Analysts Set PennyMac Financial Services, Inc. (NYSE:PFSI) Target Price at $104.88

Shares of PennyMac Financial Services, Inc. (NYSE:PFSI) have been assigned an average rating of “Hold” from the ten research firms that are currently covering the stock, MarketBeat reports. Two investment analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and four have issued a buy recommendation on the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $104.8750.

PFSI has been the topic of a number of recent analyst reports. Wells Fargo & Company decreased their target price on shares of PennyMac Financial Services from $100.00 to $95.00 and set an “overweight” rating on the stock in a research note on Thursday, July 30th. Wall Street Zen lowered shares of PennyMac Financial Services from a “hold” rating to a “sell” rating in a research report on Saturday, August 1st. Weiss Ratings reissued a “sell (d+)” rating on shares of PennyMac Financial Services in a research note on Monday, August 3rd. Barclays decreased their price objective on shares of PennyMac Financial Services from $93.00 to $85.00 and set an “equal weight” rating on the stock in a research report on Thursday, July 30th. Finally, Keefe, Bruyette & Woods dropped their target price on shares of PennyMac Financial Services from $108.00 to $100.00 and set an “outperform” rating for the company in a report on Friday, July 31st.

PennyMac Financial Services Stock Down 1.2%

PennyMac Financial Services stock opened at $75.95 on Tuesday. PennyMac Financial Services has a 12 month low of $71.68 and a 12 month high of $160.36. The stock has a fifty day simple moving average of $81.33 and a two-hundred day simple moving average of $86.14. The company has a current ratio of 0.38, a quick ratio of 0.38 and a debt-to-equity ratio of 3.22. The firm has a market cap of $3.95 billion, a price-to-earnings ratio of 10.43, a PEG ratio of 0.73 and a beta of 1.45.

PennyMac Financial Services (NYSE:PFSI) last issued its earnings results on Wednesday, July 29th. The real estate investment trust reported $1.39 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.11 by ($0.72). PennyMac Financial Services had a return on equity of 11.18% and a net margin of 17.74%.The firm’s revenue for the quarter was up 11.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.54 earnings per share. Equities analysts predict that PennyMac Financial Services will post 7.36 EPS for the current fiscal year.

PennyMac Financial Services Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, August 27th. Shareholders of record on Monday, August 17th will be issued a dividend of $0.30 per share. The ex-dividend date of this dividend is Monday, August 17th. This represents a $1.20 dividend on an annualized basis and a yield of 1.6%. PennyMac Financial Services’s dividend payout ratio (DPR) is currently 16.48%.

Insider Activity at PennyMac Financial Services

In other news, CAO Gregory L. Hendry sold 2,943 shares of the company’s stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $81.71, for a total value of $240,472.53. Following the completion of the transaction, the chief accounting officer owned 48,968 shares of the company’s stock, valued at $4,001,175.28. This represents a 5.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 15.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in PFSI. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of PennyMac Financial Services during the second quarter valued at approximately $25,000. EverSource Wealth Advisors LLC bought a new position in shares of PennyMac Financial Services during the second quarter worth $26,000. Caitong International Asset Management Co. Ltd boosted its position in shares of PennyMac Financial Services by 7,600.0% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 231 shares of the real estate investment trust’s stock worth $30,000 after acquiring an additional 228 shares during the last quarter. Strs Ohio purchased a new position in PennyMac Financial Services during the first quarter valued at $30,000. Finally, Los Angeles Capital Management LLC purchased a new position in PennyMac Financial Services during the fourth quarter valued at $31,000. 57.87% of the stock is owned by hedge funds and other institutional investors.

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.