Barclays Cuts PennyMac Financial Services (NYSE:PFSI) Price Target to $136.00

PennyMac Financial Services (NYSE:PFSI) had its price objective dropped by investment analysts at Barclays from $158.00 to $136.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has an “overweight” rating on the real estate investment trust’s stock. Barclays‘s target price would suggest a potential upside of 40.16% from the company’s current price.

Other research analysts have also recently issued research reports about the stock. UBS Group boosted their price target on shares of PennyMac Financial Services from $135.00 to $145.00 and gave the company a “neutral” rating in a research report on Friday, October 24th. Weiss Ratings downgraded shares of PennyMac Financial Services from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, January 20th. BTIG Research reiterated a “buy” rating on shares of PennyMac Financial Services in a report on Friday. Zacks Research raised PennyMac Financial Services to a “hold” rating in a research note on Friday, December 19th. Finally, Wells Fargo & Company lowered their price target on PennyMac Financial Services from $150.00 to $135.00 and set an “overweight” rating for the company in a report on Friday. Five analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $143.71.

PennyMac Financial Services Price Performance

NYSE PFSI traded down $52.67 during trading hours on Friday, hitting $97.04. 2,232,089 shares of the company’s stock traded hands, compared to its average volume of 555,468. The company has a market capitalization of $5.04 billion, a PE ratio of 10.52, a PEG ratio of 0.67 and a beta of 1.57. The company has a debt-to-equity ratio of 3.01, a current ratio of 0.36 and a quick ratio of 0.36. PennyMac Financial Services has a 52-week low of $85.74 and a 52-week high of $160.36. The firm’s 50-day moving average is $137.97 and its 200-day moving average is $123.00.

PennyMac Financial Services (NYSE:PFSI) last issued its earnings results on Thursday, January 29th. The real estate investment trust reported $1.97 earnings per share for the quarter, missing the consensus estimate of $3.23 by ($1.26). PennyMac Financial Services had a return on equity of 11.69% and a net margin of 25.21%.The company had revenue of $538.01 million for the quarter, compared to analyst estimates of $639.81 million. During the same quarter in the prior year, the firm earned $1.95 earnings per share. The company’s revenue for the quarter was up 14.4% on a year-over-year basis. Equities analysts forecast that PennyMac Financial Services will post 13.77 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO David Spector sold 10,000 shares of the stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $145.19, for a total value of $1,451,900.00. Following the sale, the chief executive officer directly owned 100,604 shares in the company, valued at approximately $14,606,694.76. This trade represents a 9.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Doug Jones sold 20,000 shares of the business’s stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $132.63, for a total value of $2,652,600.00. Following the transaction, the director directly owned 430,000 shares of the company’s stock, valued at $57,030,900. The trade was a 4.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 80,076 shares of company stock worth $10,512,190 over the last ninety days. Insiders own 15.80% of the company’s stock.

Hedge Funds Weigh In On PennyMac Financial Services

A number of institutional investors and hedge funds have recently modified their holdings of the company. EverSource Wealth Advisors LLC purchased a new stake in PennyMac Financial Services in the second quarter valued at approximately $26,000. Strs Ohio purchased a new stake in PennyMac Financial Services in the 1st quarter valued at $30,000. GAMMA Investing LLC raised its position in PennyMac Financial Services by 97.3% in the 4th quarter. GAMMA Investing LLC now owns 288 shares of the real estate investment trust’s stock valued at $38,000 after purchasing an additional 142 shares during the last quarter. Bayforest Capital Ltd acquired a new stake in PennyMac Financial Services during the 2nd quarter worth $62,000. Finally, Harbor Capital Advisors Inc. grew its position 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 purchasing an additional 105 shares during the last quarter. Institutional investors and hedge funds own 57.87% of the company’s stock.

More PennyMac Financial Services News

Here are the key news stories impacting PennyMac Financial Services this week:

• Positive Sentiment: Wells Fargo lowered its price target from $150 to $135 but maintained an “overweight” rating, implying meaningful upside from current levels — a vote of confidence from a major analyst despite recent weakness. Wells Fargo lowers PT
• Positive Sentiment: The board declared a quarterly cash dividend of $0.30 per share (record Feb 16; payable Feb 26), supporting income investors and signaling management’s continued capital return policy. (Ex‑div Feb 13.)
• Positive Sentiment: Brokerage consensus remains constructive: aggregate coverage shows a “Moderate Buy” stance, which can limit downside if macro conditions stabilize. Consensus rating
• Neutral Sentiment: Company published its Q4 earnings materials and call transcript/slides — useful for digging into margin drivers, credit trends and capital allocation. Investors should review the slides and call transcript for management guidance. Press release / slides
• Negative Sentiment: PFSI missed Q4 estimates: EPS $1.97 vs. $3.23 expected and revenue $538.0M vs. $639.8M expected; net income $106.8M. Management flagged margin pressure and the miss triggered a sharp share decline. Earnings miss coverage
• Negative Sentiment: Unusually large put option activity — ~3,076 puts traded vs. a typical 462 — signals elevated short‑bias/speculative hedging from options traders, which can add selling pressure and volatility.

PennyMac Financial Services Company Profile

PennyMac Financial Services, Inc (NYSE: PFSI) is a leading mortgage banking company based in Westlake Village, California. The firm operates through two primary business segments: Production and Mortgage Servicing Rights (MSR). In its Production segment, PennyMac originates residential mortgage loans through retail, wholesale and correspondent channels, focusing on both purchase and refinance transactions. The MSR segment involves the acquisition and servicing of mortgage loans, whereby the company earns fees for managing loan portfolios on behalf of investors.

Since its founding in 2008, PennyMac has grown through a combination of organic origination and strategic acquisition of servicing rights, positioning itself as one of the largest residential mortgage loan servicers in the United States.