Insider Selling: PennyMac Financial Services, Inc. (NYSE:PFSI) Director Sells 7,107 Shares of Stock

Key Points

• PennyMac Financial Services Director Joseph F. Mazzella sold 7,107 shares at an average price of $108.16 per share, totaling approximately $768,693, which reduced his ownership stake by 7.63%.
• The company reported a Q2 EPS of $1.02, significantly missing analysts' estimates of $3.01, with revenue of $444.73 million compared to expected $547.44 million.
• PennyMac Financial Services recently announced a quarterly dividend of $0.30 per share, offering a 1.1% yield and a payout ratio of 16.64%.

PennyMac Financial Services, Inc. (NYSE:PFSI - Get Free Report) Director Joseph F. Mazzella sold 7,107 shares of PennyMac Financial Services stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $108.16, for a total value of $768,693.12. Following the sale, the director directly owned 86,050 shares of the company's stock, valued at approximately $9,307,168. The trade was a 7.63% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website.

PennyMac Financial Services Stock Up 0.3%

Shares of NYSE PFSI traded up $0.34 during mid-day trading on Thursday, reaching $108.67. 581,412 shares of the company traded hands, compared to its average volume of 435,491. The company has a debt-to-equity ratio of 3.03, a quick ratio of 0.34 and a current ratio of 0.34. The stock has a market cap of $5.62 billion, a PE ratio of 15.07 and a beta of 1.50. The company's fifty day moving average is $98.66 and its two-hundred day moving average is $99.05. PennyMac Financial Services, Inc. has a fifty-two week low of $85.74 and a fifty-two week high of $119.13.

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 analysts' consensus estimates of $3.01 by ($1.99). The company had revenue of $444.73 million for the quarter, compared to analyst estimates of $547.44 million. PennyMac Financial Services had a net margin of 22.00% and a return on equity of 12.18%. The business's revenue was up 9.5% on a year-over-year basis. During the same period in the prior year, the company posted $1.85 EPS. On average, analysts expect that PennyMac Financial Services, Inc. will post 13.77 earnings per share for the current year.

PennyMac Financial Services Announces Dividend

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

Analysts Set New Price Targets

Several brokerages have recently issued reports on PFSI. UBS Group reduced their price target on PennyMac Financial Services from $115.00 to $110.00 and set a "neutral" rating for the company in a report on Thursday, July 24th. Piper Sandler reduced their target price on shares of PennyMac Financial Services from $125.00 to $121.00 and set an "overweight" rating for the company in a research note on Wednesday, July 23rd. Barclays decreased their target price on shares of PennyMac Financial Services from $124.00 to $119.00 and set an "overweight" rating for the company in a research report on Tuesday, July 8th. Keefe, Bruyette & Woods reduced their price objective on shares of PennyMac Financial Services from $121.00 to $117.00 and set an "outperform" rating for the company in a research note on Thursday, July 24th. Finally, Wells Fargo & Company lowered their target price on shares of PennyMac Financial Services from $120.00 to $115.00 and set an "overweight" rating on the stock in a research report on Wednesday, July 23rd. One analyst has rated the stock with a sell rating, one has issued a hold rating and five have issued a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $118.67.

Institutional Trading of PennyMac Financial Services

Hedge funds have recently added to or reduced their stakes in the business. Basswood Capital Management L.L.C. increased its stake in PennyMac Financial Services by 5.9% during the second quarter. Basswood Capital Management L.L.C. now owns 570,210 shares of the real estate investment trust's stock valued at $56,816,000 after acquiring an additional 31,743 shares during the period. Raymond James Financial Inc. acquired a new stake in shares of PennyMac Financial Services during the 2nd quarter worth approximately $82,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of PennyMac Financial Services by 0.7% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 16,034 shares of the real estate investment trust's stock worth $1,598,000 after purchasing an additional 111 shares in the last quarter. Sei Investments Co. increased its position in shares of PennyMac Financial Services by 19.8% during the second quarter. Sei Investments Co. now owns 21,999 shares of the real estate investment trust's stock valued at $2,192,000 after purchasing an additional 3,629 shares during the period. Finally, Qube Research & Technologies Ltd acquired a new position in shares of PennyMac Financial Services in the second quarter valued at $3,737,000. Institutional investors own 57.87% of the company's stock.

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.

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