PennyMac Financial price target raised to $93 from $90 at Piper Sandler

Piper Sandler raised the firm’s price target on PennyMac Financial to $93 from $90 and keeps an Overweight rating on the shares. Q3 was another good quarter for PennyMac as the company produced a 12%+ operating ROTE for the first time since 2021, the analyst tells investors in a research note. The firm noted that operating earnings were stronger than expected in the Servicing segment as the combination of a growing servicing portfolio and slightly higher interest income led to upbeat revenue.