UWM (NYSE:UWMC) Reaches New 1-Year Low After Analyst Downgrade

UWM Holdings Co. (NYSE:UWMC) shares reached a new 52-week low on Thursday after Morgan Stanley lowered their price target on the stock from $7.50 to $6.50. Morgan Stanley currently has an equal weight rating on the stock. UWM traded as low as $5.57 and last traded at $5.65, with a volume of 309297 shares trading hands. The stock had previously closed at $5.64.

Several other analysts also recently weighed in on the company. Keefe, Bruyette & Woods lowered their target price on UWM from $9.00 to $7.00 and set a “market perform” rating for the company in a research note on Tuesday, December 10th. UBS Group raised their price objective on UWM from $4.50 to $4.75 and gave the company a “sell” rating in a research note on Thursday, September 5th. Barclays upgraded UWM from an “underweight” rating to an “equal weight” rating and lifted their price objective for the stock from $6.00 to $8.00 in a report on Tuesday, October 8th. Finally, The Goldman Sachs Group reduced their target price on UWM from $8.50 to $7.50 and set a “neutral” rating for the company in a research note on Thursday, November 14th. One investment analyst has rated the stock with a sell rating, six have given a hold rating and one has given a buy rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $7.28.

Hedge Funds Weigh In On UWM

Several institutional investors have recently modified their holdings of the company. International Assets Investment Management LLC bought a new stake in UWM during the 2nd quarter valued at $52,000. Xponance Inc. bought a new position in UWM in the 2nd quarter valued at about $76,000. Intech Investment Management LLC acquired a new position in UWM during the 2nd quarter valued at about $85,000. Orion Portfolio Solutions LLC bought a new stake in shares of UWM during the 3rd quarter worth about $85,000. Finally, McAdam LLC lifted its stake in shares of UWM by 16.0% in the 2nd quarter. McAdam LLC now owns 12,721 shares of the company’s stock worth $88,000 after acquiring an additional 1,758 shares during the period. Institutional investors own 53.59% of the company’s stock.

UWM Stock Up 4.1 %

The firm has a market capitalization of $9.40 billion, a P/E ratio of -25.57 and a beta of 1.65. The firm’s fifty day moving average price is $6.40 and its 200-day moving average price is $7.51. 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 Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, January 9th. Stockholders of record on Thursday, December 19th will be given a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 6.80%. The ex-dividend date of this dividend is Thursday, December 19th. UWM’s dividend payout ratio (DPR) is presently -173.91%.

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.