Insider Selling: PennyMac Financial Services (NYSE:PFSI) CEO Sells $879,900.00 in Stock

PennyMac Financial Services, Inc. (NYSE:PFSI) CEO David Spector sold 10,000 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $87.99, for a total value of $879,900.00. Following the completion of the sale, the chief executive officer owned 60,604 shares in the company, valued at approximately $5,332,545.96. This represents a 14.16% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

David Spector also recently made the following trade(s):

• On Tuesday, April 14th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The stock was sold at an average price of $92.83, for a total value of $928,300.00.
• On Friday, March 6th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The stock was sold at an average price of $86.39, for a total value of $863,900.00.
• On Friday, March 6th, David Spector sold 12,436 shares of PennyMac Financial Services stock. The stock was sold at an average price of $86.39, for a total value of $1,074,346.04.
• On Thursday, February 19th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The stock was sold at an average price of $94.50, for a total value of $945,000.00.
• On Thursday, February 19th, David Spector sold 2,950 shares of PennyMac Financial Services stock. The shares were sold at an average price of $94.52, for a total value of $278,834.00.

PennyMac Financial Services Price Performance

PFSI stock opened at $85.63 on Friday. PennyMac Financial Services, Inc. has a 1 year low of $82.65 and a 1 year high of $160.36. The company has a debt-to-equity ratio of 3.63, a quick ratio of 0.34 and a current ratio of 0.33. The stock’s 50 day moving average price is $88.74 and its 200 day moving average price is $111.74. The firm has a market cap of $4.45 billion, a P/E ratio of 9.10, a PEG ratio of 0.57 and a beta of 1.49.

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

PennyMac Financial Services Announces Dividend

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

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Clough Capital Partners L P lifted its stake in shares of PennyMac Financial Services by 5.0% during the 1st quarter. Clough Capital Partners L P now owns 42,930 shares of the real estate investment trust’s stock worth $3,752,000 after purchasing an additional 2,040 shares during the period. Helix Partners Management LP purchased a new position in shares of PennyMac Financial Services during the 1st quarter worth $6,905,000. Senvest Management LLC lifted its stake in shares of PennyMac Financial Services by 21.9% during the 1st quarter. Senvest Management LLC now owns 508,633 shares of the real estate investment trust’s stock worth $44,455,000 after purchasing an additional 91,300 shares during the period. Inceptionr LLC purchased a new position in shares of PennyMac Financial Services during the 1st quarter worth $239,000. Finally, First Trust Advisors LP lifted its stake in shares of PennyMac Financial Services by 12.4% during the 1st quarter. First Trust Advisors LP now owns 18,896 shares of the real estate investment trust’s stock worth $1,652,000 after purchasing an additional 2,088 shares during the period. Hedge funds and other institutional investors own 57.87% of the company’s stock.

Analysts Set New Price Targets

A number of research firms recently issued reports on PFSI. Zacks Research lowered PennyMac Financial Services from a “hold” rating to a “strong sell” rating in a research note on Friday, May 8th. Wells Fargo & Company reduced their target price on PennyMac Financial Services from $110.00 to $100.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 6th. Stephens began coverage on PennyMac Financial Services in a research note on Friday, April 24th. They issued an “equal weight” rating and a $100.00 target price on the stock. Wall Street Zen raised PennyMac Financial Services from a “sell” rating to a “hold” rating in a research note on Saturday, May 9th. Finally, Barclays reduced their price target on PennyMac Financial Services from $116.00 to $107.00 and set an “overweight” rating on the stock in a research note on Monday. Six equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $122.75.

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.