UWM (NYSE:UWMC) Announces Earnings Results

UWM (NYSE:UWMC) released its quarterly earnings data on Wednesday. The company reported ($0.23) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.30), Zacks reports. UWM had a return on equity of 19.01% and a net margin of 1.92%.

UWM Price Performance

NYSE UWMC traded down $0.13 during trading hours on Wednesday, hitting $1.82. 19,475,171 shares of the company’s stock traded hands, compared to its average volume of 15,638,250. The company has a market capitalization of $2.92 billion, a PE ratio of 6.75 and a beta of 1.78. The company has a debt-to-equity ratio of 3.13, a current ratio of 1.52 and a quick ratio of 1.52. UWM has a 52-week low of $1.72 and a 52-week high of $7.14. The firm’s 50-day moving average is $2.20 and its 200-day moving average is $3.43.

Analysts Set New Price Targets

A number of analysts recently issued reports on UWMC shares. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $5.50 price target on shares of UWM in a report on Thursday, May 7th. Citigroup upgraded shares of UWM to an “outperform” rating in a research report on Wednesday, July 29th. Keefe, Bruyette & Woods upgraded UWM from a “market perform” rating to an “outperform” rating and dropped their target price for the company from $4.50 to $3.75 in a research report on Thursday, June 25th. Morgan Stanley cut their price target on UWM from $5.00 to $3.00 and set an “equal weight” rating for the company in a research note on Monday, July 20th. Finally, BTIG Research reaffirmed a “buy” rating and issued a $4.00 price target on shares of UWM in a report on Wednesday, June 24th. Six analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $4.65.

Insider Activity at UWM

In related news, CEO Ishbia Mat sold 1,003,333 shares of the stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $3.39, for a total value of $3,401,298.87. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 80.30% of the company’s stock.

Institutional Trading of UWM

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Allworth Financial LP increased its position in UWM by 5,681.9% during the third quarter. Allworth Financial LP now owns 4,163 shares of the company’s stock worth $25,000 after purchasing an additional 4,091 shares during the last quarter. Advisory Services Network LLC purchased a new stake in UWM in the 3rd quarter valued at about $38,000. Raymond James Financial Inc. purchased a new stake in UWM in the 2nd quarter valued at about $35,000. Focus Partners Wealth acquired a new position in UWM in the first quarter valued at about $55,000. Finally, Harvest Fund Management Co. Ltd acquired a new position in UWM in the third quarter valued at about $62,000. 53.59% of the stock is owned by institutional investors and hedge funds.

About UWM

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.