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PennyMac Mortgage Investment Trust T.PMT


Primary Symbol: PMT Alternate Symbol(s):  PMT.PR.A | PMT.PR.B | PMT.PR.C | PMTU

PennyMac Mortgage Investment Trust is a specialty finance company. The Company invests primarily in mortgage-related assets. The Company conducts all its operations, and makes investments, through PennyMac Operating Partnership, L.P. and its subsidiaries. The Company's segments include credit sensitive strategies, interest rate sensitive strategies, correspondent production, and corporate. The credit sensitive strategies segment represents its investments in credit risk transfer (CRT) arrangements, subordinate mortgage-backed securities (MBS), distressed loans, and real estate. The interest rate sensitive strategies segment represents its investments in MSRs, excess servicing spread (ESS) purchased from PFSI, Agency and senior non-Agency MBS and the related interest rate hedging activities. The Correspondent Production segment serves as an intermediary between lenders and the capital markets by purchasing, pooling and reselling credit quality loans.


NYSE:PMT - Post by User

Comment by urekaon Oct 25, 2010 12:05pm
304 Views
Post# 17607423

RE: How low it can get ?

RE: How low it can get ?Very obvious they are paying out waaaaaay too much, debt markets have been good to them and may continue to be.
You look at the P & L and all can see what is going on.
They do have some good assets that could be sold in a pinch.
They will continue to make money on their financial instruments but on an operating basis it looks scary.
You could make a case for a suspension of the monthly payouts but that would cut the share value in half, don't think the company would like that.
In their news releases over the last few months mgt talks about "income received", so I guess they will report a profit early next month.
They still have some room on their LoC to pay the dividend.


JmyHO 
Bullboard Posts