UWM Holdings Corporation $UWMC Shares Sold by Vanguard Group Inc.

Key Points

• Vanguard Group Inc. reduced its stake in UWM Holdings Corporation by 7.8%, selling 923,206 shares in the first quarter, leaving it with approximately 10.84 million shares valued at about $59.2 million.
• UWM announced a quarterly dividend of $0.10 per share, which equates to a 6.9% annual yield; the dividend will be paid on October 9th.
• Recent analyst ratings have varied, with some upgrades and downgrades; currently, the stock has a consensus rating of "Hold" and an average target price of $5.54.

Vanguard Group Inc. cut its holdings in UWM Holdings Corporation (NYSE:UWMC - Free Report) by 7.8% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 10,841,704 shares of the company's stock after selling 923,206 shares during the period. Vanguard Group Inc. owned approximately 0.68% of UWM worth $59,196,000 at the end of the most recent reporting period.

Other large investors have also added to or reduced their stakes in the company. First Trust Advisors LP increased its holdings in shares of UWM by 886.9% during the fourth quarter. First Trust Advisors LP now owns 3,727,477 shares of the company's stock valued at $21,880,000 after acquiring an additional 3,349,779 shares in the last quarter. Basswood Capital Management L.L.C. bought a new position in UWM during the fourth quarter valued at $6,602,000. Voloridge Investment Management LLC increased its position in UWM by 9.9% during the fourth quarter. Voloridge Investment Management LLC now owns 699,778 shares of the company's stock valued at $4,108,000 after acquiring an additional 62,978 shares during the last quarter. Cubist Systematic Strategies LLC grew its holdings in shares of UWM by 26.2% in the fourth quarter. Cubist Systematic Strategies LLC now owns 539,650 shares of the company's stock worth $3,168,000 after purchasing an additional 112,158 shares during the last quarter. Finally, Carrera Capital Advisors grew its position in shares of UWM by 139.0% during the 1st quarter. Carrera Capital Advisors now owns 481,370 shares of the company's stock worth $2,677,000 after buying an additional 279,996 shares in the last quarter. Institutional investors own 53.59% of the company's stock.

Insider Activity

In other news, CEO Ishbia Mat sold 400,036 shares of the firm's stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $5.68, for a total transaction of $2,272,204.48. Following the sale, the chief executive officer owned 1,298,200 shares in the company, valued at $7,373,776. This trade represents a 23.56% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders sold a total of 12,001,080 shares of company stock worth $54,528,907 in the last 90 days. 87.50% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

Several research firms have recently commented on UWMC. Keefe, Bruyette & Woods lowered UWM from an "outperform" rating to a "market perform" rating and reduced their price target for the stock from $6.50 to $4.50 in a research report on Thursday, July 10th. Wall Street Zen upgraded shares of UWM from a "strong sell" rating to a "hold" rating in a research report on Saturday, August 9th. The Goldman Sachs Group reduced their price target on shares of UWM from $6.00 to $5.25 and set a "neutral" rating for the company in a research report on Wednesday, July 2nd. Finally, Barclays raised shares of UWM from an "equal weight" rating to an "overweight" rating and set a $6.00 target price on the stock in a research note on Tuesday, July 8th. One equities research analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $5.54.

UWM Stock Performance

NYSE:UWMC traded up $0.11 during trading hours on Friday, reaching $5.69. 7,868,479 shares of the company's stock were exchanged, compared to its average volume of 10,562,650. The company has a quick ratio of 1.55, a current ratio of 1.55 and a debt-to-equity ratio of 1.85. The firm has a market capitalization of $9.09 billion, a price-to-earnings ratio of -113.70 and a beta of 1.70. The company has a 50-day moving average of $4.62 and a 200 day moving average of $4.89. UWM Holdings Corporation has a 1-year low of $3.80 and a 1-year high of $9.45.

UWM (NYSE:UWMC - Get Free Report) last released its earnings results on Thursday, August 7th. The company reported $0.16 EPS for the quarter, beating analysts' consensus estimates of $0.06 by $0.10. UWM had a negative return on equity of 5.56% and a net margin of 0.48%.The company had revenue of $758.70 million during the quarter, compared to the consensus estimate of $621.60 million. Research analysts anticipate that UWM Holdings Corporation will post 0.2 EPS for the current year.

UWM Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 9th. Stockholders of record on Thursday, September 18th will be issued a dividend of $0.10 per share. The ex-dividend date is Thursday, September 18th. This represents a $0.40 annualized dividend and a dividend yield of 7.0%. UWM's dividend payout ratio (DPR) is -800.00%.

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.