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PennyMac Mortgage preferred shares trade at a discount, offering 10.15% yield with potential upside.

Analyst Insights
29 Oct 2026, 20:25 WIB
Seeking Alpha
View Source
Bullish
PennyMac Mortgage preferred shares trade at a discount, offering 10.15% yield with potential upside.

PennyMac Mortgage Investment Trust's Series A preferred shares (PMT-A) are trading at $20.02, well below their $25 call value, yielding about 10.15%. Despite a risk rating of 3 due to unique circumstances, the shares present an attractive buy opportunity with potential for price appreciation if dividends become floating. The analyst increased their position, viewing the current price drop as a chance to earn strong dividends and possible capital gains. Investors should weigh the risks but may find the yield and upside potential compelling at current prices.

PennyMac Mortgage Investment Trust's Series A preferred shares are noted here with Pluang's Financials sector data for context. Of 142 priced Financials-sector US stocks tradable on Pluang, 115 rose and 27 fell today. Notable movers include WULF at USD 12.95 with a 3.50% decline, SEZL at USD 134.47 up 3.43%, and RKT at USD 11.96 up 3.41%. Data as of Oct 29, 2026 23:51 WIB.

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