UWM (NYSE:UWMC) Trading Up 7% - Time to Buy?

UWM Holdings Co. (NYSE:UWMC - Get Free Report) shares rose 7% during trading on Tuesday . The stock traded as high as $5.85 and last traded at $5.81. Approximately 2,390,487 shares were traded during mid-day trading, a decline of 49% from the average daily volume of 4,723,378 shares. The stock had previously closed at $5.43.

Analysts Set New Price Targets

UWMC has been the subject of several research analyst reports. Morgan Stanley reduced their target price on UWM from $7.50 to $6.50 and set an "equal weight" rating for the company in a research note on Thursday, December 19th. The Goldman Sachs Group reduced their price objective on shares of UWM from $8.50 to $7.50 and set a "neutral" rating for the company in a research report on Thursday, November 14th. Barclays raised shares of UWM from an "underweight" rating to an "equal weight" rating and increased their price objective for the company from $6.00 to $8.00 in a report on Tuesday, October 8th. Finally, Keefe, Bruyette & Woods cut their target price on shares of UWM from $7.00 to $6.50 and set a "market perform" rating for the company in a research note on Friday, January 3rd. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and one has given a buy rating to the stock. According to MarketBeat, UWM presently has an average rating of "Hold" and a consensus price target of $7.39.

UWM Stock Performance

The firm's 50 day simple moving average is $6.02 and its 200-day simple moving average is $7.33. The company has a market cap of $9.29 billion, a price-to-earnings ratio of -25.26 and a beta of 1.66. The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.40 and a current ratio of 1.40.

UWM Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, January 9th. Investors of record on Thursday, December 19th were paid a dividend of $0.10 per share. The ex-dividend date of this dividend was Thursday, December 19th. This represents a $0.40 annualized dividend and a yield of 6.88%. UWM's dividend payout ratio is presently -173.91%.

Institutional Investors Weigh In On UWM

Several hedge funds and other institutional investors have recently made changes to their positions in UWMC. Wedmont Private Capital grew its stake in shares of UWM by 10.8% in the 3rd quarter. Wedmont Private Capital now owns 20,113 shares of the company's stock valued at $171,000 after buying an additional 1,963 shares during the period. Mercer Global Advisors Inc. ADV lifted its holdings in UWM by 8.7% in the second quarter. Mercer Global Advisors Inc. ADV now owns 24,757 shares of the company's stock valued at $168,000 after acquiring an additional 1,991 shares during the last quarter. Rhumbline Advisers grew its position in UWM by 3.9% in the second quarter. Rhumbline Advisers now owns 91,964 shares of the company's stock worth $637,000 after acquiring an additional 3,426 shares during the period. Integrated Investment Consultants LLC increased its stake in UWM by 7.9% during the third quarter. Integrated Investment Consultants LLC now owns 100,688 shares of the company's stock worth $858,000 after acquiring an additional 7,334 shares during the last quarter. Finally, CWM LLC raised its position in UWM by 120.1% in the third quarter. CWM LLC now owns 14,243 shares of the company's stock valued at $121,000 after purchasing an additional 7,772 shares during the period. 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.