UWM (NYSE:UWMC) Rating Lowered to "Sell" at Wall Street Zen

Key Points

• Wall Street Zen downgraded UWM to “sell” from “hold,” although analyst sentiment remains mixed: six analysts rate the stock a buy, six a hold and two a sell. The consensus rating is “hold,” with an average price target of $4.01.
• UWM shares opened at $1.59, well below their 50-day and 200-day moving averages of $2.00 and $3.23, respectively. The stock has traded between $0.93 and $7.14 over the past year.
• The company reported a quarterly loss of $0.23 per share, missing the $0.07 consensus estimate, while revenue of $162.13 million fell far short of analysts’ $727.46 million forecast.

UWM (NYSE:UWMC - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued to clients and investors on Saturday.

Other equities research analysts also recently issued reports about the company. Keefe, Bruyette & Woods lowered their price target on UWM from $3.75 to $2.75 and set an "outperform" rating for the company in a report on Monday, August 10th. BTIG Research cut their price objective on UWM from $4.00 to $2.00 and set a "buy" rating on the stock in a report on Friday, August 7th. Citigroup upgraded UWM to an "outperform" rating in a research report on Wednesday, July 29th. Citizens Jmp raised UWM from a "market perform" rating to an "outperform" rating and set a $3.00 target price for the company in a research note on Wednesday, July 29th. Finally, Morgan Stanley lowered their target price on UWM from $5.00 to $3.00 and set an "equal weight" rating for the company in a research note on Monday, July 20th. Six investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, UWM presently has a consensus rating of "Hold" and an average price target of $4.01.

UWM Price Performance

Shares of UWMC stock opened at $1.59 on Friday. The company has a quick ratio of 1.52, a current ratio of 1.64 and a debt-to-equity ratio of 6.05. UWM has a 12-month low of $0.93 and a 12-month high of $7.14. The firm has a fifty day moving average of $2.00 and a 200-day moving average of $3.23. The firm has a market capitalization of $2.55 billion, a price-to-earnings ratio of -19.94 and a beta of 1.78.

UWM (NYSE:UWMC - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The company reported ($0.23) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.30). The business had revenue of $162.13 million for the quarter, compared to analyst estimates of $727.46 million. UWM had a negative return on equity of 6.20% and a negative net margin of 1.04%. On average, equities research analysts forecast that UWM will post 0.24 earnings per share for the current year.

Institutional Investors Weigh In On UWM

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Dimensional Fund Advisors LP boosted its stake in shares of UWM by 4.4% during the 4th quarter. Dimensional Fund Advisors LP now owns 55,509 shares of the company's stock worth $243,000 after buying an additional 2,329 shares during the last quarter. Public Employees Retirement System of Ohio grew its holdings in shares of UWM by 4.9% in the 4th quarter. Public Employees Retirement System of Ohio now owns 51,423 shares of the company's stock valued at $225,000 after acquiring an additional 2,407 shares in the last quarter. Allworth Financial LP increased its position in shares of UWM by 62.5% in the fourth quarter. Allworth Financial LP now owns 6,765 shares of the company's stock valued at $30,000 after acquiring an additional 2,602 shares during the last quarter. Choreo LLC increased its position in shares of UWM by 16.1% in the fourth quarter. Choreo LLC now owns 19,017 shares of the company's stock valued at $84,000 after acquiring an additional 2,637 shares during the last quarter. Finally, Fortem Financial Group LLC raised its holdings in UWM by 29.5% during the fourth quarter. Fortem Financial Group LLC now owns 16,685 shares of the company's stock worth $73,000 after acquiring an additional 3,800 shares in the last quarter. 53.59% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about UWM

Here are the key news stories impacting UWM this week:

• Positive Sentiment: UWM is reportedly seeking a roughly $2 billion capital lifeline following a costly interest-rate hedging strategy. Additional funding could help strengthen liquidity and address shareholder concerns, although it may also come with significant financing costs or dilution. US mortgage giant UWM seeks $2B lifeline after disastrous interest-rate bet

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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