PennyMac Financial Services (NYSE:PFSI) Stock Price Crosses Below 50 Day Moving Average – Time to Sell?

PennyMac Financial Services, Inc. (NYSE:PFSI) shares passed below its 50 day moving average during trading on Tuesday. The stock has a 50 day moving average of $64.82 and traded as low as $62.20. PennyMac Financial Services shares last traded at $62.7260, with a volume of 541,655 shares.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on PFSI shares. Piper Sandler lowered their target price on PennyMac Financial Services from $86.00 to $71.00 and set a “neutral” rating for the company in a report on Friday, October 9th. Wells Fargo & Company cut their price target on PennyMac Financial Services from $95.00 to $85.00 and set an “overweight” rating on the stock in a research note on Friday, October 30th. Stephens decreased their price objective on PennyMac Financial Services from $91.00 to $78.00 and set an “equal weight” rating for the company in a report on Thursday, July 30th. Wall Street Zen downgraded PennyMac Financial Services from a “hold” rating to a “sell” rating in a report on Saturday, August 1st. Finally, BTIG Research lowered their price objective on shares of PennyMac Financial Services from $90.00 to $80.00 and set a “buy” rating for the company in a research note on Monday, October 12th. Three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, PennyMac Financial Services has a consensus rating of “Hold” and an average price target of $88.71.

PennyMac Financial Services Trading Down 5.6%

The company has a market capitalization of $3.26 billion, a PE ratio of 14.10 and a beta of 1.48. The company’s fifty day moving average is $64.82 and its 200-day moving average is $82.03. The company has a debt-to-equity ratio of 3.12, a current ratio of 0.29 and a quick ratio of 0.29.

PennyMac Financial Services (NYSE:PFSI) last issued its quarterly earnings data on Thursday, October 29th. The real estate investment trust reported $1.05 EPS for the quarter, missing analysts’ consensus estimates of $1.27 by ($0.22). The business had revenue of $502.00 million during the quarter, compared to the consensus estimate of $531.77 million. PennyMac Financial Services had a return on equity of 8.18% and a net margin of 11.72%. The business’s quarterly revenue was down 25.9% on a year-over-year basis. During the same period last year, the firm earned $3.37 EPS. On average, analysts anticipate that PennyMac Financial Services, Inc. will post 5.78 EPS for the current fiscal year.

PennyMac Financial Services Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Monday, November 16th will be issued a $0.30 dividend. The ex-dividend date is Monday, November 16th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.9%. PennyMac Financial Services’s dividend payout ratio (DPR) is currently 26.97%.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in PFSI. Meeder Asset Management Inc. purchased a new stake in shares of PennyMac Financial Services during the 3rd quarter worth $94,000. Russell Investments Group Ltd. grew its stake in PennyMac Financial Services by 60.0% in the third quarter. Russell Investments Group Ltd. now owns 53,335 shares of the real estate investment trust’s stock valued at $3,294,000 after purchasing an additional 20,011 shares during the last quarter. Fifth Third Bancorp raised its holdings in PennyMac Financial Services by 279.8% in the third quarter. Fifth Third Bancorp now owns 957 shares of the real estate investment trust’s stock worth $59,000 after purchasing an additional 705 shares in the last quarter. Fulcrum Asset Management LLP raised its holdings in PennyMac Financial Services by 97.4% in the third quarter. Fulcrum Asset Management LLP now owns 8,777 shares of the real estate investment trust’s stock worth $558,000 after purchasing an additional 4,331 shares in the last quarter. Finally, Covestor Ltd raised its holdings in PennyMac Financial Services by 82.0% in the third quarter. Covestor Ltd now owns 770 shares of the real estate investment trust’s stock worth $48,000 after purchasing an additional 347 shares in the last quarter. 57.87% of the stock is owned by institutional investors.

About PennyMac Financial Services

PennyMac Financial Services, Inc. is a mortgage banking company founded in 2008 and headquartered in Westlake Village, California. It operates primarily in the U.S. residential mortgage market, originating and acquiring home loans through correspondent, broker-direct and consumer-direct channels. The company also services residential mortgage loans for itself and other investors. Its servicing activities include collecting payments, managing escrow accounts and supporting borrowers throughout the life of their loans.