PennyMac Mortgage Investment Trust (NYSE:PMT) Stock Rating Cut to Strong Sell at Wall Street Zen

Key Points

• Wall Street Zen downgraded PennyMac Mortgage Investment Trust to “strong sell” from “sell,” while analyst views overall remain mixed: MarketBeat reports an average “hold” rating and a $10.75 average price target.
• Shares opened at $7.85, below both their 50-day moving average of $8.14 and 200-day moving average of $10.31; the stock’s 12-month range is $6.70 to $13.81.
• For its latest reported quarter, PMT posted earnings of $0.35 per share, topping the $0.30 consensus estimate, but revenue of $36.24 million came in below analysts’ $95.01 million estimate.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "sell" rating to a "strong sell" rating in a research note issued on Saturday, Wall Street Zen reports.

A number of other analysts have also issued reports on the stock. Wells Fargo & Company dropped their price objective on shares of PennyMac Mortgage Investment Trust from $10.00 to $9.00 and set an "equal weight" rating on the stock in a research note on Wednesday. Citigroup reiterated a "market outperform" rating on shares of PennyMac Mortgage Investment Trust in a report on Thursday, October 15th. UBS Group lowered their price objective on PennyMac Mortgage Investment Trust from $11.25 to $10.00 and set a "neutral" rating on the stock in a research note on Friday, August 21st. Weiss Ratings cut PennyMac Mortgage Investment Trust from a "sell (d+)" rating to a "sell (d)" rating in a research note on Thursday, October 8th. Finally, Zacks Research upgraded shares of PennyMac Mortgage Investment Trust from a "strong sell" rating to a "hold" rating in a research report on Friday, October 16th. Three equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, PennyMac Mortgage Investment Trust currently has an average rating of "Hold" and an average target price of $10.75.

PennyMac Mortgage Investment Trust Price Performance

Shares of PMT stock opened at $7.85 on Friday. PennyMac Mortgage Investment Trust has a twelve month low of $6.70 and a twelve month high of $13.81. The stock has a fifty day simple moving average of $8.14 and a two-hundred day simple moving average of $10.31. The company has a current ratio of 0.73, a quick ratio of 1.46 and a debt-to-equity ratio of 0.55. The stock has a market capitalization of $684.35 million, a price-to-earnings ratio of 6.58, a P/E/G ratio of 0.69 and a beta of 1.21.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) last announced its quarterly earnings data on Thursday, October 29th. The real estate investment trust reported $0.35 earnings per share for the quarter, beating analysts' consensus estimates of $0.30 by $0.05. The company had revenue of $36.24 million for the quarter, compared to analyst estimates of $95.01 million. PennyMac Mortgage Investment Trust had a return on equity of 11.40% and a net margin of 29.15%. On average, analysts predict that PennyMac Mortgage Investment Trust will post 0.67 EPS for the current fiscal year.

Hedge Funds Weigh In On PennyMac Mortgage Investment Trust

Large investors have recently modified their holdings of the business. Maryland State Retirement & Pension System lifted its position in shares of PennyMac Mortgage Investment Trust by 55.1% during the third quarter. Maryland State Retirement & Pension System now owns 19,665 shares of the real estate investment trust's stock worth $155,000 after purchasing an additional 6,987 shares in the last quarter. AlphaCore Capital LLC boosted its stake in PennyMac Mortgage Investment Trust by 15.4% during the 3rd quarter. AlphaCore Capital LLC now owns 17,541 shares of the real estate investment trust's stock valued at $138,000 after purchasing an additional 2,344 shares during the period. GraniteShares Advisors LLC lifted its position in shares of PennyMac Mortgage Investment Trust by 40.4% during the 3rd quarter. GraniteShares Advisors LLC now owns 311,609 shares of the real estate investment trust's stock worth $2,455,000 after buying an additional 89,605 shares during the period. Samalin Investment Counsel LLC lifted its holdings in PennyMac Mortgage Investment Trust by 51.0% during the 3rd quarter. Samalin Investment Counsel LLC now owns 25,224 shares of the real estate investment trust's stock worth $199,000 after buying an additional 8,521 shares in the last quarter. Finally, Signaturefd LLC lifted its stake in PennyMac Mortgage Investment Trust by 186.5% in the third quarter. Signaturefd LLC now owns 7,079 shares of the real estate investment trust's stock valued at $56,000 after buying an additional 4,608 shares in the last quarter. 67.38% of the stock is owned by hedge funds and other institutional investors.

About PennyMac Mortgage Investment Trust

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

PMT's business activities include acquiring and managing mortgage loans, mortgage-backed securities and related investments. Through its correspondent production strategy, the trust invests in newly originated residential mortgage loans purchased from correspondent lenders.

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