Keefe, Bruyette & Woods Upgrades PennyMac Financial Services (NYSE:PFSI) to "Outperform"

Keefe, Bruyette & Woods upgraded shares of PennyMac Financial Services (NYSE:PFSI - Free Report) from a market perform rating to an outperform rating in a research note issued to investors on Tuesday, MarketBeat Ratings reports. The brokerage currently has $114.00 price target on the real estate investment trust's stock.

Separately, Piper Sandler cut their price target on shares of PennyMac Financial Services from $132.00 to $130.00 and set an "overweight" rating on the stock in a report on Friday, January 31st. One analyst has rated the stock with a sell rating and six have issued a buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $122.67.

PennyMac Financial Services Price Performance

PFSI traded up $4.25 on Tuesday, hitting $93.53. 730,764 shares of the stock were exchanged, compared to its average volume of 298,337. The firm has a market capitalization of $4.81 billion, a price-to-earnings ratio of 16.02, a PEG ratio of 0.19 and a beta of 1.73. The company has a debt-to-equity ratio of 3.22, a current ratio of 0.26 and a quick ratio of 0.38. PennyMac Financial Services has a 12 month low of $83.03 and a 12 month high of $119.13. The business has a 50-day moving average of $100.09 and a two-hundred day moving average of $103.26.

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PennyMac Financial Services (NYSE:PFSI - Get Free Report) last issued its quarterly earnings results on Thursday, January 30th. The real estate investment trust reported $2.88 earnings per share for the quarter, missing analysts' consensus estimates of $3.09 by ($0.21). PennyMac Financial Services had a return on equity of 16.61% and a net margin of 19.54%. Sell-side analysts forecast that PennyMac Financial Services will post 13.77 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Sunday, February 23rd. Stockholders of record on Thursday, February 13th were paid a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 1.28%. The ex-dividend date was Thursday, February 13th. PennyMac Financial Services's dividend payout ratio (DPR) is presently 20.55%.

Insider Buying and Selling

In other news, CRO Abbie Tidmore sold 2,669 shares of the company's stock in a transaction on Monday, March 24th. The shares were sold at an average price of $102.55, for a total value of $273,705.95. Following the completion of the sale, the executive now owns 4,878 shares in the company, valued at $500,238.90. This represents a 35.37 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Daniel Stanley Perotti sold 10,500 shares of the firm's stock in a transaction dated Friday, February 14th. The shares were sold at an average price of $101.49, for a total transaction of $1,065,645.00. Following the transaction, the chief financial officer now directly owns 214,997 shares in the company, valued at $21,820,045.53. The trade was a 4.66 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 44,464 shares of company stock worth $4,540,867. 16.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On PennyMac Financial Services

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Summit Investment Advisors Inc. increased its holdings in PennyMac Financial Services by 5.8% during the fourth quarter. Summit Investment Advisors Inc. now owns 2,797 shares of the real estate investment trust's stock worth $286,000 after buying an additional 154 shares during the last quarter. KBC Group NV increased its stake in shares of PennyMac Financial Services by 15.6% during the 4th quarter. KBC Group NV now owns 1,549 shares of the real estate investment trust's stock worth $158,000 after purchasing an additional 209 shares during the last quarter. Sterling Capital Management LLC raised its holdings in shares of PennyMac Financial Services by 601.8% in the 4th quarter. Sterling Capital Management LLC now owns 400 shares of the real estate investment trust's stock worth $41,000 after purchasing an additional 343 shares during the period. Dakota Wealth Management lifted its stake in PennyMac Financial Services by 2.6% in the fourth quarter. Dakota Wealth Management now owns 14,578 shares of the real estate investment trust's stock valued at $1,489,000 after purchasing an additional 374 shares during the last quarter. Finally, TD Waterhouse Canada Inc. bought a new position in PennyMac Financial Services during the fourth quarter valued at $39,000. 57.87% of the stock is owned by hedge funds and other institutional investors.

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