UWM Holding (UWMC) AI Stock Analysis

• Market Cap: $9.36B
• Dividend Yield: 7.07%
• Average Volume (3M): 9.92M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.91
• Revenue Growth: -8.66%
• EPS Growth: N/A
• Country: US
• Employees: 9,100
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Mortgages
• EPS (TTM): 0.07
• Shares Outstanding: 254,803,120
• 10 Day Avg. Volume: 8,985,887
• 30 Day Avg. Volume: 9,921,179
• PEG Ratio: -0.24
• Price to Book (P/B): 4.05
• Price to Sales (P/S): 0.34
• P/FCF Ratio: -0.10
• Enterprise Value/Market Cap: 1.75
• Enterprise Value/Revenue: 8.66
• Enterprise Value/Gross Profit: 12.27
• Enterprise Value/Ebitda: 93.22
• 1Y Price Target: $7.20
• Price Target Upside: 23.08% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.19
• Revenue Forecast (FY): $2.48B

• Rating: 46 Neutral
• Price Target: $5.50 ▼(-5.98% Downside)

UWM Holding's overall stock score reflects significant financial challenges, including high leverage and negative cash flows, which are major concerns. While the company shows strong revenue growth and operational achievements, these are overshadowed by financial instability. The technical analysis indicates mixed signals, and the valuation is hampered by a negative P/E ratio, though the high dividend yield provides some appeal.

Positive Factors

AI Integration Success

The successful deployment of AI technology enhances operational efficiency and customer engagement, positioning UWM as a tech-forward leader in the mortgage industry.

Record Loan Production

Achieving record loan production indicates strong market demand and effective sales strategies, bolstering UWM's competitive position in the mortgage sector.

Successful Bond Offering

The successful bond offering strengthens UWM's liquidity and financial flexibility, enabling strategic investments and debt management.

Negative Factors

High Leverage

High leverage poses financial risk, potentially limiting UWM's ability to invest in growth opportunities and manage economic downturns effectively.

Negative Cash Flows

Negative cash flows highlight liquidity issues, which can strain UWM's operations and limit its capacity to fund new initiatives or weather financial stress.

Decline at Fair Values

A decline in fair values impacts profitability and reflects potential valuation challenges, affecting investor confidence and financial stability.

UWM Holding Business Overview & Revenue Model

Company Description

UWM Holdings Corporation engages in the residential mortgage lending business in the United States. The company originates 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.

How the Company Makes Money

UWM Holding generates revenue primarily through the origination and sale of mortgage loans. The company earns money by charging origination fees, which are typically a percentage of the loan amount, and by selling mortgages to investors in the secondary market, often at a premium. Additionally, UWMC benefits from interest income on loans held in its portfolio before they are sold. The company's revenue model is significantly bolstered by its relationships with thousands of independent mortgage brokers, who rely on UWMC for competitive pricing and efficient service. Strategic partnerships with investors and technology providers also enhance its operational efficiency and revenue potential.

UWM Holding Financial Statement Overview

Summary

UWM Holding faces significant financial challenges, particularly with high leverage and cash flow constraints. While revenue growth is positive, profitability and cash flow metrics indicate underlying operational and financial pressures. The company needs to address its debt levels and improve cash flow generation to enhance financial stability.

Income Statement

UWM Holding's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a modest revenue growth rate of 21.65%, but the net profit margin is low at 0.63%, reflecting challenges in converting revenue into profit. The gross profit margin remains strong at 69.37%, suggesting efficient cost management. However, declining EBIT and EBITDA margins highlight pressure on operating profitability.

Balance Sheet

The balance sheet reveals significant leverage with a high debt-to-equity ratio of 6.43 in the TTM period, indicating potential financial risk. The return on equity is low at 2.16%, suggesting limited returns for shareholders. The equity ratio is weak, reflecting a heavy reliance on debt financing.

Cash Flow

Cash flow analysis shows negative operating and free cash flows in the TTM period, with a concerning free cash flow growth rate of -29.73%. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly positive, but overall cash flow management appears strained.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.90B	1.91B	1.11B	2.15B	2.83B	4.85B
Gross Profit	1.34B	1.37B	755.02M	1.81B	2.48B	4.65B
EBITDA	176.07M	384.73M	-26.23M	984.07M	1.62B	3.96B
Net Income	16.89M	14.40M	-13.23M	41.72M	98.44M	3.38B
Balance Sheet
Total Assets	17.02B	15.67B	11.87B	13.60B	22.53B	11.49B
Cash, Cash Equivalents and Short-Term Investments	870.70M	507.34M	497.47M	704.90M	731.09M	1.22B
Total Debt	14.53B	12.84B	8.73B	9.78B	18.79B	8.21B
Total Liabilities	15.44B	13.62B	9.40B	10.43B	19.36B	9.12B
Stockholders Equity	177.67M	161.52M	112.55M	143.56M	142.40M	2.37B
Cash Flow
Free Cash Flow	-3.36B	-6.28B	138.81M	8.24B	-10.02B	-876.00K
Operating Cash Flow	-3.29B	-6.24B	165.24M	8.27B	-9.96B	56.41M
Investing Cash Flow	2.19B	2.68B	1.83B	1.29B	199.75M	231.88M
Financing Cash Flow	1.33B	3.58B	-2.20B	-9.58B	9.26B	802.26M

UWM Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UWMC, the sentiment is Positive. The current price of 5.85 is above the 20-day moving average (MA) of 5.37, above the 50-day MA of 5.63, and above the 200-day MA of 5.05, indicating a bullish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 60.43 is Neutral, neither overbought nor oversold. The STOCH value of 94.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UWMC.

UWM Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GHLD	70 Outperform	$1.24B	50.97	10.53%	―	23.81%	―
PFSI	68 Neutral	$6.59B	13.66	12.55%	0.89%	25.42%	190.85%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
COOP	65 Neutral	―	―	―	―	2.27%	-17.46%
RKT	59 Neutral	$56.26B	251.64	-2.15%	―	22.56%	―
UWMC	46 Neutral	$9.36B	―	11.37%	7.07%	-8.66%	―
LDI	44 Neutral	$943.06M	-7.68	-25.72%	―	3.91%	27.78%

UWM Holding Corporate Events

UWM Holdings Reports Strong Q3 2025 Performance

UWM Holdings Corporation, a leading player in the mortgage lending industry, specializes in originating mortgage loans through the wholesale channel, making it the largest wholesale mortgage lender in the United States. The company is renowned for its innovative technology and strong partnerships with independent mortgage brokers.

UWM Holdings’ Earnings Call Highlights Strong Q3 Performance

UWM Holdings Corporation’s recent earnings call painted a predominantly positive picture, highlighting the company’s strong operational performance and strategic financial management. The integration of AI technology and successful bond offerings were notable achievements, although some challenges were acknowledged in fair value adjustments and leverage ratios. Overall, the positive aspects of the call significantly outweighed the lowlights.

UWM Holding Announces Cash Dividend for Class A Shares

On November 6, 2025, UWM Holdings Corporation announced a cash dividend of $0.10 per share for Class A common stock, payable on January 8, 2026. The company reported a record loan origination volume of $41.7 billion for the third quarter of 2025, the highest since 2021, alongside a total revenue of $843.3 million and a net income of $12.1 million. UWM is also set to bring servicing in-house by January and has leveraged AI to generate over 14,000 loans, indicating its strong market positioning and commitment to innovation.

The most recent analyst rating on (UWMC) stock is a Hold with a $5.50 price target. To see the full list of analyst forecasts on UWM Holding stock, see the UWMC Stock Forecast page.

UWM Holding Issues $1 Billion Senior Notes

On September 16, 2025, UWM Holdings LLC, a subsidiary of UWM Holdings Corporation, issued $1.0 billion in senior unsecured notes due in 2031 with a 6.250% interest rate. These notes, guaranteed by United Wholesale Mortgage, LLC, aim to strengthen the company’s financial position and offer flexibility in managing debt obligations. The issuance includes provisions for early redemption and is subject to customary covenants, potentially impacting UWM’s financial strategies and stakeholder interests.

The most recent analyst rating on (UWMC) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on UWM Holding stock, see the UWMC Stock Forecast page.

UWM Holding Sells $1 Billion in Senior Notes

On September 9, 2025, UWM Holdings Corporation announced that its subsidiary, UWM Holdings, LLC, entered into a Purchase Agreement to sell $1.0 billion of senior unsecured notes due 2031, guaranteed by United Wholesale Mortgage, LLC. The proceeds are intended to repay existing senior notes and reduce outstanding amounts under MSR Facilities. This strategic financial move is expected to strengthen UWM Holdings’ financial position and support its operational goals, reflecting its commitment to maintaining a robust market presence and enhancing stakeholder value.

The most recent analyst rating on (UWMC) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on UWM Holding stock, see the UWMC Stock Forecast page.