UWM (NYSE:UWMC) Stock Price Down 3.9% – Here’s Why

UWM Holdings Co. (NYSE:UWMC)’s share price dropped 3.9% during mid-day trading on Friday . The stock traded as low as $7.53 and last traded at $7.55. Approximately 530,073 shares changed hands during trading, a decline of 69% from the average daily volume of 1,725,129 shares. The stock had previously closed at $7.86.

Analysts Set New Price Targets

UWMC has been the subject of a number of analyst reports. The Goldman Sachs Group boosted their price objective on shares of UWM from $7.50 to $8.50 and gave the company a “neutral” rating in a research report on Thursday, August 8th. Barclays lifted their price objective on UWM from $5.00 to $6.00 and gave the company an “underweight” rating in a research report on Tuesday, July 9th. Keefe, Bruyette & Woods raised their price target on UWM from $7.00 to $8.00 and gave the stock a “market perform” rating in a research note on Wednesday, August 7th. UBS Group increased their price objective on shares of UWM from $4.50 to $4.75 and gave the stock a “sell” rating in a report on Thursday, September 5th. Finally, BTIG Research upped their price target on shares of UWM from $8.00 to $10.00 and gave the stock a “buy” rating in a research report on Tuesday, August 6th. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $7.39.

UWM Stock Performance

The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 0.87. The firm has a market cap of $717.79 million, a PE ratio of 262.00 and a beta of 1.63. The stock’s 50 day moving average price is $8.78 and its 200 day moving average price is $7.64.

UWM (NYSE:UWMC) last issued its quarterly earnings data on Tuesday, August 6th. The company reported $0.04 EPS for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.02). The business had revenue of $507.09 million during the quarter, compared to the consensus estimate of $540.31 million. During the same quarter in the previous year, the company posted $0.11 EPS. As a group, equities analysts forecast that UWM Holdings Co. will post 0.27 earnings per share for the current fiscal year.

UWM Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 10th. Shareholders of record on Thursday, September 19th will be issued a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a yield of 5.33%. The ex-dividend date is Thursday, September 19th. UWM’s dividend payout ratio is presently 1,333.33%.

Insider Buying and Selling at UWM

In other news, CEO Ishbia Mat sold 1,200,000 shares of the company’s stock in a transaction on Monday, September 16th. The shares were sold at an average price of $8.45, for a total value of $10,140,000.00. Following the completion of the transaction, the chief executive officer now directly owns 171,520 shares in the company, valued at approximately $1,449,344. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 94.11% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of UWMC. Renaissance Technologies LLC raised its position in shares of UWM by 13.2% in the 2nd quarter. Renaissance Technologies LLC now owns 1,712,900 shares of the company’s stock valued at $11,870,000 after purchasing an additional 199,900 shares in the last quarter. Azora Capital LP acquired a new stake in UWM in the fourth quarter valued at $6,705,000. Bank of New York Mellon Corp boosted its stake in UWM by 4.3% during the 2nd quarter. Bank of New York Mellon Corp now owns 908,159 shares of the company’s stock valued at $6,294,000 after acquiring an additional 37,190 shares during the last quarter. Squarepoint Ops LLC grew its holdings in UWM by 24.5% during the 2nd quarter. Squarepoint Ops LLC now owns 342,322 shares of the company’s stock worth $2,372,000 after acquiring an additional 67,383 shares in the last quarter. Finally, Cambridge Investment Research Advisors Inc. increased its position in shares of UWM by 3.4% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 287,135 shares of the company’s stock worth $2,085,000 after purchasing an additional 9,555 shares during the last quarter. Hedge funds and other institutional investors own 53.59% of the company’s stock.

About UWM

UWM Holdings Corporation engages in the residential mortgage lending business in the United States. The company offers mortgage loans through wholesale channel. It originates primarily conforming and government loans. UWM Holdings Corporation was founded in 1986 and is headquartered in Pontiac, Michigan.