Built from weaker models, sales multiples or analyst targets, so treat it as a rough guide.
Not used by alerts or posts.
Valued as a REIT (property company): Price to FFO and Dividend discount.
ACCE opinionPennyMac Mortgage Investment Trust Common Shares of Beneficial Interest (PMT)
Fair value (2 models)
Not available
ACCE price target
$6.70
Rating
Not rated
Horizon
12 months
ACCE price target published on 15 Oct 2026, 00:00 CEST.
Price used: $7.04 at the close on 23 Oct 2026, 22:00 CEST.
Models: Dividend discount and Price to FFO.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
ACCE score
56
out of 100
Analysts
22% buy
9 covering
P/E
4.9x
forward 5.1x
1-year return
-43.9%
Dividend yield
22.82%
PennyMac Mortgage Investment Trust Common Shares of Beneficial Interest in four questions
Plain answers, details below
Free accounts get 5 full stock pages a month, including the four answers.
Overview
ACCE thesis
PennyMac Mortgage Investment Trust is a mortgage REIT whose income comes from two engines: a correspondent production business that buys newly originated residential loans from mortgage lenders and a mortgage servicing rights portfolio that collects fees on loans it services for others, plus a credit-sensitive investment portfolio of non-agency securities and loans. The model is cyclical by design, since production volumes and servicing values swing with mortgage rates and prepayment speeds, so the shares trade on whether the hedging book keeps earnings steady through a rate move. The current setup is a mid-cap REIT at a 4.9 trailing P/E and 8.4 forward P/E, against 6.1% revenue growth and an 8.9% ROE, which implies the market is pricing in earnings normalisation rather than a recovery in volumes. That gap, rather than any single product, is what justifies a closer look, but the 10.9% operating margin and 56/100 score leave little room for error, and the stock sits outside major index memberships, which limits passive demand.
⚠ Investor warnings · 3 flagsAI-assisted·How I use AI
high
Heavy leverage and negative FCF
Debt/Equity of 10.12 and free cash flow of -$7.2B signal a highly levered balance sheet. Position sizing should reflect that the trust depends on continued access to financing.
moderate
Short interest elevated
Short interest sits at 15.8% of float, meaning a meaningful share of holders are betting on a decline. That raises volatility risk around any negative news.
moderate
Quarter-on-quarter revenue drop
Revenue fell 12.2% quarter over quarter, even though year-over-year growth is 6.1%. The sequential decline is worth watching for a trend change.
AI research notes
AI-assisted·How I use AIWritten Oct 18, 2026 · figures from 2026-06-30 · prices to Oct 23, 2026
Why it could do well
Revenue grew 6.1% year over year, and the company reports a net margin of 24.3%.
At $6.92 the stock trades on a forward P/E of 8.4x, and a 22.7% dividend yield is on offer.
Analysts' mean price target of $10.61 sits 53.3% above the share price, and the ACCE price target is $6.70, 5.1% below the current price.
Why it could disappoint
Free cash flow over the last twelve months was negative at -$7.2B, so the dividend is not covered by cash generated.
Debt to equity of 10.12 leaves the balance sheet heavily leveraged, which magnifies losses in a downturn.
Only 22% of analysts rate the stock Buy or Strong Buy, and the latest quarter's earnings per share missed expectations by 23.3%.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.
Next results
Oct 29, 2026
We update the fair value about 2 days after the results, once the new figures are filed.Add to calendarGoogle
Walk me through this stock
Plain-English pros, cons, and what to watch. Pro feature.
PRO
Ask ACCE
Valuation
INVESTOR
Where PMT's valuation models land
Price
$7.04
Model fair valueConfidence: low
about $9.30
Model
Fair value
Upside
Dividend discount
Price to FFO
Create a free account: 5 full stock pages a month, no card.
See what each model says, the assumptions behind it, the bad, normal and good cases, and why the fair value changed.
Quality
INVESTOR
Quality and conviction INVESTOR FEATURE
The full quality picture: a reason under every score, how the scores moved, and the conviction breakdown.
+A plain reason under every score
+Conviction breakdown and growth / value / quality / momentum scores
Follow the informed money: 13F position changes, insider and Congress trades, and 13D activist filings.
+Quarter-over-quarter institutional position changes
+Every insider and Congress trade, with how late it was disclosed
+Active 13D activist filings and top holders
Compare
Where it sits vs peers
News and Record
Press releases mentioning this company
Recent performance
1 week
+1.7%
1 month
-19.4%
3 months
-27.7%
6 months
-41.9%
YTD
-43.9%
1 year
-43.9%
SEC filings
Recommendation history, last 12 months
Date
Type
New
Previous
Price
15 Oct 2026, 00:00 CEST
ACCE price target
$6.70
first publication
$7.04
29 Sept 2026, 00:00 CEST
Fair value
$9.78
$9.90
$8.33
22 Sept 2026, 00:00 CEST
Fair value
$9.90
$10.10
$8.80
19 Sept 2026, 00:00 CEST
Fair value
$10.10
$23.96
$8.94
15 Sept 2026, 00:00 CEST
Fair value
$23.96
$24.55
$9.17
12 Sept 2026, 00:00 CEST
Fair value
$24.55
$24.97
$9.17
19 Aug 2026, 00:00 CEST
Fair value
$24.97
$26.16
$9.59
14 Aug 2026, 00:00 CEST
Fair value
$26.16
$26.50
$9.45
7 Aug 2026, 00:00 CEST
Fair value
$26.50
$26.89
$9.43
1 Jul 2026, 00:00 CEST
Fair value
$26.89
first publication
$11.24
Price
-44.2% · 1Y
Ask anything about PMT
Answered from PennyMac Mortgage Investment Trust Common Shares of Beneficial Interest fundamentals + recent valuations. Every number shows its source and date.
This stock Peer Peer median weaker → stronger
P/Ebetter than 60% of peers
low 3.6x4.9xhigh 32.9x
ROEbetter than 67% of peers
low 0%9%high 16%
Div yieldbetter than 67% of peers
low 12.8%22.8%high 32.4%
Peers
Prices Oct 23, 2026
Company
Price
Fair value
vs fair value
P/E
ROE
Quality
Score
PMTPennyMac Mortgage Investment Trust Common Shares of Beneficial Interest