UWM (NYSE:UWMC) Trading 5% Higher – Should You Buy?

Shares of UWM Holdings Co. (NYSE:UWMC) shot up 5% on Monday . The stock traded as high as $6.56 and last traded at $6.60. 3,122,190 shares changed hands during mid-day trading, a decline of 9% from the average session volume of 3,437,238 shares. The stock had previously closed at $6.28.

Analyst Ratings Changes

Several research analysts have issued reports on the company. Wedbush reaffirmed a “neutral” rating and set a $6.50 price objective on shares of UWM in a report on Monday. Morgan Stanley decreased their price target on UWM from $7.50 to $6.50 and set an “equal weight” rating on the stock in a report on Thursday, December 19th. Keefe, Bruyette & Woods raised UWM from a “market perform” rating to an “outperform” rating and boosted their price objective for the stock from $6.50 to $7.50 in a report on Monday. Finally, The Goldman Sachs Group cut their target price on shares of UWM from $8.50 to $7.50 and set a “neutral” rating on the stock in a research report on Thursday, November 14th. One analyst has rated the stock with a sell rating, four have given a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $7.25.

UWM Price Performance

The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.40 and a current ratio of 1.40. The company has a market capitalization of $10.52 billion, a price-to-earnings ratio of -28.61 and a beta of 1.66. The company has a 50-day moving average price of $6.09 and a 200-day moving average price of $6.94.

UWM (NYSE:UWMC) last issued its quarterly earnings data on Wednesday, February 26th. The company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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. On average, equities research analysts expect that UWM Holdings Co. will post 0.2 EPS for the current fiscal year.

UWM Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, April 10th. Investors of record on Thursday, March 20th will be paid a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 6.08%. The ex-dividend date of this dividend is Thursday, March 20th. UWM’s payout ratio is presently 500.00%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in UWMC. HB Wealth Management LLC grew its position in shares of UWM by 23.0% in the 4th quarter. HB Wealth Management LLC now owns 14,053 shares of the company’s stock valued at $82,000 after purchasing an additional 2,631 shares during the period. Sherbrooke Park Advisers LLC boosted its holdings in shares of 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 during the period. Mariner LLC boosted its holdings in shares of 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 during the period. Victory Capital Management Inc. increased its position in shares of UWM by 20.7% during the fourth quarter. Victory Capital Management Inc. now owns 20,330 shares of the company’s stock worth $119,000 after acquiring an additional 3,488 shares in the last quarter. Finally, Price T Rowe Associates Inc. MD lifted its position in UWM by 13.6% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 29,477 shares of the company’s stock valued at $174,000 after acquiring an additional 3,524 shares in the last quarter. 53.59% of the stock is 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.