Brandywine Global Investment Management LLC Sells 4,510 Shares of PennyMac Financial Services, Inc. $PFSI

Key Points

• Brandywine Global Investment Management LLC decreased its position in PennyMac Financial Services by 3.7%, selling 4,510 shares, and now holds about 116,430 shares valued at approximately $11.66 million.
• PennyMac Financial Services reported a loss in earnings per share of $1.02 for the last quarter, missing estimates significantly, alongside revenues of $444.73 million, which were below analyst expectations.
• The company announced a quarterly dividend of $0.30 per share, reflecting a 1.1% dividend yield, with an ex-dividend date set for August 13th.

Brandywine Global Investment Management LLC cut its holdings in shares of PennyMac Financial Services, Inc. (NYSE:PFSI - Free Report) by 3.7% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 116,430 shares of the real estate investment trust's stock after selling 4,510 shares during the quarter. Brandywine Global Investment Management LLC owned 0.23% of PennyMac Financial Services worth $11,656,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently made changes to their positions in PFSI. Russell Investments Group Ltd. grew its stake in PennyMac Financial Services by 19.8% during the first quarter. Russell Investments Group Ltd. now owns 17,145 shares of the real estate investment trust's stock worth $1,716,000 after buying an additional 2,832 shares in the last quarter. Nuveen LLC acquired a new position in PennyMac Financial Services in the first quarter valued at $10,550,000. Invesco Ltd. lifted its stake 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 valued at $123,848,000 after buying an additional 53,660 shares during the period. Cynosure Group LLC boosted its position in shares of PennyMac Financial Services by 16.8% during the 1st quarter. Cynosure Group LLC now owns 6,682 shares of the real estate investment trust's stock worth $669,000 after purchasing an additional 963 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. grew its position in PennyMac Financial Services by 0.8% in the 1st 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 purchasing an additional 3,424 shares during the period. 57.87% of the stock is currently owned by institutional investors and hedge funds.

PennyMac Financial Services Price Performance

PFSI stock traded up $6.4090 during mid-day trading on Friday, reaching $109.7990. 228,466 shares of the company traded hands, compared to its average volume of 377,965. The company has a fifty day moving average price of $99.53 and a 200-day moving average price of $98.93. PennyMac Financial Services, Inc. has a 52-week low of $85.74 and a 52-week high of $119.13. The company has a market capitalization of $5.68 billion, a P/E ratio of 15.21 and a beta of 1.50. The company has a debt-to-equity ratio of 3.03, a current ratio of 0.34 and a quick ratio of 0.34.

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

PennyMac Financial Services Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 22nd. Stockholders of record on Wednesday, August 13th will be issued a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend is Wednesday, August 13th. PennyMac Financial Services's payout ratio is currently 16.64%.

Insider Activity at PennyMac Financial Services

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

Analyst Upgrades and Downgrades

A number of analysts recently commented on the company. Wall Street Zen lowered PennyMac Financial Services from a "hold" rating to a "sell" rating in a report on Saturday, August 2nd. UBS Group reduced their price target on shares of PennyMac Financial Services from $115.00 to $110.00 and set a "neutral" rating for the company in a research report on Thursday, July 24th. 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. Wells Fargo & Company decreased their price target on shares of PennyMac Financial Services from $120.00 to $115.00 and set an "overweight" rating for the company in a research note on Wednesday, July 23rd. Finally, Keefe, Bruyette & Woods dropped their price objective on PennyMac Financial Services from $121.00 to $117.00 and set an "outperform" rating on the stock in a research note on Thursday, July 24th. Five research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat, PennyMac Financial Services has an average rating of "Moderate Buy" and a consensus target price of $118.67.

About PennyMac Financial Services

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.