PennyMac Financial Services (NYSE:PFSI) Price Target Raised to $145.00

Key Points

• UBS Group has raised its price target for PennyMac Financial Services from $135.00 to $145.00, suggesting a potential upside of 9.11% from the company's previous close.
• Analysts have shown mixed sentiments, with Barclays updating their target to $139.00 and BTIG Research maintaining a "buy" rating with a $135.00 target, while Weiss Ratings reiterated a "hold" rating.
• PennyMac's latest quarterly earnings report revealed an EPS of $3.37, exceeding expectations, with revenue growth of 53.7% year-over-year, indicating strong financial performance.

PennyMac Financial Services (NYSE:PFSI - Get Free Report) had its target price increased by research analysts at UBS Group from $135.00 to $145.00 in a note issued to investors on Friday, MarketBeat Ratings reports. The brokerage presently has a "neutral" rating on the real estate investment trust's stock. UBS Group's price objective would suggest a potential upside of 9.11% from the company's previous close.

A number of other analysts also recently commented on the stock. Barclays boosted their price target on shares of PennyMac Financial Services from $136.00 to $139.00 and gave the stock an "overweight" rating in a research report on Wednesday. Weiss Ratings reiterated a "hold (c)" rating on shares of PennyMac Financial Services in a report on Wednesday, October 8th. BTIG Research reiterated a "buy" rating and issued a $135.00 target price on shares of PennyMac Financial Services in a report on Wednesday. Piper Sandler boosted their target price on shares of PennyMac Financial Services from $136.00 to $140.00 and gave the stock an "overweight" rating in a report on Wednesday. Finally, Zacks Research upgraded shares of PennyMac Financial Services from a "strong sell" rating to a "hold" rating in a report on Monday, October 6th. Four analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat, PennyMac Financial Services has an average rating of "Moderate Buy" and a consensus target price of $137.17.

PennyMac Financial Services Price Performance

Shares of PFSI stock traded up $4.35 during midday trading on Friday, reaching $132.90. 167,899 shares of the company were exchanged, compared to its average volume of 385,644. PennyMac Financial Services has a 12 month low of $85.74 and a 12 month high of $134.56. The company has a market cap of $6.87 billion, a P/E ratio of 14.32 and a beta of 1.59. The company's 50 day moving average price is $118.00 and its two-hundred day moving average price is $104.58. The company has a debt-to-equity ratio of 3.03, a quick ratio of 0.34 and a current ratio of 0.34.

PennyMac Financial Services (NYSE:PFSI - Get Free Report) last released its quarterly earnings results on Tuesday, October 21st. The real estate investment trust reported $3.37 EPS for the quarter, topping analysts' consensus estimates of $2.98 by $0.39. PennyMac Financial Services had a net margin of 25.21% and a return on equity of 11.90%. The company had revenue of $632.90 million for the quarter, compared to the consensus estimate of $573.46 million. During the same period in the previous year, the firm earned $1.30 EPS. PennyMac Financial Services's revenue was up 53.7% on a year-over-year basis. On average, sell-side analysts expect that PennyMac Financial Services will post 13.77 earnings per share for the current year.

Insider Activity at PennyMac Financial Services

In other PennyMac Financial Services news, CEO David Spector sold 5,000 shares of the company's stock in a transaction dated Monday, October 6th. The shares were sold at an average price of $118.42, for a total transaction of $592,100.00. Following the transaction, the chief executive officer directly owned 120,604 shares in the company, valued at approximately $14,281,925.68. This represents a 3.98% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Joseph F. Mazzella sold 7,107 shares of the company's stock in a transaction dated 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 owned 86,050 shares in the company, valued at approximately $9,307,168. The trade was a 7.63% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 35,632 shares of company stock worth $3,998,816 in the last quarter. Insiders own 15.80% of the company's stock.

Institutional Trading of PennyMac Financial Services

Hedge funds have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC acquired a new stake in PennyMac Financial Services during the 2nd quarter worth approximately $26,000. CWM LLC raised its holdings in PennyMac Financial Services by 71.5% during the 1st quarter. CWM LLC now owns 271 shares of the real estate investment trust's stock worth $27,000 after buying an additional 113 shares during the period. Strs Ohio acquired a new stake in PennyMac Financial Services during the 1st quarter worth approximately $30,000. Harbor Capital Advisors Inc. raised its holdings in PennyMac Financial Services by 26.3% during the 3rd quarter. Harbor Capital Advisors Inc. now owns 504 shares of the real estate investment trust's stock worth $62,000 after buying an additional 105 shares during the period. Finally, Bayforest Capital Ltd acquired a new stake in PennyMac Financial Services during the 2nd quarter worth approximately $62,000. 57.87% of the stock is currently owned by institutional investors and hedge funds.

PennyMac Financial Services Company 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.

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