UWM Holdings upgraded to Neutral from Sell at UBS

UBS upgraded UWM Holdings (UWMC) to Neutral from Sell with a price target of $4.50, down from $4.75 as part of a broader research note on Mortgage Banking. The environment continued to be more favorable for servicing earnings than originations in Q1, and while there is downside risk to the firm’s Q1 funded volume estimate, the late-quarter volume pick-up in refinancing volume should benefit the lock volume, reducing risk to estimates, the analyst tells investors in a research note. UBS adds that it still prefers more balanced origination and servicing business models that produced more predictable and stable returns.