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MMI vs PMT

MMI
Marcus & Millichap, Inc.
BEARISH
Price
$28.01
Market Cap
$1.07B
Sector
Real Estate
AI Confidence
85%
PMT
PennyMac Mortgage Investment Trust
NEUTRAL
Price
$12.33
Market Cap
$1.08B
Sector
Real Estate
AI Confidence
85%

Valuation

P/E Ratio
MMI
--
PMT
12.45
Forward P/E
MMI
31.47
PMT
7.44
P/B Ratio
MMI
1.78
PMT
0.8
P/S Ratio
MMI
1.41
PMT
1.49
EV/EBITDA
MMI
-1093.29
PMT
--

Profitability

Gross Margin
MMI
37.7%
PMT
82.88%
Operating Margin
MMI
6.3%
PMT
21.1%
Profit Margin
MMI
-0.25%
PMT
17.73%
ROE
MMI
-0.31%
PMT
6.69%
ROA
MMI
-0.95%
PMT
0.71%

Growth

Revenue Growth
MMI
1.6%
PMT
1067.6%
Earnings Growth
MMI
56.9%
PMT
17.0%

Financial Health

Debt/Equity
MMI
0.13
PMT
10.14
Current Ratio
MMI
2.55
PMT
1.35
Quick Ratio
MMI
2.21
PMT
0.94

Dividends

Dividend Yield
MMI
1.79%
PMT
12.98%
Payout Ratio
MMI
135.14%
PMT
202.02%

AI Verdict

MMI BEARISH

MMI presents a contradictory profile with a stable Piotroski F-Score of 6/9 and a strong balance sheet, yet suffers from severe operational inefficiency. The company is currently unprofitable with negative net margins, ROE, and ROA, while revenue growth has stagnated at 1.60%. Most critically, the dividend is unsustainable with a payout ratio of 135.14%, indicating the company is paying out more than it earns. Combined with a bearish technical trend and negative insider sentiment, the outlook is poor.

Strengths
Very low Debt/Equity ratio (0.13)
Strong liquidity with a Current Ratio of 2.55
Stable Piotroski F-Score (6/9)
Risks
Unsustainable dividend payout ratio (135.14%)
Negative Profit Margin (-0.25%) and negative ROE/ROA
Stagnant year-over-year revenue growth (1.60%)
PMT NEUTRAL

PMT presents a classic 'value trap' profile, characterized by a weak Piotroski F-Score of 2/9 and an unsustainable dividend payout ratio of 202.02%. While the stock trades at a significant discount to its Graham Number ($18.56) and Intrinsic Value ($29.2), this valuation is offset by extreme leverage (Debt/Equity of 10.14) and a bearish technical trend. The company shows positive YoY earnings growth, but the historical earnings volatility and poor financial health scores suggest high risk despite the attractive entry price.

Strengths
Trading below book value (P/B 0.80)
Significant discount to Graham Number ($18.56) and Intrinsic Value ($29.2)
Low Forward P/E of 7.44 suggesting potential undervaluation
Risks
Unsustainable dividend payout ratio (202.02%)
Extreme financial leverage with Debt/Equity at 10.14
Very weak financial health as indicated by Piotroski F-Score (2/9)

Compare Another Pair

MMI vs PMT: Head-to-Head Comparison

This page compares Marcus & Millichap, Inc. (MMI) and PennyMac Mortgage Investment Trust (PMT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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