PENNYMAC MORTGAGE INVESTMENT (PMT) Stock Fundamental Analysis
USA - NYSE:PMT - US70931T1034 - REIT
12.46 USD
+0.05 (+0.4%)
12.46 USD
0 (0%)
Overall PMT gets a fundamental rating of 3 out of 10. We evaluated PMT against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. There are concerns on the financial health of PMT while its profitability can be described as average. PMT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year PMT was profitable.
PMT had a negative operating cash flow in the past year.
Of the past 5 years PMT 4 years were profitable.
In multiple years PMT reported negative operating cash flow during the last 5 years.
1.2 Ratios
PMT's Return On Assets of 0.43% is fine compared to the rest of the industry. PMT outperforms 64.71% of its industry peers.
PMT has a better Return On Equity (4.24%) than 67.65% of its industry peers.
PMT has a better Return On Invested Capital (0.51%) than 63.24% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PMT is in line with the industry average of 1.19%.
| 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's Profit Margin of 7.09% is fine compared to the rest of the industry. PMT outperforms 64.71% of its industry peers.
PMT's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 10.03%, PMT is in line with its industry, outperforming 54.41% of the companies in the same industry.
PMT's Operating Margin has declined in the last couple of years.
PMT has a Gross Margin (17.95%) which is in line with 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.
Compared to 1 year ago, PMT has a worse debt to assets ratio.
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.
Looking at the Altman-Z score, with a value of -0.42, PMT is in line with its industry, outperforming 41.18% 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.
PMT has a Debt to Equity ratio of 8.66. This is in the lower half of the industry: PMT underperforms 73.53% 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.
PMT's Current ratio of 0.04 is on the low side compared to the rest of the industry. PMT is outperformed by 77.94% of its industry peers.
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.
The Quick ratio of PMT (0.04) is worse than 77.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
The earnings per share for PMT have decreased strongly by -33.09% in the last year.
PMT shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -11.43% yearly.
PMT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.82%.
Measured over the past years, PMT shows a small growth in Revenue. The Revenue has been growing by 5.93% on average per year.
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 8.03% 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-38.24%
EPS Next 2Y11.51%
EPS Next 3Y8.03%
EPS Next 5YN/A
Revenue Next Year-5.61%
Revenue Next 2Y10.73%
Revenue Next 3Y10.12%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
PMT is valuated correctly with a Price/Earnings ratio of 13.69.
Based on the Price/Earnings ratio, PMT is valued a bit cheaper than 63.24% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.89, PMT is valued a bit cheaper.
With a Price/Forward Earnings ratio of 7.53, the valuation of PMT can be described as very cheap.
Based on the Price/Forward Earnings ratio, PMT is valued a bit cheaper than the industry average as 73.53% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, PMT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.69 | ||
| Fwd PE | 7.53 |
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 2Y11.51%
EPS Next 3Y8.03%
5. Dividend
5.1 Amount
PMT has a Yearly Dividend Yield of 13.26%, which is a nice return.
Compared to an average industry Dividend Yield of 13.26, PMT has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, PMT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.26% |
5.2 History
The dividend of PMT has a limited annual growth rate of 0.26%.
PMT has been paying a dividend for at least 10 years, so it has 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
PMT pays out 227.39% of its income as dividend. 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 2Y11.51%
EPS Next 3Y8.03%
12.46
+0.05 (+0.4%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners70.53%
Inst Owner Change-0.81%
Ins Owners0.94%
Ins Owner Change0.24%
Market Cap1.08B
Revenue(TTM)1.12B
Net Income(TTM)79.68M
Analysts67.69
Price Target13.43 (7.78%)
Short Float %5.27%
Short Ratio5.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.26% |
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)0.64%
PT rev (3m)-1.86%
EPS NQ rev (1m)7.51%
EPS NQ rev (3m)7.03%
EPS NY rev (1m)19.61%
EPS NY rev (3m)-34.34%
Revenue NQ rev (1m)3.19%
Revenue NQ rev (3m)1.91%
Revenue NY rev (1m)-0.79%
Revenue NY rev (3m)-6.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.69 | ||
| Fwd PE | 7.53 | ||
| P/S | 0.96 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.91
EY7.3%
EPS(NY)1.65
Fwd EY13.27%
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-38.24%
EPS Next 2Y11.51%
EPS Next 3Y8.03%
EPS Next 5YN/A
Revenue 1Y (TTM)9.82%
Revenue growth 3Y13.1%
Revenue growth 5Y5.93%
Sales Q2Q%22.71%
Revenue Next Year-5.61%
Revenue Next 2Y10.73%
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 4 / 10 to PENNYMAC MORTGAGE INVESTMENT (PMT). This can be considered as Fairly Valued.
How profitable is PENNYMAC MORTGAGE INVESTMENT (PMT) stock?
PENNYMAC MORTGAGE INVESTMENT (PMT) has a profitability rating of 4 / 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 13.69 and the Price/Book (PB) ratio is 0.58.
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%.