UWM Holdings Corporation (NYSE:UWMC) Receives $5.54 Consensus Target Price from Brokerages

Key Points

• UWM Holdings Corporation has received a consensus rating of "Hold" from six brokerages, with five analysts recommending a hold and one issuing a buy recommendation.
• CEO Ishbia Mat sold over 596,000 shares of UWM stock, reducing his stake by 7.55%, while insiders have sold a total of 14.5 million shares valued at about $71.9 million in the past three months.
• The company announced a quarterly dividend of $0.10, with a dividend yield of 6.0%, although it currently has a negative payout ratio.

Shares of UWM Holdings Corporation (NYSE:UWMC - Get Free Report) have been given a consensus recommendation of "Hold" by the six analysts that are currently covering the firm, MarketBeat reports. Five analysts have rated the stock with a hold rating and one has given a buy rating to the company. The average 12 month price objective among analysts that have issued ratings on the stock in the last year is $5.5417.

UWMC has been the topic of a number of recent analyst reports. Keefe, Bruyette & Woods downgraded shares of UWM from an "outperform" rating to a "market perform" rating and dropped their price target for the stock from $6.50 to $4.50 in a research report on Thursday, July 10th. Wall Street Zen raised shares of UWM from a "strong sell" rating to a "hold" rating in a research note on Saturday, August 9th. Barclays upgraded shares of UWM from an "equal weight" rating to an "overweight" rating and set a $6.00 price target on the stock in a research note on Tuesday, July 8th. Finally, The Goldman Sachs Group lowered their price target on UWM from $6.00 to $5.25 and set a "neutral" rating on the stock in a report on Wednesday, July 2nd.

Insider Activity at UWM

In other news, CEO Ishbia Mat sold 596,356 shares of the business's stock in a transaction that occurred on Wednesday, September 17th. The stock was sold at an average price of $6.81, for a total value of $4,061,184.36. Following the transaction, the chief executive officer directly owned 6,108,716 shares of the company's stock, valued at $41,600,355.96. The trade was a 8.89% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In the last 90 days, insiders have sold 14,793,956 shares of company stock valued at $74,342,355. 94.11% of the stock is currently owned by insiders.

Hedge Funds Weigh In On UWM

A number of institutional investors have recently bought and sold shares of the business. Cambridge Investment Research Advisors Inc. boosted its position in shares of UWM by 15.3% during the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 408,182 shares of the company's stock worth $2,229,000 after acquiring an additional 54,160 shares in the last quarter. Wealth Enhancement Advisory Services LLC raised its stake in shares of UWM by 112.5% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 118,720 shares of the company's stock worth $648,000 after purchasing an additional 62,862 shares during the last quarter. Sequoia Financial Advisors LLC purchased a new position in UWM in the 1st quarter valued at approximately $65,000. GAMMA Investing LLC grew its holdings in UWM by 101.8% during the 1st quarter. GAMMA Investing LLC now owns 5,863 shares of the company's stock valued at $32,000 after buying an additional 2,958 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank increased its position in shares of UWM by 42.3% during the 1st quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 25,845 shares of the company's stock valued at $141,000 after purchasing an additional 7,687 shares during the last quarter. Institutional investors and hedge funds own 53.59% of the company's stock.

UWM Trading Down 2.4%

Shares of NYSE UWMC traded down $0.16 during trading on Thursday, hitting $6.41. 14,707,430 shares of the company traded hands, compared to its average volume of 7,825,112. The company has a 50-day moving average price of $5.28 and a 200-day moving average price of $4.87. UWM has a 1 year low of $3.80 and a 1 year high of $8.73. 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 $10.25 billion, a P/E ratio of -128.20 and a beta of 1.75.

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 the consensus estimate 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 analysts' expectations of $621.60 million. On average, equities analysts predict that UWM will post 0.2 EPS for the current year.

UWM Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 9th. Shareholders of record on Thursday, September 18th will be issued a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a yield of 6.2%. The ex-dividend date of this dividend is Thursday, September 18th. UWM's payout ratio is presently -800.00%.

UWM Company Profile

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.