PennyMac Mortgage Investment Trust (PMT) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of PennyMac Mortgage Investment Trust stock $16.79, price $7.85, upside +113.9%, quality 47 out of 100. Rating: strongly undervalued. Calculated from audited financials with 5 of our 26 valuation models and 37 quality factors, updated daily.
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PennyMac Mortgage Investment Trust
PMT · USThe stock costs 53% less than our calculation considers fair.
What runs behind every stock
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 4, 2026.
How to read this chart
60‑month range $6.75 – $13.35 · fair‑value band $16.29 – $17.92 · the $7.85 price screens below the $16.79 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 4, 2026.
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Company profile
PennyMac Mortgage Investment Trust, through its subsidiary, primarily invests in residential mortgage-related assets in the United States. The company operates through: Credit Sensitive Strategies, Interest Rate Sensitive Strategies, and Correspondent Production segments.
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The Credit Sensitive Strategies segment invests in credit risk transfer (CRT) agreements and subordinate and credit-linked mortgage-backed securities (MBS). The Interest Rate Sensitive Strategies segment engages in investing in mortgage servicing rights, agency and senior non-agency MBS, and collateralized mortgage obligations (CMOs), as well as interest rate hedging activities.
The Correspondent Production segment is involved in purchasing, pooling, and reselling newly originated prime credit quality loans directly or in the form of MBS. The company primarily sells its loans to government-sponsored enterprises.
It has elected to be taxed as a real estate investment trust (REIT). It is not subject to U.S. federal income tax on the REIT taxable income it distributes to its shareholders. PennyMac Mortgage Investment Trust was incorporated in 2009 and is headquartered in Westlake Village, California.
Stock analysis
PennyMac Mortgage Investment Trust (PMT) currently trades at $7.85, while our model-based Fair Value estimate is $16.79, implying the stock looks roughly 53% undervalued today.
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Valuation
Bull case: the Dividend Discount group reads highest at a median of $25.65 per share, and 4 of the 4 models we run sit above the $7.85 price.
Bear case: the Economic Profit group reads lowest at $16.79, and 0 of the 4 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $16.29 (bear) to $17.92 (bull), the price of $7.85 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 47/100 (below-average quality), in the Real Estate sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
PennyMac Mortgage Investment Trust reported revenue of $1.7B in FY2025 versus $82.8M in FY2021, a compound +114.2%/yr. Reported net income was $128M in FY2025, compounding +22.5%/yr from FY2021.
Key figures
Market cap $685M Small · P/E ratio 5.2 · P/S ratio 0.38 · EPS (TTM) $1.44 · Net margin 7.3% · Return on equity 4.5% · Return on assets (EBIT) 2.1% (5-year average) · Operating margin 10.9%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 44 out of 100 (low confidence).
What moves the price
The share trades about 41% below its 52-week high and 16% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Real Estate peers we cover trades at 56% fair-value upside, at 114%, PMT screens cheaper than that median.
Fair Value models
All 5 models by family
Quality Score breakdown
It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.
Insider trades
In the last 6 months, one officer or director sold shares worth $83,650 and none bought.
- SaleGregory L HendryChief Accounting Officer4× since Aug 3, 2026: 9,775 shares, avg. $8.56$83,650Nov 2, 202610b5-1 plan
- BuyDavid SpectorChairman and CEO, Director10,000 shares at $12.40$124,000Nov 17, 2025
- Plan buyCatherine A. LynchDirector1,451 shares at $13.24$19,207Jan 23, 2026
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Source: SEC Form 4, as of Nov 6, 2026. All filings at the SEC ↗
Revenue & earnings trend
Watch PMT, get fair value alerts →
Recent news
- PennyMac Mortgage Investment Trust (PMT) Stock Fair Value Edges Lower As Analysts Turn Cautious
- Pennymac mortgage investment trust projects $0.38 run rate return potential over next 4 quarters as it plans 4Q dividend reduction
- PennyMac Mortgage (PMT) Tops Q3 Earnings Estimates
- PennyMac Mortgage: Q3 Earnings Snapshot
Compare PennyMac Mortgage Investment Trust with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.REIT - Mortgage · 31 stocks
Valuation Multiplesvs REIT - Mortgage median · lower = cheaper
Strength profile in five axes (Snowflake)
HEALTH: for banks, insurers and similar financial firms borrowed money is part of the business, so we do not rate debt here.
Context: sector, industry, market
- Is the Financials sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- P/B ratio by industry
- Net margin by industry
- Stock screener with 62 metrics
- Undervalued stocks: US Stocks
- Valuation of the USA market
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more REIT - Mortgage stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value | Compare |
|---|---|---|---|---|
| MFA Financial, Inc MFA | $6.21 | $14.69 | +137% | vs PMT |
| AGNC Investment Corp AGNC | $8.78 | $18.66 | +113% | vs PMT |
| Starwood Property Trust, Inc STWD | $12.05 | $25.00 | +107% | vs PMT |
| Orchid Island Capital, Inc ORC | $4.94 | $8.77 | +78% | vs PMT |
| ARMOUR Residential REIT, Inc ARR | $12.60 | $19.59 | +56% | vs PMT |
| Rithm Capital Corp RITM | $9.23 | $13.14 | +42% | vs PMT |
| Annaly Capital Management, Inc NLY | $18.75 | $19.24 | +3% | vs PMT |
| Ellington Financial Inc EFC | $11.26 | $11.12 | −1% | vs PMT |
| Dynex Capital, Inc DX | $10.68 | $9.12 | −15% | vs PMT |
| Ladder Capital Corp LADR | $8.91 | $7.56 | −15% | vs PMT |
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Frequently asked questions
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Key figures of PennyMac Mortgage Investment Trust
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