PennyMac Mortgage Investment Trust (NYSE:PMT) Shares Gap Up on Strong Earnings

PennyMac Mortgage Investment Trust (NYSE:PMT)’s share price gapped up before the market opened on Friday following a stronger than expected earnings report. The stock had previously closed at $12.89, but opened at $13.40. PennyMac Mortgage Investment Trust shares last traded at $13.44, with a volume of 126,615 shares changing hands.

The real estate investment trust reported $0.41 earnings per share for the quarter, topping the consensus estimate of $0.37 by $0.04. PennyMac Mortgage Investment Trust had a net margin of 53.81% and a return on equity of 11.90%.

PennyMac Mortgage Investment Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, January 24th. Stockholders of record on Friday, December 27th were paid a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 11.74%. The ex-dividend date was Friday, December 27th. PennyMac Mortgage Investment Trust’s dividend payout ratio (DPR) is presently 117.65%.

Analyst Ratings Changes

PMT has been the topic of several recent research reports. JMP Securities reiterated a “market outperform” rating and issued a $15.50 price objective on shares of PennyMac Mortgage Investment Trust in a research note on Thursday, January 23rd. Wedbush reissued a “neutral” rating and issued a $15.00 target price on shares of PennyMac Mortgage Investment Trust in a report on Thursday, October 24th. Two analysts have rated the stock with a hold rating and three have issued a buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $15.20.

Institutional Investors Weigh In On PennyMac Mortgage Investment Trust

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Principal Financial Group Inc. grew its holdings in PennyMac Mortgage Investment Trust by 18.2% during the 3rd quarter. Principal Financial Group Inc. now owns 506,349 shares of the real estate investment trust’s stock valued at $7,221,000 after buying an additional 77,955 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in PennyMac Mortgage Investment Trust by 90.2% during the 3rd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 174,436 shares of the real estate investment trust’s stock valued at $2,487,000 after buying an additional 82,735 shares in the last quarter. Citigroup Inc. grew its holdings in PennyMac Mortgage Investment Trust by 43.2% during the 3rd quarter. Citigroup Inc. now owns 407,660 shares of the real estate investment trust’s stock valued at $5,813,000 after buying an additional 123,079 shares in the last quarter. Barclays PLC grew its holdings in PennyMac Mortgage Investment Trust by 218.7% during the 3rd quarter. Barclays PLC now owns 148,734 shares of the real estate investment trust’s stock valued at $2,121,000 after buying an additional 102,067 shares in the last quarter. Finally, K2 Principal Fund L.P. purchased a new stake in PennyMac Mortgage Investment Trust during the 3rd quarter valued at approximately $5,841,000. 67.38% of the stock is owned by hedge funds and other institutional investors.

PennyMac Mortgage Investment Trust Stock Performance

The company has a debt-to-equity ratio of 1.56, a quick ratio of 0.41 and a current ratio of 0.41. The business’s fifty day simple moving average is $12.97 and its 200-day simple moving average is $13.54. The firm has a market capitalization of $1.18 billion, a PE ratio of 10.02 and a beta of 1.50.

PennyMac Mortgage Investment Trust Company Profile

PennyMac Mortgage Investment Trust, through its subsidiary, primarily invests in mortgage-related assets in the United States. The company operates through: Credit Sensitive Strategies, Interest Rate Sensitive Strategies, Correspondent Production segments. Its Credit Sensitive Strategies segment invests in credit risk transfer (CRT) agreements, CRT securities, subordinate mortgage-backed securities (MBS), distressed loans, and real estate.