PennyMac Financial Servs PFSI is gearing up to announce its quarterly earnings on Tuesday, 2025-07-22. Here's a quick overview of what investors should know before the release.
Analysts are estimating that PennyMac Financial Servs will report an earnings per share (EPS) of $3.15.
The announcement from PennyMac Financial Servs is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.
It's worth noting for new investors that guidance can be a key determinant of stock price movements.
Historical Earnings Performance
Last quarter the company missed EPS by $0.06, which was followed by a 2.76% drop in the share price the next day.
Here's a look at PennyMac Financial Servs's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 2.83 | 3.02 | 2.90 | 2.58 |
| EPS Actual | 2.77 | 2.88 | 3.49 | 2.67 |
| Price Change % | -3.0% | -9.0% | -3.0% | -4.0% |
Tracking PennyMac Financial Servs's Stock Performance
Shares of PennyMac Financial Servs were trading at $100.85 as of July 18. Over the last 52-week period, shares are up 2.03%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Observations about PennyMac Financial Servs
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on PennyMac Financial Servs.
Analysts have provided PennyMac Financial Servs with 6 ratings, resulting in a consensus rating of Outperform. The average one-year price target stands at $121.33, suggesting a potential 20.31% upside.
Comparing Ratings with Competitors
In this comparison, we explore the analyst ratings and average 1-year price targets of Mr. Cooper Gr and Onity Group, three prominent industry players, offering insights into their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Mr. Cooper Gr, with an average 1-year price target of $156.67, suggesting a potential 55.35% upside.
- Analysts currently favor an Buy trajectory for Onity Group, with an average 1-year price target of $52.5, suggesting a potential 47.94% downside.
Peers Comparative Analysis Summary
The peer analysis summary presents essential metrics for Mr. Cooper Gr and Onity Group, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| PennyMac Financial Servs | Outperform | 113.95% | $687.05M | 1.97% |
| Mr. Cooper Gr | Neutral | 3.74% | $343M | 1.81% |
| Onity Group | Buy | 7.56% | $138.60M | 4.67% |
Key Takeaway:
PennyMac Financial Servs ranks highest in Revenue Growth among its peers, with a growth rate of 113.95%. In terms of Gross Profit, PennyMac Financial Servs also leads with a gross profit of $687.05M. However, its Return on Equity is the lowest among the peers at 1.97%. Overall, PennyMac Financial Servs is positioned at the top in Revenue Growth and Gross Profit, but at the bottom in Return on Equity compared to its peers.
About PennyMac Financial Servs
PennyMac Financial Services Inc is a specialty financial services firm with a comprehensive mortgage platform and integrated business focused on the production and servicing of U.S. residential mortgage loans. The company operates through two segments: production and servicing. The production segment performs loan origination, acquisition and sale activities. The servicing segment performs loan servicing for newly originated loans.
Understanding the Numbers: PennyMac Financial Servs's Finances
Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.
Revenue Growth: PennyMac Financial Servs's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 113.95%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 7.13%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): PennyMac Financial Servs's ROE excels beyond industry benchmarks, reaching 1.97%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): PennyMac Financial Servs's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 0.31%, the company may face hurdles in achieving optimal financial performance.
Debt Management: PennyMac Financial Servs's debt-to-equity ratio is below the industry average at 4.68, reflecting a lower dependency on debt financing and a more conservative financial approach.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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