UWM (NYSE:UWMC) Trading 9% Higher - Here's What Happened

Key Points

• UWM shares rose 9% in Monday trading to approximately $1.395, with about 14.3 million shares changing hands.
• Analyst sentiment was mixed: several firms maintained or upgraded the stock, while others cut price targets. The consensus rating remains “Hold,” with a $4.01 average price target.
• UWM reported a quarterly loss of $0.23 per share versus expectations for $0.07 in earnings, while revenue of $162.13 million fell well short of the $727.46 million consensus estimate.

UWM Holdings Corporation (NYSE:UWMC - Get Free Report)'s stock price was up 9% during trading on Monday . The stock traded as high as $1.39 and last traded at $1.3950. Approximately 14,340,949 shares changed hands during trading, a decline of 28% from the average daily volume of 19,839,209 shares. The stock had previously closed at $1.28.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the company. Barclays restated an "overweight" rating and set a $2.00 target price on shares of UWM in a report on Friday. BTIG Research dropped their target price on shares of UWM from $4.00 to $2.00 and set a "buy" rating for the company in a report on Friday. Keefe, Bruyette & Woods reduced their price target on shares of UWM from $3.75 to $2.75 and set an "outperform" rating on the stock in a research report on Monday. 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, Citigroup raised shares of UWM to an "outperform" rating in a research report on Wednesday, July 29th. Six investment analysts have rated the stock with a Buy rating, six have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $4.01.

UWM Price Performance

The firm has a market cap of $2.22 billion, a PE ratio of -17.31 and a beta of 1.79. The company has a 50 day moving average price of $2.13 and a 200 day moving average price of $3.36. The company has a debt-to-equity ratio of 3.13, a current ratio of 1.52 and a quick ratio of 1.52.

UWM (NYSE:UWMC - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.23) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.30). UWM had a negative return on equity of 5.61% and a negative net margin of 1.04%.The firm had revenue of $162.13 million for the quarter, compared to analysts' expectations of $727.46 million. Sell-side analysts expect that UWM Holdings Corporation will post 0.3 EPS for the current fiscal year.

Hedge Funds Weigh In On UWM

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Allworth Financial LP lifted its holdings in shares of UWM by 5,681.9% in the third quarter. Allworth Financial LP now owns 4,163 shares of the company's stock valued at $25,000 after purchasing an additional 4,091 shares in the last quarter. Advisory Services Network LLC purchased a new stake in UWM in the 3rd quarter valued at about $38,000. Raymond James Financial Inc. purchased a new position in UWM during the second quarter worth approximately $35,000. Farther Finance Advisors LLC boosted its holdings in UWM by 1,410.7% in the fourth quarter. Farther Finance Advisors LLC now owns 8,596 shares of the company's stock valued at $38,000 after acquiring an additional 8,027 shares during the last quarter. Finally, Focus Partners Wealth acquired a new position in shares of UWM in the 1st quarter valued at about $55,000. 53.59% of the stock is owned by institutional investors and hedge funds.

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.

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