PennyMac Financial Services, Inc. (NYSE:PFSI) to Issue $0.20 Quarterly Dividend

PennyMac Financial Services, Inc. (NYSE:PFSI) declared a quarterly dividend on Wednesday, April 24th, Zacks reports. Stockholders of record on Tuesday, May 14th will be paid a dividend of 0.20 per share by the real estate investment trust on Friday, May 24th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.93%. The ex-dividend date of this dividend is Monday, May 13th.

PennyMac Financial Services has raised its dividend payment by an average of 14.0% per year over the last three years. PennyMac Financial Services has a dividend payout ratio of 6.5% meaning its dividend is sufficiently covered by earnings. Equities analysts expect PennyMac Financial Services to earn $12.36 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 6.5%.

PennyMac Financial Services Stock Down 6.4 %

PFSI opened at $86.20 on Friday. The company has a debt-to-equity ratio of 1.90, a current ratio of 0.37 and a quick ratio of 0.37. The company’s 50-day moving average is $87.95 and its 200 day moving average is $82.89. PennyMac Financial Services has a fifty-two week low of $56.16 and a fifty-two week high of $94.78. The firm has a market capitalization of $4.35 billion, a P/E ratio of 29.93, a PEG ratio of 0.61 and a beta of 1.67.

PennyMac Financial Services (NYSE:PFSI) last released its quarterly earnings results on Wednesday, April 24th. The real estate investment trust reported $2.48 earnings per share for the quarter, beating analysts’ consensus estimates of $2.34 by $0.14. PennyMac Financial Services had a net margin of 10.94% and a return on equity of 10.51%. The company had revenue of $305.66 million for the quarter, compared to analyst estimates of $422.87 million. Research analysts expect that PennyMac Financial Services will post 10.41 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several analysts have commented on the stock. Keefe, Bruyette & Woods raised shares of PennyMac Financial Services from a “market perform” rating to an “outperform” rating and lifted their price objective for the stock from $100.00 to $105.00 in a research report on Tuesday, April 9th. StockNews.com lowered shares of PennyMac Financial Services from a “hold” rating to a “sell” rating in a research report on Thursday. Wedbush reissued an “outperform” rating and issued a $110.00 price target on shares of PennyMac Financial Services in a research report on Thursday. Deutsche Bank Aktiengesellschaft reduced their price objective on shares of PennyMac Financial Services from $115.00 to $112.00 and set a “buy” rating for the company in a research note on Thursday. Finally, Barclays boosted their price objective on shares of PennyMac Financial Services from $103.00 to $112.00 and gave the company an “overweight” rating in a research note on Tuesday, April 9th. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating and six have given a buy rating to the company. Based on data from MarketBeat, PennyMac Financial Services has a consensus rating of “Moderate Buy” and a consensus price target of $98.38.

Insider Activity

In other news, insider James Follette sold 2,617 shares of the company’s stock in a transaction on Tuesday, February 27th. The shares were sold at an average price of $86.24, for a total value of $225,690.08. Following the completion of the sale, the insider now owns 7,257 shares of the company’s stock, valued at approximately $625,843.68. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, insider James Follette sold 2,617 shares of the company’s stock in a transaction on Tuesday, February 27th. The shares were sold at an average price of $86.24, for a total value of $225,690.08. Following the completion of the sale, the insider now owns 7,257 shares of the company’s stock, valued at approximately $625,843.68. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Doug Jones sold 17,079 shares of the company’s stock in a transaction on Monday, March 11th. The shares were sold at an average price of $86.10, for a total transaction of $1,470,501.90. Following the sale, the director now owns 23,892 shares of the company’s stock, valued at $2,057,101.20. The disclosure for this sale can be found here. In the last 90 days, insiders sold 87,802 shares of company stock valued at $7,666,108. Corporate insiders own 17.40% of the company’s stock.

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.