UWM (NYSE:UWMC) Releases Quarterly Earnings Results, Beats Estimates By $0.03 EPS

UWM (NYSE:UWMC) announced its quarterly earnings data on Wednesday. The company reported $0.09 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.06 by $0.03, FiscalAI reports. UWM had a negative return on equity of 1.35% and a net margin of 0.87%.The firm had revenue of $901.43 million for the quarter, compared to analysts’ expectations of $707.88 million.

Here are the key takeaways from UWM’s conference call:

• UWM expects to complete the transition to in?house servicing this year, has already moved many loans from Cenlar and reports less than 100,000 loans remaining, citing partnerships (Black Knight, Bilt) and improved retention/lower servicing costs.
• The AI assistant Mia has been widely adopted—management cites roughly 80k–100k closings influenced over the past year, ~40% call pickup and strong refinance conversion rates that enhance broker retention and cross?sell.
• Management’s medium?term goal is to originate over $1.3 trillion in mortgages across the next five years while keeping expenses roughly flat, expecting margin leverage and an additional ~20–25% of revenue from ancillary products/AI initiatives.
• UWM continues to pursue Two Harbors for its MSR book and sees strategic value in the shareholders, but disputes with the target’s management/board and competing bids leave the deal outcome and timing uncertain.
• UWM rolled out VantageScore quickly after FHFA guidance, saying the change has already helped more borrowers qualify or receive better pricing and delivered immediate loan wins for brokers.

UWM Stock Performance

Shares of UWM stock traded up $0.06 on Wednesday, reaching $3.49. 49,367,885 shares of the company were exchanged, compared to its average volume of 11,913,958. The company has a debt-to-equity ratio of 2.64, a quick ratio of 1.52 and a current ratio of 1.52. The company’s 50-day moving average is $3.80 and its two-hundred day moving average is $4.74. The firm has a market cap of $5.58 billion, a price-to-earnings ratio of 58.08 and a beta of 1.78. UWM has a 1-year low of $3.38 and a 1-year high of $7.14.

UWM Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Thursday, June 18th will be given a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a dividend yield of 11.5%. The ex-dividend date is Thursday, June 18th. UWM’s dividend payout ratio is presently 666.67%.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the company. Jefferies Financial Group set a $4.40 price objective on UWM in a research note on Wednesday, February 25th. Stephens assumed coverage on UWM in a research note on Friday, April 24th. They set an “equal weight” rating and a $4.00 price objective on the stock. Weiss Ratings cut UWM from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, March 27th. Barclays cut their price objective on UWM from $6.00 to $5.00 and set an “overweight” rating on the stock in a research note on Monday, April 6th. Finally, Argus upgraded UWM to a “hold” rating in a research note on Tuesday, March 31st. Three equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $5.99.

Trending Headlines about UWM

Here are the key news stories impacting UWM this week:

• Positive Sentiment: Q1 beat: UWM reported revenue of $901.4M and EPS $0.09, topping consensus and showing profit improvement — the core earnings/revenue surprise is the main catalyst lifting the stock. AP: Q1 Results
• Positive Sentiment: Dividend declared: Board approved a $0.10 quarterly dividend (annualized ~ $0.40) — yields cited near double-digit levels, which can attract income-focused buyers.
• Positive Sentiment: Management pushing on deal value: UWM publicly disputed Two Harbors’ characterization of UWMC’s revised offer, keeping the possibility of a higher bid or continued negotiation on the table (supports upside tied to M&A). BusinessWire: UWMC Responds
• Neutral Sentiment: Earnings call/transcript posted — read for management commentary on margins, mortgage volumes, share count and any guidance changes; these details will determine whether the beat is durable. SA: Earnings Call Transcript
• Negative Sentiment: CEO insider selling: CEO Mat Ishbia has executed multiple large Rule 10b5-1 sales (millions of shares over recent sessions), materially trimming his stake — this raises concerns about insider liquidity and can weigh on sentiment. SEC filing: SEC Form 4
• Negative Sentiment: Deal uncertainty: Two Harbors’ board rejected UWM’s revised $12.00 proposal and reaffirmed the CrossCountry transaction, lowering the odds of a friendly deal and removing a key potential re-rating catalyst. HousingWire: TWO rejects UWM
• Negative Sentiment: Unusual options flow: Large spike in put purchases (34,068 puts, ~262% above normal) signals elevated hedging or speculative bearish positioning that can amplify downside volatility.

Insider Buying and Selling at UWM

In other news, CEO Ishbia Mat sold 1,003,333 shares of the stock in a transaction that occurred on Wednesday, May 6th. The stock was sold at an average price of $3.66, for a total transaction of $3,672,198.78. Following the sale, the chief executive officer directly owned 1,992,421 shares in the company, valued at approximately $7,292,260.86. This represents a 33.49% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 32,166,663 shares of company stock worth $124,274,044. 80.30% of the stock is currently owned by corporate insiders.

Institutional Trading of UWM

Institutional investors and hedge funds have recently made changes to their positions in the stock. Allworth Financial LP raised its position in shares of UWM by 5,681.9% during the 3rd 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 period. Advisory Services Network LLC acquired a new stake in shares of UWM during the 3rd quarter worth approximately $38,000. Raymond James Financial Inc. acquired a new stake in shares of UWM during the 2nd quarter worth approximately $35,000. Focus Partners Wealth bought a new position in UWM in the 1st quarter worth approximately $55,000. Finally, Harvest Fund Management Co. Ltd bought a new position in UWM in the 3rd quarter worth approximately $62,000. 53.59% of the stock is currently 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.