UBS Keeps Neutral Rating on PennyMac Mortgage Investment Trust - Preferred Stock (PMTW)
UBS Coverage: UBS has maintained a Neutral recommendation for PennyMac Mortgage Investment Trust - Preferred Stock (NYSE:PMTW) as of October 24, 2025.
Price Target Forecast: The average one-year price target for PMTW is $27.72/share, indicating an 8.00% upside from its latest closing price of $25.67/share.
Projected Earnings: The projected annual non-GAAP EPS for PennyMac Mortgage Investment Trust is 1.25.
Shareholder Holdings: Notable shareholders include Virtus InfraCap U.S. Preferred Stock ETF with 46K shares and AAM Low Duration Preferred and Income Securities ETF with 11K shares.
Trade with 70% Backtested Accuracy
Analyst Views on PMTW
No data
About the author
PennyMac Mortgage Investment Trust (PMT): Assessing Valuation Following Impressive Earnings Performance and 22.7% Revenue Increase
Strong Quarterly Performance: PennyMac Mortgage Investment Trust (PMT) reported a 23% year-on-year revenue increase, surpassing Wall Street estimates for earnings and net interest income, which has positively influenced investor sentiment.
Valuation Insights: The current share price of $12.70 is below the fair value estimate of $13.43, raising questions about whether PMT is undervalued or if future growth is already priced in, especially given the challenges of falling revenues and rising profitability.
Operational Efficiency and Risks: PMT's digital transformation and ability to create securitizations are expected to enhance net margins, but ongoing interest rate volatility and reliance on non-agency securitizations pose risks to book value and investor confidence.
Investment Opportunities: The article suggests exploring various stock screening options for undervalued stocks, early-stage growth potential, and AI penny stocks, while emphasizing that the analysis is not financial advice and does not account for individual financial situations.
Shares of Commerce Bancshares, Bank of Hawaii, SouthState, and PennyMac Mortgage Investment Trust Surge: Key Information You Should Know
Market Reaction to Fed Comments: Stocks surged after New York Fed President John Williams hinted at potential interest rate cuts, increasing the likelihood of a December rate reduction from 39% to over 73%.
Stock Performance Highlights: Regional banks like Commerce Bancshares, Bank of Hawaii, and SouthState saw notable gains of around 2.7% to 2.8% following the Fed's comments, indicating positive market sentiment.
Commerce Bancshares Financials: Despite a recent stock rally, Commerce Bancshares reported disappointing third-quarter earnings, missing revenue and earnings estimates, and is down 12% year-to-date.
Emerging Investment Opportunities: The article suggests that current market conditions may present buying opportunities for high-quality stocks, particularly in the AI semiconductor sector, which is gaining attention.
