UWM (NYSE:UWMC) Shares Down 4.3% – Here’s Why

UWM Holdings Corporation (NYSE:UWMC)’s stock price dropped 4.3% on Monday. The stock traded as low as $0.9999 and last traded at $1.0050. 1,659,142 shares changed hands during mid-day trading, a decline of 91% from the average daily volume of 18,257,762 shares. The stock had previously closed at $1.05.

Wall Street Analyst Weigh In

UWMC has been the topic of a number of research reports. Citizens Jmp raised shares of UWM from a “market perform” rating to an “outperform” rating and set a $3.00 price objective on the stock in a report on Wednesday, July 29th. Keefe, Bruyette & Woods cut shares of UWM from an “outperform” rating to a “market perform” rating and set a $1.50 target price for the company. in a report on Wednesday, October 7th. Wall Street Zen downgraded shares of UWM from a “hold” rating to a “sell” rating in a research report on Saturday, August 15th. Weiss Ratings cut UWM from a “sell (d+)” rating to a “sell (d)” rating in a report on Tuesday, August 11th. Finally, Barclays lowered their target price on UWM from $4.00 to $2.00 and set an “overweight” rating on the stock in a research report on Friday, August 7th. Four investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $3.76.

UWM Stock Down 1.4%

The firm has a market capitalization of $1.66 billion, a PE ratio of -13.19 and a beta of 1.82. The company has a debt-to-equity ratio of 6.05, a quick ratio of 1.64 and a current ratio of 1.64. The company has a fifty day moving average price of $1.33 and a 200-day moving average price of $2.24.

UWM (NYSE:UWMC) last issued its quarterly earnings results on Thursday, August 6th. The company reported ($0.23) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.30). The company had revenue of $888.00 million during the quarter, compared to the consensus estimate of $727.46 million. UWM had a negative return on equity of 6.20% and a negative net margin of 1.04%. As a group, analysts expect that UWM Holdings Corporation will post -0.08 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Taylor & Morgan Wealth Management LLC boosted its position in UWM by 59.8% in the 3rd quarter. Taylor & Morgan Wealth Management LLC now owns 58,159 shares of the company’s stock valued at $69,000 after buying an additional 21,768 shares during the period. Wedmont Private Capital grew its stake in UWM by 270.4% in the 3rd quarter. Wedmont Private Capital now owns 76,926 shares of the company’s stock worth $84,000 after acquiring an additional 56,158 shares in the last quarter. Engineers Gate Manager LP purchased a new position in shares of UWM during the second quarter worth approximately $1,473,000. Squarepoint Ops LLC increased its position in shares of UWM by 179.6% during the second quarter. Squarepoint Ops LLC now owns 1,774,823 shares of the company’s stock worth $4,064,000 after acquiring an additional 1,140,136 shares during the period. Finally, Arizona State Retirement System raised its stake in shares of UWM by 56.4% during the second quarter. Arizona State Retirement System now owns 85,729 shares of the company’s stock valued at $196,000 after acquiring an additional 30,907 shares in the last quarter. 53.59% of the stock is currently owned by institutional investors.

UWM Company Profile

UWM Holdings Corporation, operating as United Wholesale Mortgage (UWM), is a wholesale mortgage lender headquartered in Pontiac, Michigan. The company provides home loan products and related services through a network of independent mortgage brokers, rather than originating loans primarily through direct-to-consumer channels.

UWM offers a range of residential mortgage products, including conventional, government-backed, jumbo and other home financing options. Its services are supported by digital technology and processing tools designed to help mortgage brokers submit, manage and close loans efficiently.

The company traces its roots to 1986 and serves borrowers throughout the United States through its broker partners.