Zacks Research Downgrades PennyMac Mortgage Investment Trust (NYSE:PMT) to Strong Sell

PennyMac Mortgage Investment Trust (NYSE:PMT) was downgraded by stock analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Wednesday,Zacks.com reports.

Other equities research analysts have also issued reports about the company. Weiss Ratings lowered PennyMac Mortgage Investment Trust from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, May 21st. Wall Street Zen lowered PennyMac Mortgage Investment Trust from a “hold” rating to a “sell” rating in a research report on Saturday, May 9th. Piper Sandler dropped their price target on PennyMac Mortgage Investment Trust from $13.00 to $11.50 and set a “neutral” rating for the company in a research report on Tuesday. Keefe, Bruyette & Woods restated a “market perform” rating and issued a $12.00 price target (down from $13.50) on shares of PennyMac Mortgage Investment Trust in a research report on Friday, May 8th. Finally, Wells Fargo & Company dropped their price target on PennyMac Mortgage Investment Trust from $13.00 to $12.00 and set an “equal weight” rating for the company in a research report on Thursday, May 7th. Two equities 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. Based on data from MarketBeat.com, PennyMac Mortgage Investment Trust has an average rating of “Hold” and a consensus price target of $12.80.

PennyMac Mortgage Investment Trust Stock Performance

NYSE PMT opened at $10.55 on Wednesday. The company has a market cap of $919.52 million, a PE ratio of 9.17, a price-to-earnings-growth ratio of 0.63 and a beta of 1.21. The stock’s 50 day simple moving average is $11.39 and its 200-day simple moving average is $12.17. PennyMac Mortgage Investment Trust has a 1-year low of $10.18 and a 1-year high of $13.81. The company has a debt-to-equity ratio of 7.99, a current ratio of 1.39 and a quick ratio of 1.39.

PennyMac Mortgage Investment Trust (NYSE:PMT) last released its earnings results 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). The firm had revenue of $82.29 million during the quarter, compared to analysts’ expectations of $92.92 million. PennyMac Mortgage Investment Trust had a net margin of 41.38% and a return on equity of 10.71%. As a group, equities research analysts anticipate that PennyMac Mortgage Investment Trust will post 1.24 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Flagship Harbor Advisors LLC purchased a new position in PennyMac Mortgage Investment Trust in the fourth quarter worth approximately $26,000. Bessemer Group Inc. grew its position in 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 worth $25,000 after acquiring an additional 1,285 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new position in PennyMac Mortgage Investment Trust in the fourth quarter worth approximately $33,000. GAMMA Investing LLC grew its position in PennyMac Mortgage Investment Trust by 102.8% in the fourth quarter. GAMMA Investing LLC now owns 2,752 shares of the real estate investment trust’s stock worth $35,000 after acquiring an additional 1,395 shares during the period. Finally, Clearstead Advisors LLC grew its position in PennyMac Mortgage Investment Trust by 184.3% in the fourth quarter. Clearstead Advisors LLC now owns 2,800 shares of the real estate investment trust’s stock worth $35,000 after acquiring an additional 1,815 shares during the period. 67.38% of the stock is currently owned by hedge funds and other institutional investors.

About PennyMac Mortgage Investment Trust

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.