Insider Selling: PennyMac Financial Services (NYSE:PFSI) CFO Sells 2,925 Shares of Stock

Key Points

• PennyMac Financial Services CFO Daniel Stanley Perotti sold 2,925 shares of the company's stock at an average price of $116.63, resulting in a total transaction value of $341,142.75.
• The company reported a quarterly earnings miss with earnings per share of $1.02, falling short of analyst estimates by $1.99, while revenue was down from expectations at $444.73 million.
• The stock is currently rated as a Moderate Buy by analysts, with a consensus price target of $119.33, following recent upgrades from brokers including Keefe, Bruyette & Woods.

PennyMac Financial Services, Inc. (NYSE:PFSI - Get Free Report) CFO Daniel Stanley Perotti sold 2,925 shares of the business's stock in a transaction on Friday, September 5th. The shares were sold at an average price of $116.63, for a total value of $341,142.75. Following the completion of the transaction, the chief financial officer owned 225,250 shares of the company's stock, valued at $26,270,907.50. This trade represents a 1.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink.

Daniel Stanley Perotti also recently made the following trade(s):

• On Tuesday, September 2nd, Daniel Stanley Perotti sold 5,850 shares of PennyMac Financial Services stock. The shares were sold at an average price of $108.20, for a total value of $632,970.00.

PennyMac Financial Services Trading Up 0.3%

PFSI traded up $0.39 during trading on Friday, hitting $124.80. The company's stock had a trading volume of 349,726 shares, compared to its average volume of 411,812. PennyMac Financial Services, Inc. has a twelve month low of $85.74 and a twelve month high of $127.56. The firm's 50 day moving average price is $104.78 and its 200-day moving average price is $100.25. The stock has a market cap of $6.45 billion, a PE ratio of 17.31 and a beta of 1.51. 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 announced its quarterly earnings data on Tuesday, July 22nd. The real estate investment trust reported $1.02 earnings per share (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 company 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 earned $1.85 earnings per share. The firm's quarterly revenue was up 9.5% on a year-over-year basis. On average, analysts expect that PennyMac Financial Services, Inc. will post 13.77 earnings per share for the current year.

PennyMac Financial Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Stockholders of record on Wednesday, August 13th were paid a dividend of $0.30 per share. The ex-dividend date of this dividend was Wednesday, August 13th. This represents a $1.20 annualized dividend and a dividend yield of 1.0%. PennyMac Financial Services's payout ratio is currently 16.64%.

Wall Street Analyst Weigh In

PFSI has been the subject of several research reports. Keefe, Bruyette & Woods boosted their price objective on shares of PennyMac Financial Services from $117.00 to $121.00 and gave the company an "outperform" rating in a research note on Wednesday, September 3rd. UBS Group lowered their price objective on shares of PennyMac Financial Services from $115.00 to $110.00 and set a "neutral" rating for the company in a research note on Thursday, July 24th. Wells Fargo & Company initiated coverage on shares of PennyMac Financial Services in a research note on Monday, August 25th. They set an "overweight" rating and a $115.00 price objective for the company. Piper Sandler lowered their price objective 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. Finally, Barclays decreased their price target 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. Five investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, PennyMac Financial Services has a consensus rating of "Moderate Buy" and a consensus price target of $119.33.

Institutional Trading of PennyMac Financial Services

A number of institutional investors have recently added to or reduced their stakes in the business. AlphaQuest LLC boosted its position in PennyMac Financial Services by 4.4% during the 1st quarter. AlphaQuest LLC now owns 2,587 shares of the real estate investment trust's stock worth $259,000 after purchasing an additional 110 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in PennyMac Financial Services by 0.7% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 16,034 shares of the real estate investment trust's stock valued at $1,598,000 after buying an additional 111 shares during the last quarter. CWM LLC boosted its position in PennyMac Financial Services by 71.5% in the 1st quarter. CWM LLC now owns 271 shares of the real estate investment trust's stock valued at $27,000 after buying an additional 113 shares during the last quarter. Hohimer Wealth Management LLC boosted its position in PennyMac Financial Services by 5.4% in the 1st quarter. Hohimer Wealth Management LLC now owns 2,351 shares of the real estate investment trust's stock valued at $235,000 after buying an additional 121 shares during the last quarter. Finally, Legal & General Group Plc boosted its position in PennyMac Financial Services by 0.5% in the 2nd quarter. Legal & General Group Plc now owns 35,478 shares of the real estate investment trust's stock valued at $3,535,000 after buying an additional 173 shares during the last quarter. 57.87% of the stock is owned by hedge funds and other institutional investors.

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.