Insider Selling: PennyMac Financial Services, Inc. (NYSE:PFSI) CEO Sells 61,120 Shares of Stock

PennyMac Financial Services, Inc. (NYSE:PFSI) CEO David Spector sold 61,120 shares of the company’s stock in a transaction that occurred on Friday, December 20th. The shares were sold at an average price of $101.72, for a total value of $6,217,126.40. Following the completion of the sale, the chief executive officer now owns 634,612 shares in the company, valued at $64,552,732.64. The trade was a 8.78 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

David Spector also recently made the following trade(s):

• On Wednesday, December 4th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The shares were sold at an average price of $104.95, for a total transaction of $1,049,500.00.
• On Tuesday, November 12th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The shares were sold at an average price of $105.04, for a total value of $1,050,400.00.
• On Monday, October 14th, David Spector sold 10,000 shares of PennyMac Financial Services stock. The stock was sold at an average price of $107.57, for a total value of $1,075,700.00.

PennyMac Financial Services Price Performance

Shares of NYSE PFSI opened at $102.18 on Thursday. The stock has a market cap of $5.24 billion, a price-to-earnings ratio of 32.44 and a beta of 1.78. The company has a debt-to-equity ratio of 2.75, a quick ratio of 0.38 and a current ratio of 0.38. PennyMac Financial Services, Inc. has a fifty-two week low of $81.93 and a fifty-two week high of $119.13. The firm’s 50-day simple moving average is $103.84 and its 200 day simple moving average is $102.32.

PennyMac Financial Services (NYSE:PFSI) last announced its earnings results on Tuesday, October 22nd. The real estate investment trust reported $1.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.92 by ($1.62). PennyMac Financial Services had a net margin of 11.45% and a return on equity of 15.13%. The company had revenue of $411.83 million for the quarter, compared to analysts’ expectations of $513.12 million. During the same period in the previous year, the firm earned $1.77 EPS. The firm’s quarterly revenue was up 2.9% on a year-over-year basis. As a group, research analysts anticipate that PennyMac Financial Services, Inc. will post 11.88 earnings per share for the current fiscal year.

PennyMac Financial Services Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, November 27th. Stockholders of record on Monday, November 18th were issued a $0.30 dividend. The ex-dividend date of this dividend was Monday, November 18th. This represents a $1.20 annualized dividend and a dividend yield of 1.17%. PennyMac Financial Services’s dividend payout ratio is currently 38.10%.

Analysts Set New Price Targets

Several brokerages have recently commented on PFSI. Keefe, Bruyette & Woods reduced their price objective on shares of PennyMac Financial Services from $112.00 to $111.00 and set a “market perform” rating for the company in a research report on Tuesday, December 10th. Piper Sandler raised their price target on shares of PennyMac Financial Services from $125.00 to $132.00 and gave the stock an “overweight” rating in a report on Wednesday, October 23rd. Wells Fargo & Company upped their price objective on shares of PennyMac Financial Services from $110.00 to $125.00 and gave the company an “overweight” rating in a report on Thursday, October 24th. Wedbush restated an “outperform” rating and issued a $130.00 target price on shares of PennyMac Financial Services in a research note on Wednesday, October 23rd. Finally, Barclays upped their price target on PennyMac Financial Services from $112.00 to $125.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 8th. One analyst has rated the stock with a sell rating, one has assigned a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $122.50.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State Street Corp boosted its stake in shares of PennyMac Financial Services by 6.0% in the 3rd quarter. State Street Corp now owns 911,741 shares of the real estate investment trust’s stock worth $103,911,000 after buying an additional 51,777 shares during the last quarter. XTX Topco Ltd bought a new stake in PennyMac Financial Services during the third quarter worth $614,000. FORA Capital LLC purchased a new position in PennyMac Financial Services in the third quarter worth $616,000. HighTower Advisors LLC bought a new position in PennyMac Financial Services in the 3rd quarter valued at $702,000. Finally, Massachusetts Financial Services Co. MA bought a new stake in shares of PennyMac Financial Services during the 3rd quarter worth $24,644,000. 57.87% of the stock is currently 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.