UWM Sees Unusually High Options Volume (NYSE:UWMC)

UWM Holdings Co. (NYSE:UWMC) was the recipient of some unusual options trading activity on Monday. Stock traders bought 5,337 call options on the company. This represents an increase of 114% compared to the average volume of 2,493 call options.

UWM Stock Down 11.3 %

NYSE:UWMC opened at $4.91 on Tuesday. The company has a market cap of $7.84 billion, a price-to-earnings ratio of -21.33 and a beta of 1.64. The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.40 and a current ratio of 1.40. The stock’s fifty day moving average price is $6.07 and its two-hundred day moving average price is $6.37. UWM has a 52-week low of $4.87 and a 52-week high of $9.74.

UWM (NYSE:UWMC) last issued its quarterly earnings results on Wednesday, February 26th. The company reported $0.01 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.06). The firm had revenue of $560.21 million during the quarter, compared to analyst estimates of $645.75 million. On average, analysts anticipate that UWM will post 0.2 EPS for the current year.

UWM Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, April 10th. Stockholders of record on Thursday, March 20th will be paid a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 8.15%. The ex-dividend date of this dividend is Thursday, March 20th. UWM’s dividend payout ratio (DPR) is presently 500.00%.

Analyst Ratings Changes

UWMC has been the subject of several recent analyst reports. Wedbush reaffirmed a “neutral” rating and set a $6.50 price objective on shares of UWM in a report on Monday, March 3rd. Morgan Stanley cut their price objective on UWM from $7.50 to $6.50 and set an “equal weight” rating for the company in a research report on Thursday, December 19th. Finally, Keefe, Bruyette & Woods upgraded UWM from a “market perform” rating to an “outperform” rating and increased their target price for the stock from $6.50 to $7.50 in a report on Monday, March 3rd. One analyst has rated the stock with a sell rating, four have assigned a hold rating and two have assigned a buy rating to the stock. According to MarketBeat, UWM presently has an average rating of “Hold” and an average price target of $7.25.

Institutional Investors Weigh In On UWM

Institutional investors and hedge funds have recently modified their holdings of the business. Charles Schwab Investment Management Inc. boosted its stake in UWM by 1.4% in the third quarter. Charles Schwab Investment Management Inc. now owns 574,290 shares of the company’s stock valued at $4,893,000 after acquiring an additional 7,846 shares during the last quarter. Verition Fund Management LLC boosted its position in shares of UWM by 446.3% in the 3rd quarter. Verition Fund Management LLC now owns 159,666 shares of the company’s stock worth $1,360,000 after purchasing an additional 130,439 shares during the last quarter. Point72 Asset Management L.P. acquired a new stake in shares of UWM during the third quarter worth $1,065,000. Quantinno Capital Management LP bought a new stake in UWM in the third quarter valued at about $106,000. Finally, State Street Corp lifted its stake in UWM by 5.0% in the third quarter. State Street Corp now owns 1,592,084 shares of the company’s stock valued at $13,723,000 after buying an additional 76,221 shares during the period. 53.59% of the stock is owned by institutional investors.

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.