First Trust Advisors LP Has $2.94 Million Stock Position in UWM Holdings Corporation $UWMC

First Trust Advisors LP cut its holdings in shares of UWM Holdings Corporation (NYSE:UWMC) by 81.6% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 812,854 shares of the company’s stock after selling 3,594,182 shares during the quarter. First Trust Advisors LP’s holdings in UWM were worth $2,943,000 at the end of the most recent quarter.

A number of other large investors also recently made changes to their positions in the business. Vanguard Group Inc. boosted its holdings in shares of UWM by 9.7% during the fourth quarter. Vanguard Group Inc. now owns 18,959,442 shares of the company’s stock worth $83,042,000 after purchasing an additional 1,676,754 shares during the period. Azora Capital LP lifted its position in UWM by 230.8% in the 4th quarter. Azora Capital LP now owns 11,296,053 shares of the company’s stock worth $49,477,000 after buying an additional 7,881,586 shares in the last quarter. Brandes Investment Partners LP acquired a new stake in shares of UWM during the 4th quarter valued at $45,867,000. Balyasny Asset Management L.P. grew its holdings in shares of UWM by 116.6% during the 2nd quarter. Balyasny Asset Management L.P. now owns 5,991,072 shares of the company’s stock valued at $24,803,000 after acquiring an additional 3,224,806 shares in the last quarter. Finally, Bank of America Corp DE increased its stake in shares of UWM by 40.5% in the third quarter. Bank of America Corp DE now owns 5,279,523 shares of the company’s stock worth $32,152,000 after acquiring an additional 1,520,923 shares during the last quarter. Institutional investors and hedge funds own 53.59% of the company’s stock.

UWM Trading Down 35.1%

Shares of UWM stock opened at $1.20 on Friday. UWM Holdings Corporation has a 1 year low of $0.93 and a 1 year high of $7.14. The company’s fifty day simple moving average is $2.16 and its 200-day simple moving average is $3.40. The company has a market cap of $1.91 billion, a price-to-earnings ratio of -14.94 and a beta of 1.78. The company has a current ratio of 1.52, a quick ratio of 1.52 and a debt-to-equity ratio of 3.13.

UWM (NYSE:UWMC) last issued its quarterly earnings results on Thursday, August 6th. The company reported ($0.23) earnings per share for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.30). UWM had a negative net margin of 1.04% and a negative return on equity of 5.61%. The company had revenue of $888.00 million during the quarter, compared to the consensus estimate of $727.46 million. As a group, sell-side analysts expect that UWM Holdings Corporation will post 0.3 EPS for the current year.

Key UWM News

Here are the key news stories impacting UWM this week:

• Positive Sentiment: UWM announced a $2.05 billion strategic equity investment from the Ishbia family and Oaktree. Management said the funding should improve liquidity, support growth and help reduce its nonfunding debt-to-equity target to approximately 1.2x. UWM Announces Strategic Capital Partnership
• Positive Sentiment: Second-quarter revenue of $888.0 million exceeded the roughly $727.5 million analyst consensus, while loan origination volume reached $39.7 billion and adjusted EBITDA totaled $185.9 million. UWM Second-Quarter Results
• Neutral Sentiment: Unusually heavy options activity accompanied the selloff, with traders purchasing 26,964 call options—about 317% above average daily call volume. This may reflect speculative bullish positioning but does not change the company’s fundamentals.
• Negative Sentiment: UWM reported a $451.9 million net loss, or $0.23 per share, compared with expectations for $0.07 of earnings and $0.16 of EPS a year earlier. The sizable earnings miss overshadowed the revenue beat. UWM Q2 Loss and Revenue Results
• Negative Sentiment: The company suspended its dividend and is pursuing roughly $3 billion of total equity. Investors are concerned about the cost of the preferred-equity and warrant financing, as well as potential dilution to existing shareholders. UWM Preferreds, Warrants and Dilution
• Negative Sentiment: The capital actions signal that management is prioritizing liquidity and deleveraging over near-term shareholder returns. The combination of a dividend suspension, significant dilution risk and the quarterly loss brought the stock closer to its 52-week low. United Wholesale Mortgage Capital Raise

Analyst Ratings Changes

A number of research analysts have commented on the company. BTIG Research set a $2.00 target price on UWM in a research note on Friday. Weiss Ratings downgraded UWM from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, June 15th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and issued a $5.50 target price on shares of UWM in a research note on Thursday, May 7th. Stephens initiated coverage on shares of UWM in a research note on Friday, April 24th. They set an “equal weight” rating and a $4.00 price target on the stock. Finally, Citigroup upgraded shares of UWM to an “outperform” rating in a report on Wednesday, July 29th. Six equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $4.47.

UWM Profile

United Wholesale Mortgage (NYSE: UWMC) is a leading mortgage lender in the United States specializing in the wholesale channel. The company partners with independent mortgage brokers, community banks and credit unions to offer a full suite of residential mortgage products. Through its network of third-party originators, United Wholesale Mortgage underwrites, funds and closes loans, allowing its partners to focus on customer acquisition and service.

The company’s product offerings include conventional fixed- and adjustable-rate mortgages, Federal Housing Administration (FHA) loans, Veterans Affairs (VA) loans, U.S.