PennyMac Financial (PFSI) Q1 Earnings and Revenues Lag Estimates

Core Viewpoint - PennyMac Financial (PFSI) reported quarterly earnings of $1.42 per share, significantly missing the Zacks Consensus Estimate of $2.99 per share, and down from $2.48 per share a year ago [1][2] Financial Performance - The earnings surprise for the quarter was -52.51%, with the company previously expected to post earnings of $3.05 per share but actually reporting $2.88 per share, resulting in a -5.57% surprise [2] - Revenues for the quarter were $430.9 million, missing the Zacks Consensus Estimate by 19.91%, compared to $305.66 million in the same quarter last year [3] - Over the last four quarters, the company has not been able to beat consensus revenue estimates [3] Stock Performance - PennyMac shares have declined approximately 7.8% since the beginning of the year, while the S&P 500 has decreased by 12.3% [4] - The current Zacks Rank for PennyMac is 4 (Sell), indicating expected underperformance in the near future [7] Future Outlook - The consensus EPS estimate for the upcoming quarter is $3.53 on revenues of $599.74 million, and for the current fiscal year, it is $13.57 on revenues of $2.4 billion [8] - The estimate revisions trend for PennyMac is currently unfavorable, which may impact future stock performance [7] Industry Context - The Financial - Mortgage & Related Services industry is currently ranked in the bottom 20% of over 250 Zacks industries, which may negatively affect stock performance [9]