UWM (NYSE:UWMC) Hits New 12-Month Low After Analyst Downgrade

UWM Holdings Co. (NYSE:UWMC) shares hit 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 traded. The stock had previously closed at $5.64.

A number of other research firms have also weighed in on UWMC. Barclays raised shares of UWM from an “underweight” rating to an “equal weight” rating and boosted their price objective for the company from $6.00 to $8.00 in a research report on Tuesday, October 8th. UBS Group boosted their price target on UWM from $4.50 to $4.75 and gave the company a “sell” rating in a report on Thursday, September 5th. Keefe, Bruyette & Woods decreased their price objective on UWM from $9.00 to $7.00 and set a “market perform” rating on the stock in a report on Tuesday, December 10th. Finally, The Goldman Sachs Group dropped 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 equities research analyst has rated the stock with a sell rating, six have issued a hold rating and one has given a buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $7.28.

Institutional Investors Weigh In On UWM

A number of institutional investors have recently added to or reduced their stakes in UWMC. FMR LLC lifted its stake in shares of UWM by 24.5% in the 3rd quarter. FMR LLC now owns 10,218,728 shares of the company’s stock valued at $87,064,000 after purchasing an additional 2,010,985 shares in the last quarter. Philadelphia Financial Management of San Francisco LLC purchased a new position in UWM in the third quarter valued at approximately $21,797,000. Renaissance Technologies LLC lifted its position in UWM by 13.2% during the second quarter. Renaissance Technologies LLC now owns 1,712,900 shares of the company’s stock valued at $11,870,000 after buying an additional 199,900 shares in the last quarter. State Street Corp grew its stake in UWM by 5.0% during the third quarter. State Street Corp now owns 1,592,084 shares of the company’s stock worth $13,723,000 after buying an additional 76,221 shares during the period. Finally, Geode Capital Management LLC increased its position in shares of UWM by 2.7% in the third quarter. Geode Capital Management LLC now owns 1,546,818 shares of the company’s stock worth $13,183,000 after acquiring an additional 41,206 shares in the last quarter. Hedge funds and other institutional investors own 53.59% of the company’s stock.

UWM Stock Performance

The company has a current ratio of 1.40, a quick ratio of 1.40 and a debt-to-equity ratio of 1.06. The firm has a market cap of $9.40 billion, a PE ratio of -25.57 and a beta of 1.65. The stock’s 50 day moving average price is $6.40 and its 200 day moving average price is $7.51.

UWM Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 9th. Shareholders of record on Thursday, December 19th will be given a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 6.80%. The ex-dividend date 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.