PennyMac Financial Services (PFSI) Stock Rating Lowered by Zacks Investment Research

Zacks Investment Research cut shares of PennyMac Financial Services (NYSE:PFSI) from a hold rating to a sell rating in a research report released on Tuesday morning.

According to Zacks, “PennyMac Financial Services, Inc. provides financial services primarily in the United States. The Company conducts its business in two segments: mortgage banking and investment management. Mortgage banking segment offers correspondent and retail lending businesses and loan servicing business. Investment management segment offers investment advisory and investment management services. PennyMac Financial Services, Inc. is headquartered in Moorpark, California. “

Several other research analysts have also recently issued reports on the stock. ValuEngine cut shares of PennyMac Financial Services from a buy rating to a hold rating in a report on Friday, October 12th. Barclays set a $24.00 target price on shares of PennyMac Financial Services and gave the company a buy rating in a report on Wednesday, July 25th. Finally, Compass Point restated a hold rating and issued a $23.00 target price on shares of PennyMac Financial Services in a report on Tuesday, August 7th. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and three have given a buy rating to the stock. PennyMac Financial Services currently has a consensus rating of Hold and an average target price of $24.80.

Shares of NYSE:PFSI opened at $19.55 on Tuesday. PennyMac Financial Services has a 52 week low of $17.85 and a 52 week high of $25.20. The company has a current ratio of 0.18, a quick ratio of 0.18 and a debt-to-equity ratio of 1.27. The company has a market capitalization of $496.50 million, a price-to-earnings ratio of 7.25, a PEG ratio of 0.76 and a beta of 0.55.

PennyMac Financial Services (NYSE:PFSI) last announced its quarterly earnings data on Thursday, August 2nd. The real estate investment trust reported $0.70 EPS for the quarter, beating the Zacks’ consensus estimate of $0.66 by $0.04. PennyMac Financial Services had a net margin of 11.03% and a return on equity of 3.91%. The company had revenue of $244.30 million for the quarter, compared to the consensus estimate of $241.49 million. On average, research analysts forecast that PennyMac Financial Services will post 2.61 earnings per share for the current year.

In related news, insider Anne Mccallion sold 5,000 shares of the stock in a transaction on Thursday, August 16th. The shares were sold at an average price of $21.22, for a total transaction of $106,100.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Matthew Botein sold 10,000 shares of the stock in a transaction on Tuesday, July 31st. The stock was sold at an average price of $19.11, for a total transaction of $191,100.00. The disclosure for this sale can be found here. In the last 90 days, insiders sold 70,000 shares of company stock valued at $1,427,450. Company insiders own 45.64% of the company’s stock.

A number of large investors have recently modified their holdings of the stock. Morgan Stanley boosted its stake in PennyMac Financial Services by 23.9% during the 2nd quarter. Morgan Stanley now owns 1,737,476 shares of the real estate investment trust’s stock worth $34,141,000 after purchasing an additional 335,086 shares during the period. Dimensional Fund Advisors LP boosted its stake in PennyMac Financial Services by 6.5% during the 2nd quarter. Dimensional Fund Advisors LP now owns 785,485 shares of the real estate investment trust’s stock worth $15,435,000 after purchasing an additional 47,991 shares during the period. Long Pond Capital LP acquired a new stake in PennyMac Financial Services during the 2nd quarter worth $12,281,000. JPMorgan Chase & Co. boosted its stake in PennyMac Financial Services by 44.2% during the 1st quarter. JPMorgan Chase & Co. now owns 522,561 shares of the real estate investment trust’s stock worth $11,836,000 after purchasing an additional 160,208 shares during the period. Finally, Northern Trust Corp boosted its stake in PennyMac Financial Services by 26.8% during the 2nd quarter. Northern Trust Corp now owns 232,781 shares of the real estate investment trust’s stock worth $4,574,000 after purchasing an additional 49,169 shares during the period. Hedge funds and other institutional investors own 90.30% of the company’s stock.

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. It operates through three segments: Loan Production, Loan Servicing, and Investment Management. The Loan Production segment is involved in the origination, acquisition, and sale of mortgage loans.

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