a total value of $309,536.88. Following the completion of the sale, the chief accounting officer now directly owns 48,040 shares of the company’s stock, valued at $4,904,403.60. The trade was a 5.94 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 147,844 shares of company stock worth $15,079,791 in the last ninety days. 16.60% of the stock is owned by insiders.

PennyMac Financial Services Company Profile

PennyMac Financial Services, Inc, through its subsidiaries, engages in the mortgage banking and investment management activities in the United States. The company operates through three segments: Production, Servicing, and Investment Management. The Production segment is involved in the origination, acquisition, and sale of loans.