Fact based stock research
PennyMac Financial Services (NYSE:PFSI)
US70932M1071
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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
PennyMac Financial Services stock research in summary
ANALYSIS: With an Obermatt Combined Rank of 88 (better than 88% compared with investment alternatives), PennyMac Financial Services (Thrifts & Mortgage Finance, USA) shares have much better financial characteristics than comparable stocks. Shares of PennyMac Financial Services are low in value (priced high) with a consolidated Value Rank of 49 (worse than 51% of alternatives). But they show above-average growth (Growth Rank of 87) and are safely financed (Safety Rank of 65, which means below-average debt burdens). ...read more
RECOMMENDATION: A Combined Rank of 88, is a strong buy recommendation based on PennyMac Financial Services's financial characteristics. Investors looking for growth and low financial risk may find this stock attractive. While the company PennyMac Financial Services exhibits low value (Obermatt Value Rank of 49), which means that the stock price is rather high, it also demonstrates above-average growth (Obermatt Growth Rank of 87). This is a typical case, as high-growth companies are often expensive. Good financing practices (Obermatt Safety Rank of 65) are a double-edged sword: if the company continues growing, low debt limits shareholder returns. But if the company increases its debt, it will also increase risk. In other words, this is an investment on the safer side, despite the above-average price (low value). Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
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360° Viewnew| Country | USA |
| Industry | Thrifts & Mortgage Finance |
| Index | |
| Size class | Large |
24-Apr-2025. Stock data may be delayed. Log in or sign up to get the most recent research.
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Review the performance ranks of the individual metrics that form each investment strategy.
Research History: PennyMac Financial Services
| RESEARCH HISTORY | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 83 |
|
36 |
|
59 |
|
49 |
|
| GROWTH | ||||||||
| GROWTH | 3 |
|
65 |
|
89 |
|
87 |
|
| SAFETY | ||||||||
| SAFETY | 90 |
|
81 |
|
67 |
|
65 |
|
| SENTIMENT | ||||||||
| SENTIMENT | 19 |
|
10 |
|
17 |
|
new |
|
| 360° VIEW | ||||||||
| 360° VIEW | 61 |
|
51 |
|
82 |
|
new |
|
Combined financial peformance in Detail
ANALYSIS: With an Obermatt Combined Rank of 88 (better than 88% compared with investment alternatives), PennyMac Financial Services (Thrifts & Mortgage Finance, USA) shares have much better financial characteristics than comparable stocks. Shares of PennyMac Financial Services are low in value (priced high) with a consolidated Value Rank of 49 (worse than 51% of alternatives). But they show above-average growth (Growth Rank of 87) and are safely financed (Safety Rank of 65, which means below-average debt burdens). ...read more
RECOMMENDATION: A Combined Rank of 88, is a strong buy recommendation based on PennyMac Financial Services's financial characteristics. Investors looking for growth and low financial risk may find this stock attractive. While the company PennyMac Financial Services exhibits low value (Obermatt Value Rank of 49), which means that the stock price is rather high, it also demonstrates above-average growth (Obermatt Growth Rank of 87). This is a typical case, as high-growth companies are often expensive. Good financing practices (Obermatt Safety Rank of 65) are a double-edged sword: if the company continues growing, low debt limits shareholder returns. But if the company increases its debt, it will also increase risk. In other words, this is an investment on the safer side, despite the above-average price (low value). Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
| RESEARCH HISTORY | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 83 |
|
36 |
|
59 |
|
49 |
|
| GROWTH | ||||||||
| GROWTH | 3 |
|
65 |
|
89 |
|
87 |
|
| SAFETY | ||||||||
| SAFETY | 90 |
|
81 |
|
67 |
|
65 |
|
| COMBINED | ||||||||
| COMBINED | 82 |
|
77 |
|
96 |
|
88 |
|
Value Metrics in Detail
ANALYSIS: With an Obermatt Value Rank of 49 (worse than 51% compared with alternatives), PennyMac Financial Services shares are more expensive than the average comparable stock. The Value Rank is based on consolidating four value indicators, where half the indicators are below and half are above average for PennyMac Financial Services. Price-to-Sales (P/S) is 68, which means that the stock price compared with what market professionals expect for future sales is lower than for 68% of comparable companies, indicating a good value concerning PennyMac Financial Services's revenue size. The same is valid for expected Price-to-Profits (or Price / Earnings, P/E), more favorable than for 76% of alternatives. It is also positive for expected dividend yields with a Dividend Yield rank of 45 (dividends are expected to be higher than for 45% of other stocks). But, compared with other companies in the same industry, the Price-to-Book Capital ratio (also referred to as market-to-book ratio) is higher than average, making the stock more expensive. Only 73% of all competitors have an even higher price compared with book capital which puts the Price-to-Capital Rank for PennyMac Financial Services to 27. ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 49, is a hold recommendation based on PennyMac Financial Services's stock price compared with the company's operational size and dividend yields. A low level of book capital means that the company has a business that is leaner on assets than its competitors. For instance, the company could be leasing its production facilities, or be more focussed on intellectual property, such as its brand and software, which is less visible in its book capital. If that is the case, the low Dividend Yield is also explained as such companies tend to invest their income into market development. The other good value ranks for Sales and Profits are encouraging indicators for the stock price value. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more
| VALUE METRICS | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| PRICE VS. REVENUES (P/S) | ||||||||
| PRICE VS. REVENUES (P/S) | 87 |
|
59 |
|
70 |
|
68 |
|
| PRICE VS. PROFITS (P/E) | ||||||||
| PRICE VS. PROFITS (P/E) | 100 |
|
52 |
|
85 |
|
76 |
|
| PRICE VS. CAPITAL (Market-to-Book) | ||||||||
| PRICE VS. CAPITAL (Market-to-Book) | 55 |
|
29 |
|
29 |
|
27 |
|
| DIVIDEND YIELD | ||||||||
| DIVIDEND YIELD | 43 |
|
38 |
|
53 |
|
45 |
|
| CONSOLIDATED RANK: VALUE | ||||||||
| CONSOLIDATED RANK: VALUE | 83 |
|
36 |
|
59 |
|
49 |
|
Growth Metrics in Detail
ANALYSIS: With an Obermatt Growth Rank of 87 (better than 87% compared with alternatives) for 2025, PennyMac Financial Services shows one of the highest growth dynamics in its industry. Investors also speak of high momentum. The Growth Rank is based on consolidating four value indicators, with all but one indicator above average for PennyMac Financial Services. Sales Growth has a value of 80 which means that currently professionals expect the company to grow more than 80% of its competitors. Profit Growth with a value of 89 and Capital Growth with a rank of 95 means that currently, professionals expect the company to grow both profits and invested capital more than of its competitors. But Stock Returns has only a rank of 27, which means that stock returns have recently been below 73% of alternative investments. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 87, is a buy recommendation for growth and momentum investors. PennyMac Financial Services has only one below-average growth indicator, the stock returns. This is probably the least reliable growth indicator, because it measures company and investor expectations at the same time. The three other growth indicators, which are all positive for PennyMac Financial Services, are more reliable measures of growth momentum. For this reason, the company seems to be on a good trajectory, unless you think the current period is not representative, because of unique events that will not be repeated in the future. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case. ...read more
| GROWTH METRICS | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| REVENUE GROWTH | ||||||||
| REVENUE GROWTH | 6 |
|
98 |
|
82 |
|
80 |
|
| PROFIT GROWTH | ||||||||
| PROFIT GROWTH | 6 |
|
13 |
|
84 |
|
89 |
|
| CAPITAL GROWTH | ||||||||
| CAPITAL GROWTH | 7 |
|
36 |
|
90 |
|
95 |
|
| STOCK RETURNS | ||||||||
| STOCK RETURNS | 51 |
|
83 |
|
43 |
|
27 |
|
| CONSOLIDATED RANK: GROWTH | ||||||||
| CONSOLIDATED RANK: GROWTH | 3 |
|
65 |
|
89 |
|
87 |
|
Safety Metrics in Detail
ANALYSIS: With an Obermatt Safety Rank of 65 (better than 65% compared with alternatives), the company PennyMac Financial Services has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of PennyMac Financial Services is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for PennyMac Financial Services and the other two below average. Refinancing is at 91, meaning the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 91% of its competitors. But Leverage is high with a rank of 46, meaning the company has an above-average debt-to-equity ratio. It has more debt than 54% of its competitors. Liquidity is also on the riskier side with a rank of 16, meaning the company generates less profit to service its debt than 84% of its competitors. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 65 (better than 65% compared with alternatives), PennyMac Financial Services has a financing structure that is safer than that of its competitors. A good Refinancing Rank means that the problems of the company may not be around the corner. But high Leverage is only good if things go well, and low Liquidity is a signal for caution. The financing signals for PennyMac Financial Services are on the riskier side, requiring the company's future to be on the safer side. Investors may want to look at Growth and Sentiment ranks before making an investment decision. In the long-term, investors may have a debt challenge with PennyMac Financial Services and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more
| SAFETY METRICS | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| LEVERAGE | ||||||||
| LEVERAGE | 50 |
|
70 |
|
52 |
|
46 |
|
| REFINANCING | ||||||||
| REFINANCING | 93 |
|
85 |
|
95 |
|
91 |
|
| LIQUIDITY | ||||||||
| LIQUIDITY | 46 |
|
25 |
|
14 |
|
16 |
|
| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 90 |
|
81 |
|
67 |
|
65 |
|
Sentiment Metrics in Detail
| SENTIMENT | 2022 | 2023 | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|---|---|
| ANALYST OPINIONS | ||||||||
| ANALYST OPINIONS | n/a |
|
93 |
|
90 |
|
new |
|
| OPINIONS CHANGE | ||||||||
| OPINIONS CHANGE | 26 |
|
11 |
|
5 |
|
new |
|
| PRO HOLDINGS | ||||||||
| PRO HOLDINGS | 27 |
|
6 |
|
23 |
|
new |
|
| MARKET PULSE | ||||||||
| MARKET PULSE | 14 |
|
3 |
|
8 |
|
new |
|
| CONSOLIDATED RANK: SENTIMENT | ||||||||
| CONSOLIDATED RANK: SENTIMENT | 19 |
|
10 |
|
17 |
|
new |
|
Free stock analysis by the purely fact based Obermatt Method for PennyMac Financial Services from April 24, 2025.
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