UWM (NYSE:UWMC) Stock Falls 4.3% – Here’s What Happened

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

Wall Street Analysts Forecast Growth

UWMC has been the topic of several recent research reports. Weiss Ratings cut UWM from a “sell (d+)” rating to a “sell (d)” rating in a research report on Tuesday, August 11th. Keefe, Bruyette & Woods downgraded 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. Morgan Stanley set a $1.50 target price on shares of UWM in a research report on Monday, October 12th. Citizens Jmp upgraded shares of UWM from a “market perform” rating to an “outperform” rating and set a $3.00 price target on the stock in a research note on Wednesday, July 29th. Finally, Stephens decreased their price target on shares of UWM from $3.00 to $2.00 and set an “equal weight” rating on the stock in a research note on Friday, August 7th. Four analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $3.76.

UWM Price Performance

The company’s fifty day moving average price is $1.31 and its 200 day moving average price is $2.20. The company has a market capitalization of $1.76 billion, a P/E ratio of -13.69 and a beta of 1.82. The company has a quick ratio of 1.64, a current ratio of 1.64 and a debt-to-equity ratio of 6.05.

UWM (NYSE:UWMC) last released 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). The business had revenue of $888.00 million during the quarter, compared to analyst estimates of $727.46 million. UWM had a negative net margin of 1.04% and a negative return on equity of 6.20%. As a group, sell-side analysts forecast that UWM Holdings Corporation will post -0.08 EPS for the current year.

Hedge Funds Weigh In On UWM

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Bank of America Corp DE grew its stake in UWM by 127.4% during the first quarter. Bank of America Corp DE now owns 6,969,809 shares of the company’s stock worth $25,231,000 after buying an additional 3,905,286 shares in the last quarter. Integrated Investment Consultants LLC increased its holdings in UWM by 0.5% in the 1st quarter. Integrated Investment Consultants LLC now owns 5,371,664 shares of the company’s stock valued at $19,445,000 after buying an additional 26,679 shares during the period. Bank of New York Mellon Corp bought a new position in UWM in the 2nd quarter valued at about $4,593,000. Squarepoint Ops LLC increased its holdings in UWM by 179.6% in the 2nd quarter. Squarepoint Ops LLC now owns 1,774,823 shares of the company’s stock valued at $4,064,000 after buying an additional 1,140,136 shares during the period. Finally, Signature Equity Partners LLC raised its position in shares of UWM by 20.5% in the 1st quarter. Signature Equity Partners LLC now owns 925,864 shares of the company’s stock valued at $3,352,000 after buying an additional 157,262 shares in the last quarter. 53.59% of the stock is owned by institutional investors and hedge funds.

UWM Company Profile

UWM Holdings Corporation, through its principal subsidiary United Wholesale Mortgage (UWM), operates as a wholesale mortgage lender in the United States. The company provides residential mortgage loans through a network of independent mortgage brokers, who work directly with borrowers and submit applications to UWM for underwriting and funding.

UWM offers a range of home loan products, including conventional, government-backed, jumbo and other residential mortgage programs. Its platform also provides brokers with technology, loan processing, underwriting and closing services designed to support the origination of mortgages for home purchases and refinancings.

United Wholesale Mortgage traces its history to 1986 and is headquartered in Pontiac, Michigan.