UWM (NYSE:UWMC) Reaches New 1-Year Low – Here’s Why

Shares of UWM Holdings Corporation (NYSE:UWMC) reached a new 52-week low during mid-day trading on Wednesday . The company traded as low as $1.98 and last traded at $2.0750, with a volume of 1718639 shares trading hands. The stock had previously closed at $2.06.

Analyst Upgrades and Downgrades

UWMC has been the subject of several analyst reports. Stephens began coverage on UWM in a research note on Friday, April 24th. They issued an “equal weight” rating and a $4.00 price objective for the company. Argus raised UWM to a “hold” rating in a research report on Tuesday, March 31st. Barclays decreased their price target on UWM from $5.00 to $4.00 and set an “overweight” rating for the company in a report on Tuesday. Keefe, Bruyette & Woods upgraded UWM from a “market perform” rating to an “outperform” rating and dropped their price objective for the company from $4.50 to $3.75 in a research note on Thursday, June 25th. Finally, Morgan Stanley set a $3.75 price objective on shares of UWM in a report on Thursday, June 25th. Four research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $4.89.

UWM Trading Down 0.7%

The company has a debt-to-equity ratio of 3.13, a current ratio of 1.52 and a quick ratio of 1.52. The company has a market capitalization of $3.28 billion, a P/E ratio of 7.61 and a beta of 1.76. The firm has a fifty day moving average price of $2.75 and a 200-day moving average price of $3.86.

UWM (NYSE:UWMC) last posted its quarterly earnings data on Wednesday, May 6th. The company reported $0.09 earnings per share for the quarter, topping the consensus estimate of $0.06 by $0.03. The business had revenue of $901.43 million for the quarter, compared to analysts’ expectations of $709.85 million. UWM had a return on equity of 19.01% and a net margin of 1.92%. On average, equities research analysts anticipate that UWM Holdings Corporation will post 0.36 earnings per share for the current year.

UWM Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 9th. Investors of record on Thursday, June 18th will be given a dividend of $0.10 per share. The ex-dividend date is Thursday, June 18th. This represents a $0.40 annualized dividend and a yield of 19.6%. UWM’s dividend payout ratio is presently 148.15%.

Insider Buying and Selling

In other UWM news, CEO Ishbia Mat sold 1,003,333 shares of the business’s stock in a transaction dated Friday, May 8th. The shares were 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 SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 14,936,894 shares of company stock valued at $54,956,828 over the last 90 days. Insiders own 80.30% of the company’s stock.

Institutional Trading of UWM

Large investors have recently bought and sold shares of the company. 180 Wealth Advisors LLC raised its stake in shares of UWM by 62.0% in the second quarter. 180 Wealth Advisors LLC now owns 482,521 shares of the company’s stock valued at $1,105,000 after buying an additional 184,694 shares during the period. CoreCap Advisors LLC grew its stake in shares of UWM by 2,453.8% during the 2nd quarter. CoreCap Advisors LLC now owns 51,332 shares of the company’s stock worth $118,000 after acquiring an additional 49,322 shares during the period. 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 worth $19,445,000 after acquiring an additional 26,679 shares during the last quarter. Bank of America Corp DE increased its holdings in UWM by 127.4% in the 1st quarter. Bank of America Corp DE now owns 6,969,809 shares of the company’s stock worth $25,231,000 after acquiring an additional 3,905,286 shares during the last quarter. Finally, Bull Harbor Capital LLC bought a new stake in UWM in the 1st quarter valued at about $45,000. 53.59% of the stock is owned by hedge funds and other institutional investors.

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.