UWM Sees Unusually High Options Volume (NYSE:UWMC)

UWM Holdings Corporation (NYSE:UWMC - Get Free Report) was the recipient of unusually large options trading activity on Tuesday. Investors bought 5,109 call options on the stock. This represents an increase of approximately 55% compared to the average volume of 3,296 call options.

Insider Buying and Selling

In other news, CEO Ishbia Mat sold 400,036 shares of the business's stock in a transaction dated 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 transaction, the chief executive officer now 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 transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 87.50% of the company's stock.

Hedge Funds Weigh In On UWM

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. 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 valued at $32,000 after buying an additional 2,958 shares in the last quarter. Sherbrooke Park Advisers LLC boosted its position in UWM by 17.4% in the fourth quarter. Sherbrooke Park Advisers LLC now owns 20,038 shares of the company's stock valued at $118,000 after buying an additional 2,975 shares in the last quarter. Mariner LLC boosted its position in UWM by 5.1% in the fourth quarter. Mariner LLC now owns 64,455 shares of the company's stock valued at $378,000 after buying an additional 3,126 shares in the last quarter. Victory Capital Management Inc. boosted its position in UWM by 20.7% in the fourth quarter. Victory Capital Management Inc. now owns 20,330 shares of the company's stock valued at $119,000 after buying an additional 3,488 shares in the last quarter. Finally, Price T Rowe Associates Inc. MD boosted its position in UWM by 13.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 29,477 shares of the company's stock valued at $174,000 after buying an additional 3,524 shares in the last quarter. 53.59% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

UWMC has been the topic of several research reports. UBS Group upgraded shares of UWM from a "sell" rating to a "neutral" rating and dropped their price objective for the stock from $4.75 to $4.50 in a report on Wednesday, April 16th. Keefe, Bruyette & Woods dropped their price objective on shares of UWM from $7.50 to $6.50 and set an "outperform" rating on the stock in a report on Wednesday, May 7th. The Goldman Sachs Group dropped their price objective on shares of UWM from $7.00 to $6.00 and set a "neutral" rating on the stock in a report on Wednesday, May 7th. Finally, Wedbush restated a "neutral" rating and set a $6.50 price objective on shares of UWM in a report on Monday, March 3rd. Five investment analysts have rated the stock with a hold rating and two have given a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $6.86.

UWM Price Performance

NYSE UWMC traded up $0.08 during trading on Friday, reaching $4.05. 10,970,538 shares of the company traded hands, compared to its average volume of 3,586,211. The company has a debt-to-equity ratio of 1.87, a quick ratio of 1.50 and a current ratio of 1.50. The stock's 50 day moving average price is $4.29 and its two-hundred day moving average price is $5.36. The company has a market cap of $6.47 billion, a price-to-earnings ratio of -31.12 and a beta of 1.70. UWM has a 1-year low of $3.80 and a 1-year high of $9.74.

UWM (NYSE:UWMC - Get Free Report) last released its quarterly earnings results on Tuesday, May 6th. The company reported ($0.23) EPS for the quarter, missing analysts' consensus estimates of $0.06 by ($0.29). The firm had revenue of $613.37 million during the quarter, compared to analyst estimates of $558.80 million. UWM had a negative net margin of 0.36% and a negative return on equity of 3.86%. As a group, analysts anticipate that UWM will post 0.2 EPS for the current year.

UWM Announces Dividend

The company also recently declared 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. The ex-dividend date of this dividend is Wednesday, June 18th. This represents a $0.40 dividend on an annualized basis and a yield of 9.89%. UWM's dividend payout ratio (DPR) is presently -307.69%.

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.