UWM (NYSE:UWMC) Releases Earnings Results

UWM (NYSE:UWMC) posted its quarterly earnings results on Thursday. The company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.06), Zacks reports. The business had revenue of $843.25 million for the quarter, compared to the consensus estimate of $651.51 million. UWM had a negative return on equity of 5.56% and a net margin of 0.48%.

UWM Stock Down 9.7%

Shares of UWMC stock traded down $0.55 during trading hours on Thursday, reaching $5.11. The company had a trading volume of 20,819,709 shares, compared to its average volume of 6,700,093. UWM has a 12 month low of $3.80 and a 12 month high of $7.14. The company has a debt-to-equity ratio of 1.85, a current ratio of 1.55 and a quick ratio of 1.55. The business has a fifty day simple moving average of $5.93 and a 200-day simple moving average of $4.96. The company has a market cap of $8.17 billion, a price-to-earnings ratio of -102.20 and a beta of 1.79.

UWM Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, January 8th. Investors of record on Thursday, December 18th will be given a $0.10 dividend. The ex-dividend date of this dividend is Thursday, December 18th. This represents a $0.40 annualized dividend and a yield of 7.8%. UWM’s dividend payout ratio (DPR) is presently -800.00%.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the stock. Barclays increased their target price on shares of UWM from $6.00 to $7.00 and gave the stock an “overweight” rating in a research note on Monday, October 6th. Wall Street Zen raised shares of UWM from a “strong sell” rating to a “hold” rating in a research report on Saturday, August 9th. Keefe, Bruyette & Woods cut shares of UWM from an “outperform” rating to a “market perform” rating and cut their price objective for the stock from $6.50 to $4.50 in a research report on Thursday, July 10th. UBS Group increased their price target on UWM from $4.50 to $5.50 and gave the stock a “neutral” rating in a report on Friday, October 10th. Finally, BTIG Research reiterated a “buy” rating and issued a $10.00 price target on shares of UWM in a report on Monday, September 22nd. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, UWM currently has an average rating of “Hold” and a consensus target price of $6.46.

Insider Buying and Selling at UWM

In other UWM news, CEO Ishbia Mat sold 596,356 shares of the firm’s stock in a transaction on Monday, September 15th. The stock was sold at an average price of $6.84, for a total transaction of $4,079,075.04. Following the transaction, the chief executive officer directly owned 6,705,072 shares in the company, valued at approximately $45,862,692.48. This trade represents a 8.17% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders sold a total of 19,716,748 shares of company stock valued at $114,935,484 in the last 90 days. 87.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in UWMC. Dynamic Technology Lab Private Ltd bought a new position in shares of UWM during the first quarter valued at about $92,000. Focus Partners Wealth bought a new position in shares of UWM during the 1st quarter worth approximately $55,000. Cetera Investment Advisers lifted its position in shares of UWM by 20.5% during the 2nd quarter. Cetera Investment Advisers now owns 112,961 shares of the company’s stock worth $468,000 after buying an additional 19,239 shares in the last quarter. Legal & General Group Plc lifted its position in shares of UWM by 65.9% during the 2nd quarter. Legal & General Group Plc now owns 180,164 shares of the company’s stock worth $746,000 after buying an additional 71,555 shares in the last quarter. Finally, Rhumbline Advisers lifted its position in shares of UWM by 18.5% during the 2nd quarter. Rhumbline Advisers now owns 115,501 shares of the company’s stock worth $478,000 after buying an additional 18,034 shares in the last quarter. 53.59% of the stock is owned by institutional investors.

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.