PENNYMAC MORTGAGE INVESTMENT (PMT) Stock Fundamental Analysis
USA - NYSE:PMT - US70931T1034 - REIT
12.46 USD
+0.05 (+0.4%)
12.46 USD
0 (0%)
Taking everything into account, PMT scores 3 out of 10 in our fundamental rating. PMT was compared to 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
PMT had positive earnings in the past year.
In the past year PMT has reported a negative cash flow from operations.
PMT had positive earnings in 4 of the past 5 years.
In multiple years PMT reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a decent Return On Assets value of 0.43%, PMT is doing good in the industry, outperforming 64.71% of the companies in the same industry.
The Return On Equity of PMT (4.24%) is better than 67.65% of its industry peers.
PMT's Return On Invested Capital of 0.51% is fine compared to the rest of the industry. PMT outperforms 63.24% of its industry peers.
PMT had an Average Return On Invested Capital over the past 3 years of 0.94%. This 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
With a decent Profit Margin value of 7.09%, PMT is doing good in the industry, outperforming 64.71% of the companies in the same industry.
PMT's Profit Margin has declined in the last couple of years.
PMT has a Operating Margin (10.03%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PMT has declined.
The Gross Margin of PMT (17.95%) is comparable to the rest of the industry.
PMT's Gross Margin has declined in the last couple of years.
| 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
Compared to 1 year ago, PMT has more shares outstanding
The number of shares outstanding for PMT has been reduced compared to 5 years ago.
PMT has a worse debt/assets ratio than last year.
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.
A Debt/Equity ratio of 8.66 is on the high side and indicates that PMT has dependencies on debt financing.
PMT has a worse Debt to Equity ratio (8.66) than 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
A Current Ratio of 0.04 indicates that PMT may have some problems paying its short term obligations.
The Current ratio of PMT (0.04) is worse than 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.
PMT's Quick 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.
| 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%.
PMT shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -11.43% yearly.
Looking at the last year, PMT shows a quite strong growth in Revenue. The Revenue has grown by 9.82% in the last year.
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
The Earnings Per Share is expected to grow by 8.03% on average over the next years. This is quite good.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.69, PMT is valued correctly.
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.
A Price/Forward Earnings ratio of 7.53 indicates a rather cheap valuation of PMT.
PMT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PMT is cheaper than 73.53% of the companies in the same industry.
PMT is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| 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
With a Yearly Dividend Yield of 13.26%, PMT is a good candidate for dividend investing.
PMT's Dividend Yield is comparable with the industry average which is at 13.26.
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 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
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%.