Earnings Per Share of Common Stock (Tables)

12 Months Ended

Dec. 31, 2018

Earnings Per Share of Common Stock

Summary of basic and diluted earnings per share calculations

	Year ended December 31,
	2018		2017		2016
	(in thousands, except per share data)
Basic earnings per share of common stock:
Net income attributable to common stockholders	$	87,694	$	100,757	$	66,079
Weighted average shares of common stock outstanding		33,524		23,199		22,161
Basic earnings per share of common stock	$	2.62	$	4.34	$	2.98
Diluted earnings per share of common stock:
Net income attributable to common stockholders	$	87,694	$	100,757	$	66,079
Net income attributable to dilutive stock-based compensation units		3,868		—		—
Net income attributable to PennyMac Class A units exchangeable to Class A common stock, net of income taxes		—		—		159,570
Net income attributable to common stockholders for diluted earnings per share	$	91,562	$	100,757	$	225,649
Weighted average shares of common stock outstanding applicable to basic earnings per share		33,524		23,199		22,161
Effect of dilutive shares:
Common shares issuable under stock-based compensation plan		1,798		1,800		517
PennyMac Class A units exchangeable to Class A common stock		—		—		53,951
Weighted average shares of common stock applicable to diluted earnings per share		35,322		24,999		76,629
Diluted earnings per share of common stock	$	2.59	$	4.03	$	2.94

Schedule of anti-dilutive shares outstanding

	Year ended December 31,
	2018			2017		2016
	(in thousands, except exercise price data)
Performance-based RSUs (1)			1,084		497		2,054
Time-based RSUs			3		—		—
Stock options (2)			740		1,323		1,829
Exchangeable PNMAC Class A units (3)			43,700		53,299		—
Total anti-dilutive stock-based compensation and PNMAC Class A units			45,527		55,119		3,883
Weighted average exercise price of anti-dilutive stock options (2)		$	17.81	$	16.40	$	15.81

(1) Certain performance-based RSUs were outstanding but not included in the computation of earnings per share because the performance thresholds included in such RSUs have not been achieved.

(2) Certain stock options were outstanding but not included in the computation of diluted earnings per share because the weighted-average exercise prices were above the average stock prices during the year.

Exchangeable PNMAC units were anti-dilutive during 2017 primarily due to the effect of adoption of the Tax Act on earnings attributable to PNMAC unitholders.