Realization of MSR cash flows increased by $7 million driven by higher average MSR values during the quarter. The firm has a fifty day simple moving average of $62.72 and a two-hundred day simple moving average of $56.17. Send an email to David Spector. 2004 - 2011. Again, we implemented meaningful expense savings and capacity reductions early and throughout 2022 given the anticipated significant decline in the overall market, and we took additional actions in the fourth quarter. Visit Website. Even as interest rates increased, the UPB of our production volume on a quarterly basis consistently represented 4% to 5% of the total servicing portfolio balance. Similarly, correspondent lock volume for PFSI's account was up 25% from the prior quarter. Text WORK to 235246 to opt in to mobile messages from the AFL-CIO. An investor who invested $10,000 in Warren Buffetts hedge fund at the beginning of 1957 saw his capital turn into $103,000 before fees and $64,100 after fees (this means Warren Buffett made more than $36,000 in fees from this investor). PennyMac Financial Services, Inc. (PFSI) Westlake Village, CA. Sign Up . Quarterly operating expenses in the fourth quarter were down 44% from average 2021 levels. Potential PennyMac Mortgage Investment Trust shareholders may wish to note that the Chairman of the Board & CEO, David Spector, recently bought US$274k worth of stock, paying US$13.71 for each share. Total production, including acquisitions made by PMT, was $109 billion in UPB. The growth of our servicing portfolio continues to differentiate PFSI from its competition, serving as an increasingly important asset, which I will discuss later on. The layoffs come as Pennymac ups its investment in technology and marketing to help it do more business directly with . We estimate that in 2022 we represented approximately 2% of the origination volume in the channel. PennyMac Loan Services, LLC CEO David Spector At a Glance. Our proprietary servicing technology provides us with significant operational scale and workflow efficiencies that enable us to adapt quickly to forthcoming market conditions and regulations while also providing quality service to our customers. Four research analysts have rated the stock with a hold rating and three have issued a buy rating to the stock. Servicing income, certain secondary market gains, layoffs and other cost-cutting did more to offset the impact of the marketwide originations slump at PennyMac Financial Services than analysts expected, but its second-quarter earnings still fell relative to comparable prior periods. In this role, David was responsible for credit risk management and residential mortgage lending. Bei der Nutzung unserer Websites und Apps verwenden wir, unsere Websites und Apps fr Sie bereitzustellen, Nutzer zu authentifizieren, Sicherheitsmanahmen anzuwenden und Spam und Missbrauch zu verhindern, und, Ihre Nutzung unserer Websites und Apps zu messen, personalisierte Werbung und Inhalte auf der Grundlage von Interessenprofilen anzuzeigen, die Effektivitt von personalisierten Anzeigen und Inhalten zu messen, sowie, unsere Produkte und Dienstleistungen zu entwickeln und zu verbessern. As Chairman & CEO of Pennymac Financial Services, Inc, David Spector has a total base salary of $1,000,000 . More than 15 years ago, we founded PennyMac with a vision to help revitalize the mortgage market and become a trusted partner in home ownership. Total Compensation for Fiscal Year Ending in 2021: $13,575,224. In total, David Spector has made about 51 transactions over 8 years of their time at Pennymac Financial Services, Inc. Revenue per fallout-adjusted lock for PFSIs own account was 55 basis points in the fourth quarter, down from 99 basis points in the prior quarter driven by lower volumes in Consumer Direct and lower overall margins. So while PFSIs ROE is projected to trend towards its pre-COVID range during 2023, I remain confident in our ability to continue delivering strong financial performance as the market returns to more normalized conditions over time. Access the headquarters listing for Pennymac Loan Services, LLC. While 2022 was a challenging year for the mortgage industry due to the rapid and significant increase in interest rates, our operating discipline combined with the meaningful actions we took throughout the year to right-size our business for a smaller origination market, led to strong financial performance. Overall production was solid in the fourth quarter with total production volumes down only 12% from the prior quarter, while industry volumes were down 34%, according to Inside Mortgage Finance. Acquisitions for PFSIs own account totaled $14 billion, up 15% from the prior quarter due to the acquisition of certain conventional loans from PMT in addition to government loans during the quarter. View David Spector's email address (d*****@pennym***.com) and phone number. The estimated net worth of David A. Spector is at least $27.68 million as of February 27th, 2023. Similarly, correspondent lock volume for PFSIs account was up 25% from the prior quarter. Mr. Spector owns 450,604 shares of PennyMac Financial Services stock worth more than $27,676,098 as of March 1st. We estimate the committed pipeline at January 31st was $800 million. This suggests a possible upside of 14.0% from the stock's current price. Purchases 3,191 Shares of Globe Life Inc. (NYSE:GL), Get a free copy of the StockNews.com research report on PennyMac Financial Services (PFSI), Hormel Hits 2-Year Low, And The Dip Gets Bought, Heres Why Ross Could Soon Be Hitting All Time Highs. Chief Credit Officer. While many industry participants have taken the appropriate steps to reduce capacity, it has been happening slowly and we believe overcapacity still remains. To that end, for the full year 2022, we returned over $460 million to stockholders through stock repurchases and dividends, and opportunistically raised $500 million in five-year term notes secured by Ginnie Mae MSRs at attractive rates. Finally, Barclays boosted their price target on shares of PennyMac Financial Services from $58.00 to $69.00 and gave the stock an equal weight rating in a research report on Friday, February 3rd. Your email address will not be published. While PennyMac Financial is not insulated from the challenges presented by todays mortgage market, I believe we are the best-positioned in the industry to continue executing with our balanced business model in 2023. David Spector's largest sale order was 59,634 units , worth over . While we believe the majority of expense management activities have been completed, we remain disciplined, continuing to rapidly adjust capacity levels relative to the size of the origination market, whether growing or contracting. In the same report you can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12-24 months. Average of 2,121 Customer Reviews. Prior to joining PennyMac Financial, Mr. Spector was co-head of global residential mortgages for Morgan Stanley, a global financial services firm, based . Warren Buffett has been investing and compounding for at least 65 years. stock awards of $1,688,936 , Conventional acquisitions for PMT's account totaled $6.8 billion, down from $10.2 billion in the prior quarter, as a result of the previously mentioned sales to PFSI. Get Directions. Alphabet Inc. Shares Bought by Capital Square LLC. COVID-19 has robbed us of a great leader, mentor and friend," said David Spector, President and CEO of PennyMac. In January, we estimate that correspondent acquisitions totaled $6.8 billion and locks totaled $6.1 billion. As you can guess, Warren Buffetts #1 wealth building strategy is to generate high returns in the 20% to 30% range. If you have questions about your subscription, feel free to contact our U.S. based support team via email at [email protected] or leave us a . (866) 549-3583. Company profile for PennyMac Financial Services Inc. including key executives, insider trading, ownership, revenue and average growth rates. Though profitability was down from last year, our strong financial performance enabled us to continue returning capital to shareholders while simultaneously positioning the company for success in the future. Plano, TX 75075-8413. Product | Founder. Importantly, the $650 million of Ginnie Mae MSR term notes due in August 2023 also contain an optional extension at PFSI's discretion. Mortgage lender Pennymac Financial Services has laid off an additional 32 employees in July. In the fourth quarter, PennyMac Financial delivered net income of $38 million, or $0.71 in earnings per share. Finally, our Investment Management segment delivered pretax income of $1.2 million, down from $1.6 million in the prior quarter. David A Spector is Chairman/CEO at Pennymac Mortgage Investment. David Spector Thank you, Dan. Companies. Finally, I believe this management team is the best in the industry and Id like to thank them all for their various contributions to PFSIs strong performance in 2022. The growth of our servicing portfolio continues to differentiate PFSI from its competition, serving as an increasingly important asset, which I will discuss later on. Turning to consumer direct, we estimate we accounted for approximately 1.2% of total originations in the channel over the last 12 months. Mr. David Spector, President/CEO; . PFSI's Board of Directors also declared a fourth quarter cash dividend of $0.20 per share. According to Black Knight, despite PennyMac's "two most senior executives" stating earlier this year that they looked forward to continuing to work together, PennyMac was not only secretly . This led to servicing portfolio growth of 8% for the year to more than $550 billion in UPB with nearly 2.3 million customers. We remained active in stock buybacks and in the fourth quarter we repurchased 1.1 million shares of PFSI common stock at an average price of $46.99 for an approximate cost of $51 million. While 2022 was a challenging year for the mortgage industry due to the rapid and significant increase in interest rates, our operating discipline combined with the meaningful actions we took throughout the year to right-size our business for a smaller origination market, led to strong financial performance. The shares were sold at an average price of $60.80, for a total transaction of $912,000.00. Though 2023 is expected to be another challenging year for the mortgage industry, I remain confident in PennyMac Financials ability to continue executing given its balanced business model and long history of generating stockholder value through different mortgage market cycles and environments. "Stan leaves an indelible mark not only on PennyMac, but on the mortgage industry he helped to build and shape. Required fields are marked *. Institutional investors own 67.03% of the companys stock. Anne McCallion, Director, On Wednesday, March 1st, David Spector sold 26,169 shares of PennyMac Financial Services stock. Additionally, higher short-term rates have driven strong earnings on custodial balances. In the last 8 years, insiders at Pennymac Financial Services, Inc have sold an estimated value of $316.31M Purchase lock volume for the quarter of $681 million was 40% of total locks, compared to $1.37 billion, or 36% in the prior quarter. PennyMac Mortgage Investment Trust. The company earned $129.2 million between April and June, down from $173.6 million in the prior quarter and $204 . Since then, we have grown responsibly and profitably into one of the largest residential mortgage producers and servicers in the country with an industry-leading correspondent production business, and a growing presence in the direct lending channels. PFSI's Board of Directors also declared a fourth quarter cash dividend of $0.20 per share. The impact of this tax rate change was negative $0.22 in earnings per share. Receive News & Ratings for PennyMac Financial Services Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for PennyMac Financial Services and related companies with MarketBeat.com's FREE daily email newsletter. PennyMac Financial Services, Inc. (NYSE:PFSI) Q4 2022 Earnings Conference Call February 2, 2023 5:30 PM ET, Isaac Garden - Vice President, Investor Relations, David Spector - Chairman & Chief Executive Officer, Dan Perotti - Senior Managing Director & Chief Financial Officer. Earnings on custodial balances and deposits and other income increased $17 million. Segment revenue was $9.9 million, down 4% from the prior quarter. Search our database of over 100 million company and executive profiles. | 3 Mrz 2023. Ill now turn it over to Dan who will review PFSIs financial results for the quarter. PennyMac Financial Services, Inc. has a 12 month low of $38.53 and a 12 month high of $73.79. and Farhad Nanji, Director Pennymac's servicing segment pretax income was $225.2 million in the first quarter, up from $126.1 million in the . Thank you. In the fourth quarter, PennyMac Financial delivered net income of $38 million, or $0.71 in earnings per share. Last quarter, we completed the roll out of POWER+, our next generation technology platform providing brokers with the tools they need to successfully grow their businesses and convert leads into loans. "While production activity fell in 2022 our servicing earnings were strong," PennyMac Chairman and Chief Executive David Spector said in a statement.