And with that, I would like to turn it back to David for some closing remarks. All of these workflow and technology investments will improve the experience for the consumer and for the broker, improve productivity, specifically in sales and operations, which will enable higher volumes at a reduced cost to originate. 2 job at Countrywide Financial to founding the pair of publicly traded companies known as PennyMac, has died at 68. JMP Securities lowered PennyMac Financial Services from an outperform rating to a market perform rating in a report on Wednesday, January 18th. Direct lending locks were up 13% from the prior quarter, total correspondent lock volume was up 9% and the servicing portfolio was up 6% from the end of the third quarter. Learn More on David A. Spector's salary. And we believe the role of a well capitalized correspondent aggregator like PennyMac will be increasingly important over time. 119504607, 119505929, 119506567, 119506570, 119507419. Co-op loans not available. In January, our correspondent acquisitions remained strong, with $17.9 billion in UPB of acquisitions and lock volume of $17.8 billion. Importantly, PennyMac retains the servicing rights and carries an option to repurchase these government-insured loans in the event they become eligible for redelivery into Ginnie Mae securities. Approve of CEO. Now I'd like to begin by introducing David Spector, PennyMac Financial's Chairman and Chief Executive Officer, who will review the company's second quarter 2021 results. While we experienced hedging losses in the quarter, the decrease was more than offset by PFSIs production income. The shares were sold at an average price of $60.80, for a total transaction of $912,000.00. PennyMac TPO Contact Information Principal Mr. David Spector, President/CEO Customer Contact Mr. David Spector, President/CEO Additional Contact Information Phone Numbers (702). Four analysts have rated the stock with a hold rating and three have assigned a buy rating to the companys stock. During 2020 we added over 2,000 employees to the PennyMac team to expand our workforce to more than 6,000. The barriers to entry for these businesses that require scale for success provide PFSI a strategic advantage over our competitors. Stanford Kurland, who went from being pushed out of the No. Our balanced business with our large and growing servicing portfolio also becomes an increasingly important component of our earnings as interest rates increase, and we believe this provides a competitive advantage relative to others when the industry's origination volumes return to more normalized levels. As you can see in greater detail on slide 21, EBO loan-related revenue increased significantly to $233.3 million as a result of continued loss mitigation activity with borrowers emerging from forbearance while related expenses were modest as most of the loans bought out returned to performing status immediately. Insiders at PennyMac Financial Services own 18.0% of the company. His leadership helped lay the foundation for PennyMacs long term success which included building and developing a deep management team that carries on his legacy. PennyMac CEO David Spector to serve as chairmen of its mortgage REIT, financial services The CEO of both PennyMac companies, David Spector (pictured), has added the chairman's title, filling the vacancies created by the death of founder Stanford Kurland. The company has a market cap of $3.09 billion, a price-to-earnings ratio of 7.36 and a beta of 1.49. Net assets under management totaled $2.3 billion as of December 31, up 1% from September 30. Stockholders of record on Tuesday, February 14th were given a dividend of $0.20 per share. We believe PennyMac Financial's business model with production from the correspondent, consumer direct and broker direct channels contributes to PennyMac Financial's profitability across different production environments. Direct lending locks were up 13% from the prior quarter, total correspondent lock volume was up 9% and the servicing portfolio was up 6% from the end of the third quarter. Net income in the fourth quarter was the second highest in the history of the company. Click here to check it out. PennyMac Loan Services, LLC Attention: Correspondence Unit PO Box 514387 Los Angeles, CA 90051-4387, Notice of Error and Information Requests Only. PennyMac remained the largest correspondent aggregator in the U.S. in the fourth quarter. While margins across channels have come in lower from the third quarter, we saw the shift in Government correspondent margins come in the most towards more normalized levels. We saw significant market share growth in the conventional correspondent market this quarter and our leadership position in government loans remains as a result of our consistency, low costs and operational excellence we continue to provide to our correspondents. Lastly, I would like to touch on the trends we are seeing related to forbearance and loss mitigation. Following the transaction, the chief executive officer now directly owns 650,183 shares in the company, valued at approximately $39,427,097.12. PennyMac Financial Services, Inc. (NYSE:PFSI Get Rating) CEO David Spector sold 26,169 shares of the firms stock in a transaction dated Wednesday, March 1st. January 25, 2021, 12:31 p.m. EST 1 Min Read. The results reflect performance of a strategy not historically offered to investors and does not represent returns that any investor actually attained. Thanks, Andy. The direct lending channels have an outsized impact on PFSI's production earnings, as Andy mentioned earlier. In January, our broker direct originations totaled $1.4 billion in UPB, and locks totaled $2.1 billion. View open jobs at this location. The Servicing segment offers servicing of originated mortgage loans and execution and management of early buyout transactions. In total, loan acquisition and origination volumes were $61 billion in the second quarter. DO NOT SEND PAYMENTS TO THIS ADDRESS. In total, these strong acquisition and origination volumes continue to drive the organic growth of our servicing portfolio despite elevated prepayment activity. #PennymacCaresVisit PENNYMAC.COM for details about how were assisting our family of customers during the COVID-19 crisis. David Spector's role in PennyMac Mortgage is Chairman & CEO, Director. Our higher-margin consumer direct lending channel continued to expand, producing record locked and funded volumes during the quarter, which we estimate has resulted in a significant increase in market share. The ongoing success can be attributed to the increased application of data analytics, our growing servicing portfolio and the investments we have made in the loan fulfillment and sales process. The price of the stock has decreased by 8.12% since. A number of research firms recently issued reports on PFSI. This was all done while the vast majority of our employees were working from home for most of the year. "I am delighted to announce Doug Jones' election to our. 18.5 million shares or approximately 24% of PFSI's common shares outstanding. The stock was sold at an average price of $58.12, for a total value of $741,030.00. The price of the stock has increased by 0.03% since. I am incredibly thankful and proud of the over 6,000 PennyMac employees who managed through the challenges of the pandemic to deliver these extraordinary results. 47.206 (3) & (4). Learn More on David A. Spector's trading history. Pennymac has 10 current employee profiles, including President and Chief Executive Officer David Spector. The PFSI's owned servicing portfolio, which consists primarily of Ginnie Mae MSRs, had a 60 day delinquency rate of 6.7%, down from 8.6% at the end of the prior quarter. David Spector, Chairman & CEO, Director at PennyMac Mortgage, holds 259.60K shares in PennyMac Mortgage (Ticker: PMT), holds 1.10M shares in PennyMac Financial (Ticker: PFSI). Please. Learn More about insider trades at PennyMac Financial Services. We issued $650 million in an inaugural senior unsecured note offering, raised funding capacity with our banking partners, and enhanced our existing Ginnie Mae MSR financing structure to include servicing advances. The TipRanks Smart Score performance is based on backtested results. 3043 Townsgate Rd Ste 200, Westlake Village, CA 91361-3027. Copyright 2023 Surperformance. The slides that accompany this discussion are available on PennyMac Financials website at ir.pennymacfinancial.com. Information, rates and pricing are subject to change without prior notice at the sole discretion of PennyMac Loan Services, LLC. General assumptions include: XYZ firm would have been able to purchase the securities recommended by the model and the markets were sufficiently liquid to permit all trading. North Carolina Permit No. We also remain very active repurchasing shares driven by our medium-term expectations for PFSI's return on equity. Our consumer direct lending division produced record origination and lock volumes again despite a smaller origination market in the second quarter. (03-2023). Roles that David Spector holds in companies, The most profitable trade made by David Spector, List of latest transactions for each holding click on a transaction to see David Spector's performance on stock. Government loan acquisitions in the quarter totaled $18.9 billion in UPB, up 11% from the prior quarter and up 14% from the fourth quarter of 2019. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. This net worth estimate does not reflect any other assets that Mr. Spector may own. 67.03% of the stock is currently owned by institutional investors and hedge funds. Revenue per fallout-adjusted government lock in the second quarter was 30 basis points, down from 37 basis points in the prior quarter. Interest rate lock volume was $5.7 billion in UPB, up 4% from the third quarter and 234% from the fourth quarter of 2019. StockNews.com raised PennyMac Financial Services from a sell rating to a hold rating in a report on Saturday, February 11th. Chang (pictured), who has been with PennyMac since 2008, will step down from his roles at the end of the year. On Wednesday, March 1st, David Spector sold 26,169 shares of PennyMac Financial Services stock. Wells Fargo & Company raised PennyMac Financial Services from an equal weight rating to an overweight rating and lifted their price objective for the company from $54.00 to $75.00 in a report on Tuesday, December 6th. Please disable your ad-blocker and refresh. Additionally, PFSI's Board of Directors approved an increase to its stock repurchase authorization from $1 billion to $2 billion. We are growing our best-in class tools and solutions we provide our brokers with to further enhance their self-service capabilities. Warning! David works at Pennymac Loan Services, Llc as Chief Investment Officer. Being one of the Find contact details for 700 million professionals. With PFSIs historical focus on purchase market originations combined with our large and growing servicing portfolio, we believe we are well-positioned to successfully grow share in all three of our production channels, driving an increase in our overall market position. Get a breakdown of the different strategies based on detected insider trading activity. Changes in these assumptions may have a material impact on the backtested returns presented. Schonfeld Strategic Advisors LLC now owns 60,866 shares of the real estate investment trusts stock worth $3,449,000 after purchasing an additional 54,266 shares during the last quarter. The firm engages in the production and servicing of U.S. residential mortgage loans. Our direct lending channels, which include both our consumer direct lending and broker direct lending, have experienced faster growth and are becoming much more significant contributors to PFSIs earnings profile. The shares were sold at an average price of $60.64, for a total value of $1,586,888.16. Operating revenue decreased $2 million from the prior quarter driven by declines in earnings on custodial balances. David served as President and Chief Investment Officer and President and Chief Operating Officer for PennyMac. Dan Perotti , PFSIs Senior Managing Director and Chief Financial Officer will discuss the financials in more detail later on in this discussion. The direct lending channels continued to have an outsized impact on PFSIs production earnings in the fourth quarter. In his role as President of PennyMac Financial, Mr. Jones is responsible for all business activities relating to the company's loan production and servicing operations. PennyMac Financial Services, Inc operates as a holding company. Advances are expected to continue increasing over the next 6 to 12 months. Susquehanna Fundamental Investments LLC now owns 85,385 shares of the real estate investment trusts stock worth $4,838,000 after purchasing an additional 16,980 shares during the last quarter. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. These strong production volumes again led to servicing portfolio growth despite continued elevated prepayment activity. Despite these currently elevated levels of competition, we continue to see opportunity in the channel over the long term and remain committed to providing our broker partners and the customers they serve a superior mortgage experience. All loan programs subject to borrowers meeting appropriate underwriting conditions. Based on data from MarketBeat.com, the company has a consensus rating of Hold and a consensus target price of $69.50. For any questions, please visit our website at ir.pennymacfinancial.com or call our Investor Relations department at 818-264-4907. While the Pennymac workforce stays. In July, our correspondent acquisitions were $15 billion in UPB and locks were $12.8 billion. Search over 700 Item 1.01 Entry into a Material Definitive Agreement. These businesses are foundational to PFSI and not easily replicated. And finally, PFSIs Board of Directors approved an increase to its stock repurchase authorization from $500 million to $1 billion of outstanding common stock. Actual performance may differ significantly from backtested performance. This concludes PennyMac Financial Services, Inc.s fourth quarter earnings discussion. David A. Spector is also on the board of 7 other companies. Previously, Mr. Spector served as PennyMac Financials President and Chief Operating Officer. This expertise and experience has served us well, enhancing our ability to help many borrowers affected by the COVID-19 pandemic. I will cover each segment's results and then briefly review our forbearance and servicing advance trends. This chart shows David Spector's buying and selling at PennyMac Financial Services by year and by quarter. Colorado office: 5500 South Quebec Street, Suite 260 Greenwood Village, CO 80111, (877) 215-2552. The number of approved brokers totaled 1,574, up 11% over the end of the third quarter. PennyMac Mortgage Investment Trust (NYSE:PMT) Q1 2021 Earnings Conference Call May 6, 2021 5:00 PM ETCompany Participants. The UPB of completed modifications was $5.5 billion, essentially unchanged from the prior quarter, and the UPB of EBO loan volume totaled $6.8 billion, up from $4.2 billion in the prior quarter. PennyMac Financial Services, Inc. (NYSE:PFSI) Q4 2020 Earnings Conference Call February 4, 2021 4:30 PM ET, Isaac Garden - Vice President Investor Relations, David Spector - President and Chief Executive Officer, Doug Jones - Chief Mortgage Banking Officer. While such a market would be smaller than 2020, it would represent a large origination market by historical standards. And we ended the quarter with a servicing portfolio of $473 billion in unpaid principal balance, approximately 4% of all residential mortgage debt in the United States. Pennymac Cares | Thank You from President & CEO, David Spector 108,081 views Apr 21, 2020 Right now, we realize the importance of home like never before. David Spector - Chairman and Chief . No P&I advances are outstanding as prepayment activity continued to sufficiently cover remittance obligations. He currently serves as a senior advisor to TPG Capital, a global private investment firm, and . GuruFocus has detected 5 severe warning signs with PennyMac Financial Services Inc. . So, from our home to yours, thank you! The UPB of completed modifications was $6.3 billion, up significantly from $4 billion last quarter and the UPB of EBO loan volume totaled $5 billion, also up significantly from last quarter as a result of the continued focus on loss mitigation activities. Finally, Barclays lifted their price objective on PennyMac Financial Services from $58.00 to $69.00 and gave the company an equal weight rating in a report on Friday, February 3rd. In the fourth quarter, the pretax income was $234.1 million, a 31% decrease from . PennyMac Financial Services can also be reached via phone at (818) 224-7442 and via email at pfsi_ir@pnmac.com. Backtested performance is not an indicator of future actual results. Mr. Spector earned a salary of $1,000,000.00, stock awards of $2,537,435.00, options awards of $1,101,254.00, non-equity compensation of $8,864,938.00, and other compensation of $71,597.00. Having difficulty making payments? Government correspondent locks were $15.7 billion, down 8% from the prior quarter and up 21% from the second quarter of 2020. With that, I will now turn the call over to Andy Chang, Senior Managing Director and Chief Operating Officer, who will review the mortgage origination landscape and the drivers of profitability for PFSI going forward. The percentage of profitable transactions made by David Spector is 44%. In our broker direct channel, we are focused on further reducing the length of our loan origination cycle via workflow enhancements and upgrades to our broker portal, POWER. Conventional correspondent acquisitions, for which PFSI earns a fulfillment fee from PMT, totaled $30.5 billion, down 10% from the prior quarter and up 61% from the second quarter of 2020. This high level of efficiency was largely due to our cloud-based, proprietary servicing system, otherwise known as SSE. I will review each segments results and then we will touch on our forbearance and servicing advance trends. PennyMac Financial Services' insider roster includes Anne Mccallion (Director), Farhad Nanji (Director), and David Spector (CEO). The corporate mailing address for Mr. Spector and other PennyMac Financial Services executives is 3043 TOWNSGATE ROAD, WESTLAKE VILLAGE CA, 91361. What is the percentage of profitable transactions made by David Spector? Director, 10% Owner Stanford L Kurland sold 31,000 shares of PFSI stock on 01/07/2021 at the average price of $60.12. For the complete insider trading history of PFSI, click here. Backtested results are calculated by the retroactive application of a model constructed on the basis of historical data and based on assumptions integral to the model which may or may not be testable and are subject to losses. Government correspondent locks were $19.7 billion in UPB, down 2% from the prior quarter and up 22% from the fourth quarter of 2019. Massachusetts Mortgage Lender License # MC35953. As you can see on slide 11, approximately $37 billion of portfolio runoff in the second quarter was more than offset by the addition of $61 billion in total production. The opportunity to grow these newer channels is exciting and provides PFSI a multi-channel, diversified and profitable production segment that will further grow the servicing portfolio with high quality assets. Please take a moment to watch a special video from our President and CEO, David Spector.