UWM (NYSE:UWMC) Sees Strong Trading Volume - Should You Buy?

UWM Holdings Corporation (NYSE:UWMC - Get Free Report) saw an uptick in trading volume on Tuesday . 7,329,863 shares traded hands during mid-day trading, an increase of 112% from the previous session's volume of 3,450,112 shares.The stock last traded at $4.00 and had previously closed at $4.10.

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. Wedbush reaffirmed a "neutral" rating and set a $6.50 target price on shares of UWM in a research note on Monday, March 3rd. The Goldman Sachs Group reduced their price objective on UWM from $7.00 to $6.00 and set a "neutral" rating for the company in a research report on Wednesday, May 7th. Keefe, Bruyette & Woods dropped their target price on UWM from $7.50 to $6.50 and set an "outperform" rating on the stock in a report on Wednesday, May 7th. Finally, UBS Group raised UWM from a "sell" rating to a "neutral" rating and cut their target price for the stock from $4.75 to $4.50 in a research note on Wednesday, April 16th. Five investment analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $6.86.

UWM Stock Performance

The company has a market capitalization of $6.47 billion, a PE ratio of -31.12 and a beta of 1.70. The company has a current ratio of 1.50, a quick ratio of 1.50 and a debt-to-equity ratio of 1.87. The business's fifty day moving average is $4.29 and its two-hundred day moving average is $5.36.

UWM (NYSE:UWMC - Get Free Report) last posted its quarterly earnings results on Tuesday, May 6th. The company reported ($0.23) earnings per share for the quarter, missing the consensus estimate of $0.06 by ($0.29). UWM had a negative return on equity of 3.86% and a negative net margin of 0.36%. The business had revenue of $613.37 million during the quarter, compared to analysts' expectations of $558.80 million. Equities research analysts predict that UWM Holdings Corporation will post 0.2 earnings per share for the current year.

UWM Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 10th. Shareholders of record on Wednesday, June 18th will be given a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a yield of 9.89%. The ex-dividend date is Wednesday, June 18th. UWM's dividend payout ratio (DPR) is -307.69%.

Insider Buying and Selling at UWM

In other UWM news, CEO Ishbia Mat sold 400,036 shares of the business's stock in a transaction on Tuesday, June 17th. The shares were sold at an average price of $3.99, for a total transaction of $1,596,143.64. Following the completion of the sale, the chief executive officer now directly owns 4,099,964 shares in the company, valued at approximately $16,358,856.36. The trade was a 8.89% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 87.50% of the company's stock.

Institutional Trading of UWM

Several large investors have recently modified their holdings of UWMC. GAMMA Investing LLC boosted its position in UWM by 101.8% in the first quarter. GAMMA Investing LLC now owns 5,863 shares of the company's stock worth $32,000 after purchasing an additional 2,958 shares during the last quarter. Signaturefd LLC lifted its stake in shares of UWM by 135.4% in the 1st quarter. Signaturefd LLC now owns 8,159 shares of the company's stock worth $45,000 after purchasing an additional 4,693 shares during the period. Quarry LP purchased a new position in shares of UWM in the first quarter worth approximately $53,000. Focus Partners Wealth bought a new stake in UWM during the first quarter valued at approximately $55,000. Finally, Independent Advisor Alliance purchased a new stake in UWM during the first quarter valued at approximately $58,000. Institutional investors own 53.59% of the company's stock.

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.