PennyMac Mortgage Investment Trust (NYSE:PMT) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Analyst sentiment is neutral: Nine analysts collectively rate PennyMac Mortgage Investment Trust “Hold,” with two sell, four hold, and three buy recommendations. The average 12-month price target is $11.50, although several firms recently lowered their targets.
• Recent earnings missed expectations: PMT reported quarterly EPS of $0.23 versus the $0.30 consensus estimate, while revenue came in at negative $46 million compared with expectations of $93.93 million.
• The dividend remains high but potentially pressured: The company declared a quarterly dividend of $0.40 per share, representing a 17.7% annualized yield, while its payout ratio stands at 112.68%.

Shares of PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) have earned an average recommendation of "Hold" from the nine analysts that are covering the company, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, four have given a hold recommendation and three have issued a buy recommendation on the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $11.50.

A number of equities analysts have recently issued reports on the company. UBS Group cut their price objective on PennyMac Mortgage Investment Trust from $11.25 to $10.00 and set a "neutral" rating for the company in a report on Friday, August 21st. Deutsche Bank Aktiengesellschaft raised PennyMac Mortgage Investment Trust from a "hold" rating to a "buy" rating and set a $12.00 price objective on the stock in a report on Saturday, August 15th. Zacks Research cut shares of PennyMac Mortgage Investment Trust from a "hold" rating to a "strong sell" rating in a research report on Wednesday, May 27th. Piper Sandler decreased their price target on shares of PennyMac Mortgage Investment Trust from $11.50 to $10.00 and set a "neutral" rating on the stock in a research note on Thursday, July 30th. Finally, Weiss Ratings reissued a "sell (d+)" rating on shares of PennyMac Mortgage Investment Trust in a research note on Tuesday, August 18th.

PennyMac Mortgage Investment Trust Stock Performance

PennyMac Mortgage Investment Trust stock opened at $9.04 on Wednesday. PennyMac Mortgage Investment Trust has a fifty-two week low of $8.80 and a fifty-two week high of $13.81. The company has a debt-to-equity ratio of 9.18, a quick ratio of 1.46 and a current ratio of 1.46. The stock has a market cap of $788.46 million, a P/E ratio of 6.37, a price-to-earnings-growth ratio of 0.66 and a beta of 1.14. The firm's fifty day moving average price is $9.45 and its 200-day moving average price is $10.49.

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

PennyMac Mortgage Investment Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Investors of record on Thursday, October 8th will be issued a dividend of $0.40 per share. The ex-dividend date of this dividend is Thursday, October 8th. This represents a $1.60 annualized dividend and a dividend yield of 17.7%. PennyMac Mortgage Investment Trust's dividend payout ratio (DPR) is currently 112.68%.

Institutional Trading of PennyMac Mortgage Investment Trust

Several hedge funds have recently added to or reduced their stakes in the business. Bessemer Group Inc. raised its holdings in PennyMac Mortgage Investment Trust by 142.1% during the 1st quarter. Bessemer Group Inc. now owns 2,189 shares of the real estate investment trust's stock valued at $25,000 after buying an additional 1,285 shares during the last quarter. Clearstead Advisors LLC grew its holdings in PennyMac Mortgage Investment Trust by 184.3% in the 4th quarter. Clearstead Advisors LLC now owns 2,800 shares of the real estate investment trust's stock worth $35,000 after acquiring an additional 1,815 shares during the last quarter. Allworth Financial LP bought a new stake in PennyMac Mortgage Investment Trust in the 2nd quarter worth $33,000. Nykredit A S purchased a new position in shares of PennyMac Mortgage Investment Trust in the second quarter valued at about $37,000. Finally, Public Employees Retirement System of Ohio purchased a new position in shares of PennyMac Mortgage Investment Trust in the second quarter valued at about $38,000. 67.38% of the stock is owned by institutional investors.

About PennyMac Mortgage Investment Trust

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