Insider Selling: PennyMac Financial Services (NYSE:PFSI) CFO Sells 2,925 Shares of Stock

PennyMac Financial Services, Inc. (NYSE:PFSI) CFO Daniel Stanley Perotti sold 2,925 shares of the business’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $87.50, for a total value of $255,937.50. Following the completion of the sale, the chief financial officer owned 210,625 shares in the company, valued at approximately $18,429,687.50. This trade represents a 1.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Daniel Stanley Perotti also recently made the following trade(s):

• On Tuesday, February 17th, Daniel Stanley Perotti sold 2,925 shares of PennyMac Financial Services stock. The shares were sold at an average price of $93.30, for a total value of $272,902.50.

PennyMac Financial Services Stock Up 0.9%

Shares of PennyMac Financial Services stock traded up $0.74 during trading on Monday, reaching $86.43. The stock had a trading volume of 376,503 shares, compared to its average volume of 757,550. The company has a market capitalization of $4.49 billion, a price-to-earnings ratio of 9.18, a P/E/G ratio of 0.56 and a beta of 1.49. The stock has a fifty day moving average price of $88.74 and a two-hundred day moving average price of $111.59. PennyMac Financial Services, Inc. has a 52 week low of $82.65 and a 52 week high of $160.36. The company has a current ratio of 0.33, a quick ratio of 0.33 and a debt-to-equity ratio of 3.63.

PennyMac Financial Services (NYSE:PFSI) last issued its quarterly earnings results on Tuesday, May 5th. The real estate investment trust reported $2.19 EPS for the quarter, missing analysts’ consensus estimates of $2.22 by ($0.03). The firm had revenue of $544.98 million during the quarter, compared to the consensus estimate of $546.17 million. PennyMac Financial Services had a net margin of 23.47% and a return on equity of 10.93%. The business’s revenue for the quarter was up 26.5% on a year-over-year basis. During the same quarter last year, the firm earned $1.42 earnings per share. Sell-side analysts predict that PennyMac Financial Services, Inc. will post 10.68 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, May 28th. Stockholders of record on Monday, May 18th will be issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date is Monday, May 18th. PennyMac Financial Services’s payout ratio is 12.75%.

Institutional Trading of PennyMac Financial Services

A number of hedge funds and other institutional investors have recently modified their holdings of PFSI. 140 Summer Partners LP acquired a new stake in shares of PennyMac Financial Services in the third quarter valued at about $55,268,000. Norges Bank acquired a new stake in PennyMac Financial Services in the 4th quarter valued at about $44,287,000. Two Sigma Investments LP lifted its stake in PennyMac Financial Services by 1,148.7% in the 3rd quarter. Two Sigma Investments LP now owns 310,919 shares of the real estate investment trust’s stock valued at $38,517,000 after purchasing an additional 286,019 shares during the last quarter. Holocene Advisors LP grew its holdings in PennyMac Financial Services by 2,379.5% during the third quarter. Holocene Advisors LP now owns 245,268 shares of the real estate investment trust’s stock worth $30,384,000 after purchasing an additional 235,376 shares during the period. Finally, Invesco Ltd. grew its holdings in PennyMac Financial Services by 18.3% during the third quarter. Invesco Ltd. now owns 1,463,096 shares of the real estate investment trust’s stock worth $181,248,000 after purchasing an additional 226,581 shares during the period. Institutional investors and hedge funds own 57.87% of the company’s stock.

Analyst Ratings Changes

A number of analysts have recently commented on PFSI shares. Keefe, Bruyette & Woods cut their price target on PennyMac Financial Services from $115.00 to $108.00 and set an “outperform” rating on the stock in a report on Friday, May 8th. Wall Street Zen upgraded PennyMac Financial Services from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Wells Fargo & Company lowered their target price on PennyMac Financial Services from $110.00 to $100.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 6th. BTIG Research reaffirmed a “buy” rating on shares of PennyMac Financial Services in a research report on Friday, January 30th. Finally, Piper Sandler lowered their target price on PennyMac Financial Services from $122.00 to $112.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 6th. Six investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, PennyMac Financial Services has a consensus rating of “Hold” and a consensus target price of $122.75.

About PennyMac Financial Services

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.