
PMT Stock Forecast & Price Target
PMT Analyst Ratings
Bulls say
PennyMac Mortgage Investment Trust experienced a notable increase in total conventional volume, rising approximately 12% to $2.74 billion, indicative of robust demand in the residential mortgage sector. The company’s projected return on equity (ROE) stands at a healthy 9.9%, suggesting an upward trend in earnings run rate, increasing from $0.35 to $0.38 per quarter. Additionally, while total leverage increased to 7.8x from 6.7x, the rise in leverage excluding non-recourse debt to 5.6x from 5.1x indicates a manageable risk profile amidst growth in operations.
Bears say
PennyMac Mortgage Investment Trust has experienced a reduction in book value during the second quarter, contributing to a diminished outlook due to a slower trajectory towards achieving a double-digit return on equity (ROE). Additionally, the company's servicing unpaid principal balance (UPB) has decreased to $221.6 billion from $224.6 billion, indicating a slight contraction in its mortgage servicing portfolio. Lastly, the company's mortgage servicing rights (MSRs) remained relatively stable, decreasing marginally from $3.77 billion to $3.74 billion, reflecting limited growth potential in this critical asset area.
This aggregate rating is based on analysts' research of PennyMac Mortgage Investment and is not a guaranteed prediction by Public.com or investment advice.
PMT Analyst Forecast & Price Prediction
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