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

PennyMac Financial Services (NYSE:PFSI) issued its quarterly earnings results on Thursday. The real estate investment trust reported $2.88 EPS for the quarter, missing the consensus estimate 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 Trading Up 2.3 %

Shares of PFSI stock traded up $2.63 during mid-day trading on Thursday, reaching $114.73. The stock had a trading volume of 398,510 shares, compared to its average volume of 316,688. The company has a current ratio of 0.38, a quick ratio of 0.38 and a debt-to-equity ratio of 2.75. PennyMac Financial Services has a 52-week low of $83.03 and a 52-week high of $119.13. The stock’s 50-day moving average price is $104.45 and its two-hundred day moving average price is $104.31. The firm has a market capitalization of $5.88 billion, a PE ratio of 36.42, a price-to-earnings-growth ratio of 0.20 and a beta of 1.78.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the stock. Wells Fargo & Company increased their price target on shares of PennyMac Financial Services from $110.00 to $125.00 and gave the company an “overweight” rating in a research note on Thursday, October 24th. Piper Sandler boosted their price target on PennyMac Financial Services from $125.00 to $132.00 and gave the company an “overweight” rating in a research note on Wednesday, October 23rd. Wedbush reiterated an “outperform” rating and set a $130.00 price target on shares of PennyMac Financial Services in a research report on Wednesday, October 23rd. Barclays increased their target price 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. Finally, Keefe, Bruyette & Woods reduced their price objective on 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 research analyst has rated the stock with a sell rating, one has given a hold rating and five have assigned a buy rating to the stock. Based on data from MarketBeat.com, PennyMac Financial Services has a consensus rating of “Moderate Buy” and an average price target of $122.50.

Insider Buying and Selling

In related news, CEO David Spector sold 61,120 shares of the stock in a transaction dated Friday, December 20th. The stock was sold at an average price of $101.72, for a total transaction of $6,217,126.40. Following the completion of the sale, the chief executive officer now owns 634,612 shares in the company, valued at approximately $64,552,732.64. This trade represents a 8.78 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Daniel Stanley Perotti sold 10,500 shares of the stock in a transaction that occurred on Friday, November 15th. The shares were sold at an average price of $100.02, for a total value of $1,050,210.00. Following the transaction, the chief financial officer now directly owns 225,497 shares of the company’s stock, valued at approximately $22,554,209.94. The trade was a 4.45 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 147,844 shares of company stock valued at $15,079,791 over the last quarter. Corporate insiders own 16.60% of the company’s stock.

About PennyMac Financial Services

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.