Citizens Jmp Has Lowered Expectations for PennyMac Mortgage Investment Trust (NYSE:PMT) Stock Price

Key Points

• Citizens Jmp lowered PennyMac Mortgage Investment Trust’s price target from $15.00 to $12.50 while maintaining a “market outperform” rating, implying substantial upside from the stock’s $6.87 price.
• Analyst sentiment is mixed: the consensus rating is “Hold,” with a $10.92 average price target, based on three Buy, four Hold, and two Sell ratings.
• PennyMac’s latest quarterly results fell short of expectations, reporting $0.23 in earnings per share versus a $0.30 estimate and negative revenue of $46 million compared with the $93.93 million consensus forecast.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) had its price target cut by investment analysts at Citizens Jmp from $15.00 to $12.50 in a research report issued on Thursday, Benzinga reports. The brokerage presently has a "market outperform" rating on the real estate investment trust's stock. Citizens Jmp's price target indicates a potential upside of 82.08% from the stock's current price.

A number of other equities research analysts have also weighed in on PMT. Citigroup restated a "market outperform" rating on shares of PennyMac Mortgage Investment Trust in a report on Thursday. Deutsche Bank Aktiengesellschaft raised shares of PennyMac Mortgage Investment Trust from a "hold" rating to a "buy" rating and set a $12.00 price objective for the company in a research report on Saturday, August 15th. Wells Fargo & Company lowered their target price on shares of PennyMac Mortgage Investment Trust from $12.00 to $10.00 and set an "equal weight" rating for the company in a research note on Friday, July 31st. Weiss Ratings lowered PennyMac Mortgage Investment Trust from a "sell (d+)" rating to a "sell (d)" rating in a report on Thursday, October 8th. Finally, Piper Sandler dropped their target price on PennyMac Mortgage Investment Trust from $10.00 to $9.00 and set a "neutral" rating on the stock in a report on Friday, October 9th. Three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $10.92.

PennyMac Mortgage Investment Trust Stock Performance

Shares of PennyMac Mortgage Investment Trust stock opened at $6.87 on Thursday. The business has a 50-day simple moving average of $8.84 and a 200-day simple moving average of $10.06. The company has a debt-to-equity ratio of 9.18, a quick ratio of 1.46 and a current ratio of 1.46. PennyMac Mortgage Investment Trust has a one year low of $6.80 and a one year high of $13.81. The company has a market cap of $598.64 million, a PE ratio of 4.83, a P/E/G ratio of 0.52 and a beta of 1.20.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) last issued its earnings results on Wednesday, July 29th. The real estate investment trust reported $0.23 earnings per share for the quarter, missing the consensus estimate of $0.30 by ($0.07). PennyMac Mortgage Investment Trust had a net margin of 47.79% and a return on equity of 12.50%. The firm had revenue of ($46.00) million during the quarter, compared to analyst estimates of $93.93 million. On average, equities research analysts forecast that PennyMac Mortgage Investment Trust will post 1.03 EPS for the current fiscal year.

Hedge Funds Weigh In On PennyMac Mortgage Investment Trust

A number of large investors have recently bought and sold shares of the company. BlackRock Inc. purchased a new stake in shares of PennyMac Mortgage Investment Trust in the second quarter valued at approximately $164,344,000. Royal Bank of Canada raised its stake in PennyMac Mortgage Investment Trust by 1,469.4% in the 1st quarter. Royal Bank of Canada now owns 642,149 shares of the real estate investment trust's stock valued at $7,488,000 after purchasing an additional 601,233 shares during the last quarter. Bank of New York Mellon Corp acquired a new stake in PennyMac Mortgage Investment Trust during the second quarter worth approximately $6,137,000. Principal Financial Group Inc. grew its position in shares of PennyMac Mortgage Investment Trust by 2.0% in the first quarter. Principal Financial Group Inc. now owns 422,973 shares of the real estate investment trust's stock valued at $4,932,000 after purchasing an additional 8,234 shares during the period. Finally, Bank of America Corp DE increased its stake in shares of PennyMac Mortgage Investment Trust by 154.1% during the 1st quarter. Bank of America Corp DE now owns 412,512 shares of the real estate investment trust's stock valued at $4,810,000 after acquiring an additional 250,160 shares during the last quarter. Hedge funds and other institutional investors own 67.38% of the company's stock.

About PennyMac Mortgage Investment Trust

PennyMac Mortgage Investment Trust NYSE: PMT is a mortgage real estate investment trust that invests primarily in residential mortgage-related assets. The company seeks to generate income through investments in mortgage loans, mortgage servicing rights, mortgage-backed securities and other credit-sensitive assets tied to the U.S. housing market.

PennyMac's activities include acquiring and managing newly originated and seasoned residential mortgage loans, investing in mortgage servicing rights and related financing arrangements, and participating in correspondent production activities.

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