Wells Fargo & Company Has Lowered Expectations for PennyMac Mortgage Investment Trust (NYSE:PMT) Stock Price

Key Points

• Wells Fargo cut its price target on PennyMac Mortgage Investment Trust from $13.00 to $12.00 and maintained an "equal weight" rating, implying roughly an 8.45% upside from the current price.
• PennyMac missed quarterly estimates, reporting EPS of $0.16 versus a $0.36 consensus and revenue of $82.29M versus $92.92M expected.
• Consensus from analysts is a "Hold" with an average price target of $13.40; the stock trades near $11.07 (market cap ≈ $965M) and is about 67% institutionally owned.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) had its price target decreased by research analysts at Wells Fargo & Company from $13.00 to $12.00 in a report issued on Thursday,Benzinga reports. The firm currently has an "equal weight" rating on the real estate investment trust's stock. Wells Fargo & Company's price target suggests a potential upside of 8.45% from the company's current price.

Several other research analysts have also weighed in on PMT. Weiss Ratings reissued a "hold (c-)" rating on shares of PennyMac Mortgage Investment Trust in a research note on Friday, March 27th. Citizens Jmp dropped their target price on shares of PennyMac Mortgage Investment Trust from $15.50 to $15.00 and set a "market outperform" rating on the stock in a report on Thursday, January 22nd. Citigroup restated an "outperform" rating on shares of PennyMac Mortgage Investment Trust in a report on Thursday, January 22nd. Finally, Piper Sandler dropped their target price on shares of PennyMac Mortgage Investment Trust from $13.50 to $13.00 and set a "neutral" rating on the stock in a report on Thursday, April 2nd. Three analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $13.40.

PennyMac Mortgage Investment Trust Trading Up 0.3%

PennyMac Mortgage Investment Trust stock traded up $0.04 during midday trading on Thursday, hitting $11.07. 365,619 shares of the stock were exchanged, compared to its average volume of 1,186,591. The company has a fifty day simple moving average of $11.84 and a two-hundred day simple moving average of $12.36. PennyMac Mortgage Investment Trust has a 52 week low of $10.91 and a 52 week high of $13.81. The stock has a market capitalization of $964.87 million, a PE ratio of 9.62, a P/E/G ratio of 0.59 and a beta of 1.19. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 6.55.

PennyMac Mortgage Investment Trust (NYSE:PMT - Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The real estate investment trust reported $0.16 earnings per share for the quarter, missing the consensus estimate of $0.36 by ($0.20). PennyMac Mortgage Investment Trust had a return on equity of 10.69% and a net margin of 41.38%.The firm had revenue of $82.29 million for the quarter, compared to the consensus estimate of $92.92 million. Equities research analysts anticipate that PennyMac Mortgage Investment Trust will post 1.54 EPS for the current fiscal year.

Institutional Trading of PennyMac Mortgage Investment Trust

Several hedge funds have recently bought and sold shares of PMT. Bessemer Group Inc. raised its holdings in shares of PennyMac Mortgage Investment Trust by 142.1% in the first quarter. Bessemer Group Inc. now owns 2,189 shares of the real estate investment trust's stock valued at $25,000 after purchasing an additional 1,285 shares during the last quarter. Sharpepoint LLC raised its holdings in shares of PennyMac Mortgage Investment Trust by 19.6% in the first quarter. Sharpepoint LLC now owns 86,253 shares of the real estate investment trust's stock valued at $1,006,000 after purchasing an additional 14,139 shares during the last quarter. Principal Financial Group Inc. raised its holdings in shares of PennyMac Mortgage Investment Trust by 2.0% in the first quarter. Principal Financial Group Inc. now owns 422,973 shares of the real estate investment trust's stock valued at $4,932,000 after purchasing an additional 8,234 shares during the last quarter. QRG Capital Management Inc. raised its holdings in shares of PennyMac Mortgage Investment Trust by 17.0% in the first quarter. QRG Capital Management Inc. now owns 13,123 shares of the real estate investment trust's stock valued at $153,000 after purchasing an additional 1,905 shares during the last quarter. Finally, New York State Teachers Retirement System raised its holdings in shares of PennyMac Mortgage Investment Trust by 5.4% in the first quarter. New York State Teachers Retirement System now owns 133,260 shares of the real estate investment trust's stock valued at $1,554,000 after purchasing an additional 6,827 shares during the last quarter. 67.38% of the stock is currently owned by institutional investors and hedge funds.

PennyMac Mortgage Investment Trust Company Profile

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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