PENNYMAC MORTGAGE INVESTMENT (PMT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PMT - US70931T1034 - REIT
12.67 USD
-0.03 (-0.24%)
12.67 USD
0 (0%)
Taking everything into account, PMT scores 3 out of 10 in our fundamental rating. PMT was compared to 69 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. PMT may be in some trouble as it scores bad on both profitability and health. PMT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PMT had positive earnings in the past year.
In the past year PMT has reported a negative cash flow from operations.
Of the past 5 years PMT 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: PMT reported negative operating cash flow in multiple years.
1.2 Ratios
PMT's Return On Assets of 0.43% is in line compared to the rest of the industry. PMT outperforms 53.62% of its industry peers.
PMT has a Return On Equity (4.24%) which is in line with its industry peers.
PMT's Return On Invested Capital of 0.51% is in line compared to the rest of the industry. PMT outperforms 50.72% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PMT is in line with the industry average of 1.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 4.24% | ||
| ROIC | 0.51% |
ROA(3y)0.4%
ROA(5y)0.32%
ROE(3y)2.76%
ROE(5y)2.11%
ROIC(3y)0.94%
ROIC(5y)0.73%
1.3 Margins
PMT has a Profit Margin (7.09%) which is in line with its industry peers.
PMT's Profit Margin has declined in the last couple of years.
PMT's Operating Margin of 10.03% is in line compared to the rest of the industry. PMT outperforms 52.17% of its industry peers.
In the last couple of years the Operating Margin of PMT has declined.
PMT has a Gross Margin of 17.95%. This is in the lower half of the industry: PMT underperforms 68.12% of its industry peers.
In the last couple of years the Gross Margin of PMT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.03% | ||
| PM (TTM) | 7.09% | ||
| GM | 17.95% |
OM growth 3Y30.21%
OM growth 5Y-10.92%
PM growth 3Y47.37%
PM growth 5Y-15.02%
GM growth 3Y21.41%
GM growth 5Y-6.35%
2. Health
2.1 Basic Checks
The number of shares outstanding for PMT has been increased compared to 1 year ago.
PMT has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PMT is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.42, we must say that PMT is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.42, PMT perfoms like the industry average, outperforming 40.58% of the companies in the same industry.
PMT has a Debt/Equity ratio of 8.66. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of PMT (8.66) is worse than 84.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.66 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.42 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
PMT has a Current Ratio of 0.04. This is a bad value and indicates that PMT is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.04, PMT is not doing good in the industry: 79.71% of the companies in the same industry are doing better.
PMT has a Quick Ratio of 0.04. This is a bad value and indicates that PMT is not financially healthy enough and could expect problems in meeting its short term obligations.
PMT has a Quick ratio of 0.04. This is in the lower half of the industry: PMT underperforms 79.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
PMT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.09%.
Measured over the past years, PMT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.43% on average per year.
The Revenue has grown by 9.82% in the past year. This is quite good.
The Revenue has been growing slightly by 5.93% on average over the past years.
EPS 1Y (TTM)-33.09%
EPS 3Y72.3%
EPS 5Y-11.43%
EPS Q2Q%52.78%
Revenue 1Y (TTM)9.82%
Revenue growth 3Y13.1%
Revenue growth 5Y5.93%
Sales Q2Q%22.71%
3.2 Future
Based on estimates for the next years, PMT will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.31% on average per year.
The Revenue is expected to grow by 10.12% on average over the next years. This is quite good.
EPS Next Y-32.29%
EPS Next 2Y11.6%
EPS Next 3Y8.31%
EPS Next 5YN/A
Revenue Next Year-4.73%
Revenue Next 2Y11.15%
Revenue Next 3Y10.12%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.92, PMT is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of PMT is on the same level as its industry peers.
When comparing the Price/Earnings ratio of PMT to the average of the S&P500 Index (26.34), we can say PMT is valued slightly cheaper.
The Price/Forward Earnings ratio is 7.65, which indicates a rather cheap valuation of PMT.
Based on the Price/Forward Earnings ratio, PMT is valued a bit cheaper than the industry average as 71.01% of the companies are valued more expensively.
PMT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.56.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.92 | ||
| Fwd PE | 7.65 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.6%
EPS Next 3Y8.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 12.64%, PMT is a good candidate for dividend investing.
PMT's Dividend Yield is comparable with the industry average which is at 12.09.
Compared to an average S&P500 Dividend Yield of 2.31, PMT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.64% |
5.2 History
The dividend of PMT has a limited annual growth rate of 0.26%.
PMT has paid a dividend for at least 10 years, which is a reliable track record.
PMT has decreased its dividend recently.
Dividend Growth(5Y)0.26%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
227.39% of the earnings are spent on dividend by PMT. This is not a sustainable payout ratio.
The dividend of PMT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP227.39%
EPS Next 2Y11.6%
EPS Next 3Y8.31%
12.67
-0.03 (-0.24%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners70.69%
Inst Owner Change-0.58%
Ins Owners0.96%
Ins Owner Change0.66%
Market Cap1.10B
Revenue(TTM)1.12B
Net Income(TTM)79.68M
Analysts67.69
Price Target13.52 (6.71%)
Short Float %5.46%
Short Ratio5.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.64% |
Yearly Dividend2.09
Dividend Growth(5Y)0.26%
DP227.39%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-30.1%
Min EPS beat(2)-110.78%
Max EPS beat(2)50.57%
EPS beat(4)2
Avg EPS beat(4)-37.54%
Min EPS beat(4)-110.78%
Max EPS beat(4)50.57%
EPS beat(8)4
Avg EPS beat(8)-18.79%
EPS beat(12)6
Avg EPS beat(12)-17.18%
EPS beat(16)6
Avg EPS beat(16)-72.42%
Revenue beat(2)1
Avg Revenue beat(2)-12.58%
Min Revenue beat(2)-26.28%
Max Revenue beat(2)1.12%
Revenue beat(4)2
Avg Revenue beat(4)-15.98%
Min Revenue beat(4)-52.49%
Max Revenue beat(4)13.74%
Revenue beat(8)2
Avg Revenue beat(8)-15.75%
Revenue beat(12)4
Avg Revenue beat(12)2.82%
Revenue beat(16)6
Avg Revenue beat(16)10.02%
PT rev (1m)0.63%
PT rev (3m)1.27%
EPS NQ rev (1m)0.29%
EPS NQ rev (3m)7.82%
EPS NY rev (1m)9.63%
EPS NY rev (3m)20.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.19%
Revenue NY rev (1m)0.94%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.92 | ||
| Fwd PE | 7.65 | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.59 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.91
EY7.18%
EPS(NY)1.66
Fwd EY13.07%
FCF(TTM)-63.53
FCFYN/A
OCF(TTM)-63.53
OCFYN/A
SpS12.92
BVpS21.6
TBVpS-20.56
PEG (NY)N/A
PEG (5Y)N/A
Graham Number21.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 4.24% | ||
| ROCE | 1.08% | ||
| ROIC | 0.51% | ||
| ROICexc | 0.51% | ||
| ROICexgc | 0.66% | ||
| OM | 10.03% | ||
| PM (TTM) | 7.09% | ||
| GM | 17.95% | ||
| FCFM | N/A |
ROA(3y)0.4%
ROA(5y)0.32%
ROE(3y)2.76%
ROE(5y)2.11%
ROIC(3y)0.94%
ROIC(5y)0.73%
ROICexc(3y)0.96%
ROICexc(5y)0.74%
ROICexgc(3y)1.45%
ROICexgc(5y)1.08%
ROCE(3y)2.12%
ROCE(5y)1.72%
ROICexgc growth 3Y52.36%
ROICexgc growth 5Y-5.33%
ROICexc growth 3Y46.74%
ROICexc growth 5Y-8.88%
OM growth 3Y30.21%
OM growth 5Y-10.92%
PM growth 3Y47.37%
PM growth 5Y-15.02%
GM growth 3Y21.41%
GM growth 5Y-6.35%
F-Score1
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.66 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.15 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 | ||
| Altman-Z | -0.42 |
F-Score1
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-33.09%
EPS 3Y72.3%
EPS 5Y-11.43%
EPS Q2Q%52.78%
EPS Next Y-32.29%
EPS Next 2Y11.6%
EPS Next 3Y8.31%
EPS Next 5YN/A
Revenue 1Y (TTM)9.82%
Revenue growth 3Y13.1%
Revenue growth 5Y5.93%
Sales Q2Q%22.71%
Revenue Next Year-4.73%
Revenue Next 2Y11.15%
Revenue Next 3Y10.12%
Revenue Next 5YN/A
EBIT growth 1Y-11.75%
EBIT growth 3Y47.27%
EBIT growth 5Y-5.63%
EBIT Next Year551.59%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-520.02%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-520.02%
OCF growth 3YN/A
OCF growth 5YN/A
PENNYMAC MORTGAGE INVESTMENT / PMT FAQ
What is the ChartMill fundamental rating of PENNYMAC MORTGAGE INVESTMENT (PMT) stock?
ChartMill assigns a fundamental rating of 3 / 10 to PMT.
What is the valuation status of PENNYMAC MORTGAGE INVESTMENT (PMT) stock?
ChartMill assigns a valuation rating of 3 / 10 to PENNYMAC MORTGAGE INVESTMENT (PMT). This can be considered as Overvalued.
How profitable is PENNYMAC MORTGAGE INVESTMENT (PMT) stock?
PENNYMAC MORTGAGE INVESTMENT (PMT) has a profitability rating of 3 / 10.
What is the valuation of PENNYMAC MORTGAGE INVESTMENT based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PENNYMAC MORTGAGE INVESTMENT (PMT) is 13.92 and the Price/Book (PB) ratio is 0.59.
How sustainable is the dividend of PENNYMAC MORTGAGE INVESTMENT (PMT) stock?
The dividend rating of PENNYMAC MORTGAGE INVESTMENT (PMT) is 5 / 10 and the dividend payout ratio is 227.39%.