WallStSmart

PennyMac Finl Svcs Inc (PFSI)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 2401% more annual revenue ($83.03B vs $3.32B). WFC leads profitability with a 27.2% profit margin vs 15.3%. WFC appears more attractively valued with a PEG of 1.66. WFC earns a higher WallStSmart Score of 76/100 (B+).

PFSI

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 6.0Value: 5.7Quality: 2.5
Piotroski: 3/9Altman Z: -0.01

WFC

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 5.7Quality: 3.0
Piotroski: 4/9Altman Z: -0.38

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PFSI2 strengths · Avg: 10.0/10
P/E RatioValuation
8.9x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$264.46B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
37.1%10/10

Strong operational efficiency at 37.1%

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

PFSI4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.672/10

Expensive relative to growth rate

Revenue GrowthGrowth
-16.6%2/10

Revenue declined 16.6%

Free Cash FlowQuality
$-1.25B2/10

Negative free cash flow — burning cash

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.382/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : PFSI

The strongest argument for PFSI centers on P/E Ratio, Price/Book. Profitability is solid with margins at 15.3% and operating margin at 14.6%.

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.2% and operating margin at 37.1%.

Bear Case : PFSI

The primary concerns for PFSI are Piotroski F-Score, PEG Ratio, Revenue Growth. Debt-to-equity of 3.98 is elevated, increasing financial risk.

Bear Case : WFC

The primary concerns for WFC are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Key Dynamics to Monitor

PFSI profiles as a declining stock while WFC is a mature play — different risk/reward profiles.

PFSI carries more volatility with a beta of 1.43 — expect wider price swings.

WFC is growing revenue faster at 9.5% — sustainability is the question.

WFC generates stronger free cash flow (9.1B), providing more financial flexibility.

Bottom Line

WFC scores higher overall (76/100 vs 54/100), backed by strong 27.2% margins. Both earn "Strong 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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Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

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