PennyMac Financial Services (NYSE:PFSI) Downgraded by Wall Street Zen to Sell

Wall Street Zen cut shares of PennyMac Financial Services (NYSE:PFSI) from a hold rating to a sell rating in a report issued on Saturday.

A number of other analysts have also commented on PFSI. Stephens reduced their price objective on shares of PennyMac Financial Services from $91.00 to $78.00 and set an “equal weight” rating for the company in a research note on Thursday. Zacks Research lowered shares of PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research note on Friday, May 8th. Piper Sandler cut shares of PennyMac Financial Services from an “overweight” rating to a “neutral” rating and lowered their price objective for the stock from $106.00 to $86.00 in a research report on Thursday. Wells Fargo & Company reduced their target price on PennyMac Financial Services from $100.00 to $95.00 and set an “overweight” rating for the company in a report on Thursday. Finally, Keefe, Bruyette & Woods reduced their target price on PennyMac Financial Services from $108.00 to $100.00 and set an “outperform” rating for the company in a report on Friday. Four investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $104.88.

PennyMac Financial Services Price Performance

Shares of NYSE:PFSI opened at $75.50 on Friday. The company has a market capitalization of $3.92 billion, a PE ratio of 10.37, a price-to-earnings-growth ratio of 0.54 and a beta of 1.44. The company has a debt-to-equity ratio of 3.63, a quick ratio of 0.33 and a current ratio of 0.33. The stock has a fifty day moving average of $83.07 and a 200-day moving average of $93.49. PennyMac Financial Services has a one year low of $71.68 and a one year high of $160.36.

PennyMac Financial Services (NYSE:PFSI) last announced its earnings results on Wednesday, July 29th. The real estate investment trust reported $1.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.11 by ($0.72). PennyMac Financial Services had a return on equity of 11.21% and a net margin of 17.74%.The company had revenue of $566.00 million for the quarter, compared to analyst estimates of $571.60 million. During the same period last year, the firm earned $2.54 earnings per share. The firm’s revenue for the quarter was up 11.8% on a year-over-year basis. As a group, equities analysts anticipate that PennyMac Financial Services will post 7.42 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, August 27th. Shareholders of record on Monday, August 17th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.6%. The ex-dividend date is Monday, August 17th. PennyMac Financial Services’s dividend payout ratio is currently 16.48%.

Insiders Place Their Bets

In other news, CFO Daniel Stanley Perotti sold 2,925 shares of the company’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $87.50, for a total value of $255,937.50. Following the transaction, the chief financial officer directly owned 210,625 shares of the company’s stock, valued at approximately $18,429,687.50. This represents a 1.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Gregory L. Hendry sold 2,177 shares of the company’s stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $86.89, for a total transaction of $189,159.53. Following the completion of the transaction, the chief accounting officer directly owned 48,968 shares in the company, valued at $4,254,829.52. This trade represents a 4.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 18,045 shares of company stock worth $1,565,470 in the last quarter. 15.80% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the company. EverSource Wealth Advisors LLC purchased a new stake in shares of PennyMac Financial Services during the 2nd quarter worth about $26,000. Caitong International Asset Management Co. Ltd grew its stake in shares of PennyMac Financial Services by 7,600.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 231 shares of the real estate investment trust’s stock valued at $30,000 after buying an additional 228 shares in the last quarter. Strs Ohio acquired a new position in PennyMac Financial Services in the first quarter worth approximately $30,000. Los Angeles Capital Management LLC bought a new position in PennyMac Financial Services during the fourth quarter valued at approximately $31,000. Finally, Clearstead Advisors LLC raised its position in PennyMac Financial Services by 131.8% during the fourth quarter. Clearstead Advisors LLC now owns 503 shares of the real estate investment trust’s stock valued at $66,000 after acquiring an additional 286 shares in the last quarter. 57.87% of the stock is owned by institutional investors and hedge funds.

More PennyMac Financial Services News

Here are the key news stories impacting PennyMac Financial Services this week:

• Positive Sentiment: Keefe, Bruyette & Woods maintained an “outperform” rating while lowering its price target from $108 to $100. The revised target still implies approximately 32.5% upside from the referenced share price. Benzinga analyst price target report
• Positive Sentiment: PennyMac declared a quarterly dividend of $0.30 per share, payable August 27 to shareholders of record August 17. The dividend provides continuing shareholder income and represents an indicated yield of about 1.4%. PennyMac dividend report
• Neutral Sentiment: Wells Fargo retained an “overweight” rating but reduced its price target from $100 to $95, still indicating approximately 25.8% potential upside. The target reduction reflects more cautious expectations despite the favorable rating. Benzinga Wells Fargo price target report
• Negative Sentiment: Second-quarter results missed estimates: adjusted earnings were $1.39 per share versus consensus of approximately $2.08–$2.11, while revenue of $566 million fell short of the $571.6 million estimate. Earnings also declined from $2.54 per share a year earlier, despite revenue growth of 11.8%, increasing pressure on the stock. PennyMac second-quarter 2026 results
• Negative Sentiment: Rosen Law Firm said it is investigating potential securities claims alleging that PennyMac may have issued materially misleading information to investors. The announcement could add legal and reputational uncertainty, although it does not establish wrongdoing. Rosen Law Firm PFSI investor investigation

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.