UWM (NYSE:UWMC) Trading Up 6.6% – Still a Buy?

UWM Holdings Co. (NYSE:UWMC)’s stock price shot up 6.6% on Wednesday . The company traded as high as $5.55 and last traded at $5.71. 439,191 shares were traded during mid-day trading, a decline of 83% from the average session volume of 2,626,200 shares. The stock had previously closed at $5.35.

Analyst Upgrades and Downgrades

UWMC has been the subject of a number of analyst reports. Keefe, Bruyette & Woods raised UWM from a “market perform” rating to an “outperform” rating and lifted their price objective for the company from $6.50 to $7.50 in a report on Monday, March 3rd. Wedbush reissued a “neutral” rating and set a $6.50 price target on shares of UWM in a report on Monday, March 3rd. Finally, Morgan Stanley reduced their price target on shares of UWM from $7.50 to $6.50 and set an “equal weight” rating on the stock in a research report on Thursday, December 19th. One analyst has rated the stock with a sell rating, four have issued a hold rating and two have assigned a buy rating to the stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $7.25.

UWM Stock Performance

The stock’s 50 day simple moving average is $6.13 and its two-hundred day simple moving average is $6.46. The company has a market capitalization of $9.13 billion, a P/E ratio of -24.83 and a beta of 1.64. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.40 and a quick ratio of 1.40.

UWM (NYSE:UWMC) last posted its quarterly earnings data on Wednesday, February 26th. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.07 by ($0.06). The company had revenue of $560.21 million for the quarter, compared to analysts’ expectations of $645.75 million. As a group, research analysts expect that UWM Holdings Co. will post 0.2 earnings per share for the current year.

UWM Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, April 10th. Investors of record on Thursday, March 20th will be given a $0.10 dividend. The ex-dividend date of this dividend is Thursday, March 20th. This represents a $0.40 dividend on an annualized basis and a yield of 7.00%. UWM’s payout ratio is 500.00%.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in UWMC. Townsquare Capital LLC acquired a new stake in shares of UWM during the 4th quarter worth approximately $72,000. Sanctuary Advisors LLC bought a new position in UWM in the fourth quarter valued at approximately $77,000. HB Wealth Management LLC grew its holdings in UWM by 23.0% during the 4th quarter. HB Wealth Management LLC now owns 14,053 shares of the company’s stock worth $82,000 after acquiring an additional 2,631 shares during the period. Sei Investments Co. bought a new stake in shares of UWM during the 4th quarter valued at $82,000. Finally, Orion Portfolio Solutions LLC acquired a new position in shares of UWM in the 3rd quarter valued at $85,000. 53.59% of the stock is currently owned by institutional investors and hedge funds.

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.