WallStSmart

PennyMac Finl Svcs Inc (PFSI)vsUWM Holdings Corp (UWMC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PennyMac Finl Svcs Inc generates 0% more annual revenue ($3.46B vs $3.46B). PFSI leads profitability with a 14.5% profit margin vs 0.8%. PFSI trades at a lower P/E of 9.3x. UWMC earns a higher WallStSmart Score of 62/100 (C+).

PFSI

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 6.0Value: 4.7Quality: 3.3
Piotroski: 3/9

UWMC

Buy

62

out of 100

Grade: C+

Growth: 5.3Profit: 6.0Value: 7.7Quality: 3.8
Piotroski: 4/9Altman Z: -0.23
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PFSISignificantly Overvalued (-25.3%)

Margin of Safety

-25.3%

Fair Value

$72.17

Current Price

$86.43

$14.26 premium

UndervaluedFair: $72.17Overvalued
UWMCUndervalued (+16.9%)

Margin of Safety

+16.9%

Fair Value

$5.62

Current Price

$3.53

$2.09 discount

UndervaluedFair: $5.62Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PFSI2 strengths · Avg: 10.0/10
P/E RatioValuation
9.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

UWMC1 strengths · Avg: 10.0/10
Operating MarginProfitability
31.0%10/10

Strong operational efficiency at 31.0%

Areas to Watch

PFSI4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.6%4/10

0.6% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.672/10

Expensive relative to growth rate

Free Cash FlowQuality
$-1.64B2/10

Negative free cash flow — burning cash

UWMC4 concerns · Avg: 3.8/10
P/E RatioValuation
30.1x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
3.0%4/10

3.0% revenue growth

EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : PFSI

The strongest argument for PFSI centers on P/E Ratio, Price/Book.

Bull Case : UWMC

The strongest argument for UWMC centers on Operating Margin.

Bear Case : PFSI

The primary concerns for PFSI are EPS Growth, Piotroski F-Score, PEG Ratio. Debt-to-equity of 5.35 is elevated, increasing financial risk.

Bear Case : UWMC

The primary concerns for UWMC are P/E Ratio, Revenue Growth, EPS Growth. Thin 0.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

UWMC carries more volatility with a beta of 1.94 — expect wider price swings.

PFSI is growing revenue faster at 5.1% — sustainability is the question.

UWMC generates stronger free cash flow (82M), providing more financial flexibility.

Monitor MORTGAGE FINANCE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PFSI scores higher overall (62/100 vs 62/100). UWMC offers better value entry with a 16.9% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

PennyMac Finl Svcs Inc

FINANCIAL SERVICES · MORTGAGE FINANCE · USA

PennyMac Financial Services, Inc. is engaged in investment management and mortgage banking activities in the United States. The company is headquartered in Westlake Village, California.

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UWM Holdings Corp

FINANCIAL SERVICES · MORTGAGE FINANCE · USA

UWM Holdings Corporation is engaged in the residential mortgage loan business in the United States. The company is headquartered in Pontiac, Michigan.

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