UWM (NYSE:UWMC) Stock Price Down 2% After Insider Selling

UWM Holdings Co. (NYSE:UWMC) shares fell 2% on Wednesday following insider selling activity. The stock traded as low as $8.76 and last traded at $8.76. 99,800 shares were traded during mid-day trading, a decline of 94% from the average session volume of 1,632,659 shares. The stock had previously closed at $8.94.

Specifically, CEO Ishbia Mat sold 1,200,000 shares of the company’s stock in a transaction dated Monday, September 16th. The shares were sold at an average price of $8.45, for a total transaction of $10,140,000.00. Following the sale, the chief executive officer now directly owns 171,520 shares in the company, valued at approximately $1,449,344. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Analysts Set New Price Targets

Several analysts have issued reports on UWMC shares. UBS Group raised their price objective on shares of UWM from $4.50 to $4.75 and gave the stock a “sell” rating in a research note on Thursday, September 5th. Wedbush boosted their price objective on UWM from $7.00 to $8.50 and gave the company a “neutral” rating in a report on Wednesday, August 7th. The Goldman Sachs Group increased their target price on UWM from $7.50 to $8.50 and gave the stock a “neutral” rating in a research note on Thursday, August 8th. Barclays boosted their target price on shares of UWM from $5.00 to $6.00 and gave the company an “underweight” rating in a research note on Tuesday, July 9th. Finally, BTIG Research raised their price target on shares of UWM from $8.00 to $10.00 and gave the stock a “buy” rating in a research note on Tuesday, August 6th. Two equities research analysts have rated the stock with a sell rating, four have given a hold rating and one has issued a buy rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $7.39.

UWM Stock Down 2.1 %

The company has a quick ratio of 1.48, a current ratio of 1.48 and a debt-to-equity ratio of 0.87. The company’s 50 day moving average price is $8.63 and its 200 day moving average price is $7.50. The firm has a market capitalization of $836.31 million, a price-to-earnings ratio of 297.83 and a beta of 1.63.

UWM (NYSE:UWMC) last issued its earnings results on Tuesday, August 6th. The company reported $0.04 EPS for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.02). The company had revenue of $507.09 million during the quarter, compared to analysts’ expectations of $540.31 million. During the same quarter in the prior year, the company posted $0.11 EPS. As a group, research analysts forecast that UWM Holdings Co. will post 0.28 earnings per share for the current fiscal year.

UWM Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 10th. Investors of record on Thursday, September 19th will be given a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 4.57%. The ex-dividend date of this dividend is Thursday, September 19th. UWM’s dividend payout ratio is currently 1,333.33%.

Institutional Investors Weigh In On UWM

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Renaissance Technologies LLC increased its stake in shares of UWM by 13.2% in the 2nd quarter. Renaissance Technologies LLC now owns 1,712,900 shares of the company’s stock valued at $11,870,000 after purchasing an additional 199,900 shares in the last quarter. Azora Capital LP acquired a new position in shares of UWM during the 4th quarter worth approximately $6,705,000. Bank of New York Mellon Corp lifted its position in shares of UWM by 4.3% during the 2nd quarter. Bank of New York Mellon Corp now owns 908,159 shares of the company’s stock valued at $6,294,000 after buying an additional 37,190 shares in the last quarter. Squarepoint Ops LLC grew its stake in UWM by 24.5% in the 2nd quarter. Squarepoint Ops LLC now owns 342,322 shares of the company’s stock valued at $2,372,000 after acquiring an additional 67,383 shares during the period. Finally, Cambridge Investment Research Advisors Inc. increased its holdings in UWM by 3.4% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 287,135 shares of the company’s stock worth $2,085,000 after acquiring an additional 9,555 shares in the last quarter. Institutional investors and hedge funds own 53.59% of the company’s stock.

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.