PennyMac Financial Services (PFSI) Competitors

Citizens Financial Group (NYSE:CFG) and PennyMac Financial Services (NYSE:PFSI) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, valuation, institutional ownership, media sentiment, risk, profitability, dividends and analyst recommendations.

Do institutionals & insiders have more ownership in CFG or PFSI?

94.9% of Citizens Financial Group shares are owned by institutional investors. Comparatively, 57.9% of PennyMac Financial Services shares are owned by institutional investors. 0.7% of Citizens Financial Group shares are owned by company insiders. Comparatively, 15.8% of PennyMac Financial Services shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Is CFG or PFSI more profitable?

PennyMac Financial Services has a net margin of 20.27% compared to Citizens Financial Group's net margin of 12.76%. PennyMac Financial Services' return on equity of 14.78% beat Citizens Financial Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Citizens Financial Group	12.76%	6.84%	0.70%
PennyMac Financial Services	20.27%	14.78%	2.37%

Does the media refer more to CFG or PFSI?

In the previous week, Citizens Financial Group had 17 more articles in the media than PennyMac Financial Services. MarketBeat recorded 24 mentions for Citizens Financial Group and 7 mentions for PennyMac Financial Services. Citizens Financial Group's average media sentiment score of 0.87 beat PennyMac Financial Services' score of -0.04 indicating that Citizens Financial Group is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Citizens Financial Group	14 Very Positive mention(s)	0 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
PennyMac Financial Services	0 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Neutral

Is CFG or PFSI a better dividend stock?

Citizens Financial Group pays an annual dividend of $1.68 per share and has a dividend yield of 3.6%. PennyMac Financial Services pays an annual dividend of $1.20 per share and has a dividend yield of 1.2%. Citizens Financial Group pays out 53.3% of its earnings in the form of a dividend. PennyMac Financial Services pays out 18.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. PennyMac Financial Services has raised its dividend for 1 consecutive years.

Which has more volatility & risk, CFG or PFSI?

Citizens Financial Group has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500. Comparatively, PennyMac Financial Services has a beta of 1.53, meaning that its stock price is 53% more volatile than the S&P 500.

Do analysts recommend CFG or PFSI?

Citizens Financial Group currently has a consensus target price of $48.68, suggesting a potential upside of 3.47%. PennyMac Financial Services has a consensus target price of $120.67, suggesting a potential upside of 17.41%. Given PennyMac Financial Services' stronger consensus rating and higher possible upside, analysts clearly believe PennyMac Financial Services is more favorable than Citizens Financial Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Citizens Financial Group	0 Sell rating(s)	6 Hold rating(s)	11 Buy rating(s)	1 Strong Buy rating(s)	2.72
PennyMac Financial Services	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83

Which has better valuation and earnings, CFG or PFSI?

Citizens Financial Group has higher revenue and earnings than PennyMac Financial Services. Citizens Financial Group is trading at a lower price-to-earnings ratio than PennyMac Financial Services, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Citizens Financial Group	$12.36B	1.66	$1.51B	$3.15	14.94
PennyMac Financial Services	$1.59B	3.33	$311.42M	$6.52	15.76

Summary

PennyMac Financial Services beats Citizens Financial Group on 12 of the 20 factors compared between the two stocks.