Advantage Alpha Capital Partners LP Purchases 11,528 Shares of PennyMac Financial Services, Inc. $PFSI

Key Points

• Advantage Alpha Capital Partners LP increased its stake in PennyMac Financial Services by 26.3%, making it its 16th biggest holding valued at $5.54 million.
• Recent insider trades include sales by Director Joseph F. Mazzella and CEO David Spector, reducing their holdings by 7.63% and 3.69% respectively.
• PennyMac Financial Services reported a loss of earnings per share, posting $1.02 against a consensus estimate of $3.01, alongside a revenue of $444.73 million which fell short of expectations.

Advantage Alpha Capital Partners LP raised its holdings in shares of PennyMac Financial Services, Inc. (NYSE:PFSI - Free Report) by 26.3% in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 55,376 shares of the real estate investment trust's stock after purchasing an additional 11,528 shares during the period. PennyMac Financial Services accounts for 1.4% of Advantage Alpha Capital Partners LP's portfolio, making the stock its 16th largest position. Advantage Alpha Capital Partners LP owned approximately 0.11% of PennyMac Financial Services worth $5,544,000 as of its most recent SEC filing.

Other hedge funds have also recently made changes to their positions in the company. T. Rowe Price Investment Management Inc. increased its position in PennyMac Financial Services by 0.6% during the 1st quarter. T. Rowe Price Investment Management Inc. now owns 4,289,819 shares of the real estate investment trust's stock valued at $429,454,000 after buying an additional 24,055 shares in the last quarter. Invesco Ltd. boosted its holdings in PennyMac Financial Services by 4.5% in the first quarter. Invesco Ltd. now owns 1,237,118 shares of the real estate investment trust's stock worth $123,848,000 after acquiring an additional 53,660 shares in the last quarter. Millennium Management LLC grew its stake in shares of PennyMac Financial Services by 104.5% in the fourth quarter. Millennium Management LLC now owns 518,574 shares of the real estate investment trust's stock worth $52,967,000 after acquiring an additional 264,956 shares during the last quarter. Charles Schwab Investment Management Inc. increased its holdings in shares of PennyMac Financial Services by 0.8% during the first quarter. Charles Schwab Investment Management Inc. now owns 457,234 shares of the real estate investment trust's stock valued at $45,774,000 after acquiring an additional 3,424 shares in the last quarter. Finally, Bank of New York Mellon Corp increased its holdings in shares of PennyMac Financial Services by 45.9% during the first quarter. Bank of New York Mellon Corp now owns 290,235 shares of the real estate investment trust's stock valued at $29,055,000 after acquiring an additional 91,338 shares in the last quarter. 57.87% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on PFSI. Piper Sandler dropped their price target on shares of PennyMac Financial Services from $125.00 to $121.00 and set an "overweight" rating on the stock in a research note on Wednesday, July 23rd. Barclays dropped their target price on shares of PennyMac Financial Services from $124.00 to $119.00 and set an "overweight" rating on the stock in a research note on Tuesday, July 8th. UBS Group cut their price target on shares of PennyMac Financial Services from $115.00 to $110.00 and set a "neutral" rating on the stock in a report on Thursday, July 24th. Wall Street Zen upgraded shares of PennyMac Financial Services from a "sell" rating to a "hold" rating in a report on Friday. Finally, Wells Fargo & Company assumed coverage on PennyMac Financial Services in a research note on Monday. They set an "overweight" rating and a $115.00 target price on the stock. Five investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat, PennyMac Financial Services presently has a consensus rating of "Moderate Buy" and a consensus price target of $118.67.

Insider Buying and Selling at PennyMac Financial Services

In other news, Director Joseph F. Mazzella sold 7,107 shares of PennyMac Financial Services stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $108.16, for a total transaction of $768,693.12. Following the transaction, the director directly owned 86,050 shares of the company's stock, valued at $9,307,168. The trade was a 7.63% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO David Spector sold 5,000 shares of the business's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $105.73, for a total value of $528,650.00. Following the transaction, the chief executive officer owned 130,604 shares of the company's stock, valued at approximately $13,808,760.92. This trade represents a 3.69% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 22,107 shares of company stock worth $2,292,843 over the last quarter. 15.80% of the stock is owned by company insiders.

PennyMac Financial Services Stock Performance

Shares of PFSI traded down $0.0570 on Monday, reaching $109.6630. The company's stock had a trading volume of 238,280 shares, compared to its average volume of 379,244. The stock's 50 day simple moving average is $99.81 and its two-hundred day simple moving average is $98.88. The company has a debt-to-equity ratio of 3.03, a current ratio of 0.34 and a quick ratio of 0.34. The stock has a market capitalization of $5.67 billion, a P/E ratio of 15.21 and a beta of 1.50. PennyMac Financial Services, Inc. has a 12-month low of $85.74 and a 12-month high of $119.13.

PennyMac Financial Services (NYSE:PFSI - Get Free Report) last released its quarterly earnings results on Tuesday, July 22nd. The real estate investment trust reported $1.02 earnings per share for the quarter, missing the consensus estimate of $3.01 by ($1.99). The business had revenue of $444.73 million during the quarter, compared to the consensus estimate of $547.44 million. PennyMac Financial Services had a return on equity of 12.18% and a net margin of 22.00%.The firm's revenue was up 9.5% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.85 earnings per share. Research analysts forecast that PennyMac Financial Services, Inc. will post 13.77 earnings per share for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Investors of record on Wednesday, August 13th were given a dividend of $0.30 per share. The ex-dividend date was Wednesday, August 13th. This represents a $1.20 annualized dividend and a yield of 1.1%. PennyMac Financial Services's payout ratio is 16.64%.

PennyMac Financial Services 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.