Mortgage servicers cut at Wells Fargo

|By:, SA News Editor

An analysis of cash flow combined with continued regulatory issues has Wells Fargo cutting the nonbank mortgage servicers to Underweight from Market Weight, and Nationstar Mortgage (NYSE:NSM) and Walter Investment (NYSE:WAC) cut to Underperform from Market perform.

The team, however, keeps its Buy ratings on Home Loan Servicing (NASDAQ:HLSS) and PennyMac Financial (NYSE:PFSI).

NSM -1.5% premarket