Gregory Hendry Sells 2,444 Shares of PennyMac Mortgage Investment Trust (NYSE:PMT) Stock

Key Points

• Insider transaction: Chief Accounting Officer Gregory Hendry sold 2,444 PennyMac Mortgage Investment Trust shares for approximately $22,656 under a pre-arranged Rule 10b5-1 plan, reducing his holdings by 25% to 7,330 shares.
• Stock and earnings: PMT shares traded at $9.51, near their 12-month low of $9.05. The REIT reported quarterly EPS of $0.23, below the $0.30 consensus estimate, while revenue was substantially below expectations.
• Dividend and outlook: PennyMac declared a $0.40 quarterly dividend, implying a 16.8% yield and a payout ratio above 100%. Analysts have a consensus “Hold” rating with an average price target of $11.50, although several firms recently downgraded or cut their targets.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) CAO Gregory Hendry sold 2,444 shares of PennyMac Mortgage Investment Trust stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $9.27, for a total value of $22,655.88. Following the completion of the sale, the chief accounting officer directly owned 7,330 shares of the company's stock, valued at $67,949.10. The trade was a 25.01% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

PennyMac Mortgage Investment Trust Stock Performance

PennyMac Mortgage Investment Trust stock traded up $0.27 during mid-day trading on Wednesday, reaching $9.51. 889,078 shares of the stock traded hands, compared to its average volume of 1,272,299. PennyMac Mortgage Investment Trust has a 12-month low of $9.05 and a 12-month high of $13.81. The business's 50-day moving average is $9.86 and its 200-day moving average is $10.82. The company has a debt-to-equity ratio of 9.18, a current ratio of 1.46 and a quick ratio of 1.46. The stock has a market capitalization of $828.86 million, a PE ratio of 6.69, a price-to-earnings-growth ratio of 0.69 and a beta of 1.14.

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 firm had revenue of ($46.00) million during the quarter, compared to analysts' expectations of $93.93 million. As a group, sell-side analysts predict that PennyMac Mortgage Investment Trust will post 1.03 EPS for the current fiscal year.

PennyMac Mortgage Investment Trust Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 23rd. Stockholders of record on Thursday, October 8th will be paid a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a dividend yield of 16.8%. The ex-dividend date is Thursday, October 8th. PennyMac Mortgage Investment Trust's dividend payout ratio (DPR) is currently 112.68%.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on PMT. Zacks Research cut PennyMac Mortgage Investment Trust from a "hold" rating to a "strong sell" rating in a report on Wednesday, May 27th. UBS Group cut their price target 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. Wall Street Zen cut PennyMac Mortgage Investment Trust from a "hold" rating to a "sell" rating in a research report on Saturday, May 9th. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of PennyMac Mortgage Investment Trust in a research note on Tuesday, August 18th. Finally, Wells Fargo & Company lowered their price objective on PennyMac Mortgage Investment Trust from $12.00 to $10.00 and set an "equal weight" rating on the stock in a research report on Friday, July 31st. Three equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, PennyMac Mortgage Investment Trust currently has a consensus rating of "Hold" and an average price target of $11.50.

Institutional Investors Weigh In On PennyMac Mortgage Investment Trust

A number of institutional investors have recently bought and sold shares of PMT. Bessemer Group Inc. raised its holdings in PennyMac Mortgage Investment Trust by 142.1% during the first quarter. Bessemer Group Inc. now owns 2,189 shares of the real estate investment trust's stock valued at $25,000 after acquiring an additional 1,285 shares during the period. Allworth Financial LP bought a new position in shares of PennyMac Mortgage Investment Trust in the second quarter worth about $33,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new stake in shares of PennyMac Mortgage Investment Trust during the fourth quarter worth about $33,000. Clearstead Advisors LLC grew its position in shares of PennyMac Mortgage Investment Trust by 184.3% during the fourth quarter. Clearstead Advisors LLC now owns 2,800 shares of the real estate investment trust's stock worth $35,000 after purchasing an additional 1,815 shares in the last quarter. Finally, Nykredit A S bought a new stake in PennyMac Mortgage Investment Trust during the 2nd quarter valued at approximately $37,000. 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 publicly traded real estate investment trust (REIT) that primarily acquires and manages residential mortgage loans and mortgage-related assets. The company focuses on generating attractive risk-adjusted returns through investment in agency and non-agency residential mortgage pools, credit risk transfer securities, and residential mortgage whole loans. As a mortgage REIT, PennyMac Investment Trust seeks to capture both interest rate spread and potential price appreciation in its portfolio holdings.

Established with external management by PennyMac Financial Services, Inc, the trust leverages the sponsor's mortgage servicing, underwriting and capital markets expertise.

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