UWM (NYSE:UWMC) Stock Price Up 9% – Should You Buy?

UWM Holdings Corporation (NYSE:UWMC) traded up 9% during mid-day trading on Monday . The stock traded as high as $1.39 and last traded at $1.3950. Approximately 14,340,949 shares changed hands during trading, a decline of 28% from the average daily volume of 19,839,209 shares. The stock had previously closed at $1.28.

Key Stories Impacting UWM

Here are the key news stories impacting UWM this week:

• Positive Sentiment: Keefe, Bruyette & Woods maintained an “outperform” rating while reducing its price target from $3.75 to $2.75. The revised target still implies substantial upside from recent trading levels and may have supported the stock. Benzinga article
• Positive Sentiment: UWM is seeking more than $500 million from Two Harbors following the failed acquisition, potentially providing a material recovery of losses associated with the terminated transaction. The outcome and timing remain uncertain. UWM seeks more than $500 million from Two Harbors
• Neutral Sentiment: UWM’s second-quarter earnings presentation indicated that the underlying mortgage business remained profitable, but results were heavily affected by a roughly $603 million hedge loss tied to the failed Two Harbors deal. Investors are likely focused on whether operating performance can improve while the company addresses its preferred financing. UWM 2026 second-quarter earnings presentation
• Negative Sentiment: Multiple law firms announced investigations into potential securities-law violations involving UWM. Although these announcements do not establish wrongdoing, they raise litigation, reputational, and potential financial risks and can weigh on investor sentiment. Kaplan Fox UWM investigation announcement Glancy Prongay UWM investigation announcement
• Negative Sentiment: An analysis argued that common shareholders may face a prolonged recovery because of elevated mortgage rates, planned insider selling, the hedge loss, and an Oaktree Capital preferred-stock raise. The company may need sustained profits, preferred-debt reduction, and restored capital returns before valuation improves materially. UWM recovery analysis

Analysts Set New Price Targets

Several research firms recently commented on UWMC. Keefe, Bruyette & Woods dropped their price target on UWM from $3.75 to $2.75 and set an “outperform” rating for the company in a research report on Monday. Citigroup upgraded UWM to an “outperform” rating in a research report on Wednesday, July 29th. Stephens lowered their price objective on UWM from $3.00 to $2.00 and set an “equal weight” rating for the company in a research note on Friday. Barclays dropped their target price on UWM from $4.00 to $2.00 and set an “overweight” rating for the company in a report on Friday. Finally, Morgan Stanley cut their target price on UWM from $5.00 to $3.00 and set an “equal weight” rating on the stock in a research report on Monday, July 20th. Six equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $4.01.

UWM Stock Up 8.2%

The company’s fifty day moving average price is $2.07 and its 200-day moving average price is $3.30. The stock has a market cap of $2.44 billion, a P/E ratio of -19.06 and a beta of 1.78. The company has a debt-to-equity ratio of 3.13, a quick ratio of 1.52 and a current ratio of 1.52.

UWM (NYSE:UWMC) last released its quarterly earnings results on Thursday, August 6th. The company reported ($0.23) EPS for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.30). The firm had revenue of $162.13 million for the quarter, compared to analysts’ expectations of $727.46 million. UWM had a negative return on equity of 5.61% and a negative net margin of 1.04%. Equities analysts forecast that UWM Holdings Corporation will post 0.24 EPS for the current year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Brandes Investment Partners LP bought a new position in UWM in the 4th quarter valued at $45,867,000. Azora Capital LP lifted its position in shares of UWM by 230.8% during the fourth quarter. Azora Capital LP now owns 11,296,053 shares of the company’s stock worth $49,477,000 after purchasing an additional 7,881,586 shares during the last quarter. Renaissance Technologies LLC bought a new stake in shares of UWM during the fourth quarter worth $21,580,000. First Trust Advisors LP purchased a new stake in shares of UWM during the fourth quarter valued at $19,303,000. Finally, Bank of America Corp DE boosted its stake in shares of UWM by 127.4% during the first quarter. Bank of America Corp DE now owns 6,969,809 shares of the company’s stock valued at $25,231,000 after purchasing an additional 3,905,286 shares during the period. Hedge funds and other institutional investors own 53.59% of the company’s stock.

About UWM

United Wholesale Mortgage (NYSE: UWMC) is a leading mortgage lender in the United States specializing in the wholesale channel. The company partners with independent mortgage brokers, community banks and credit unions to offer a full suite of residential mortgage products. Through its network of third-party originators, United Wholesale Mortgage underwrites, funds and closes loans, allowing its partners to focus on customer acquisition and service.

The company’s product offerings include conventional fixed- and adjustable-rate mortgages, Federal Housing Administration (FHA) loans, Veterans Affairs (VA) loans, U.S.