UWM Holding (UWMC) AI Stock Analysis

• Market Cap: $8.14B
• Dividend Yield: 7.07%
• Average Volume (3M): 9.79M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.85
• 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: 218,635,130
• 10 Day Avg. Volume: 10,785,197
• 30 Day Avg. Volume: 9,786,849
• 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: 3.27
• Enterprise Value/Revenue: 11.72
• Enterprise Value/Gross Profit: 26.45
• Enterprise Value/Ebitda: 86.67
• 1Y Price Target: $7.10
• Price Target Upside: 35.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.2
• Revenue Forecast (FY): $2.48B

• Rating: 48 Neutral
• Price Target: $5.00 ▼(-4.76% Downside)

UWM Holding's overall stock score is primarily impacted by its financial challenges, including high leverage and negative cash flows. While the earnings call provided positive insights into operational performance and strategic initiatives, the technical analysis and valuation metrics indicate caution. The high dividend yield is a notable positive, but the negative P/E ratio and bearish technical indicators suggest underlying risks.

Positive Factors

AI Integration Success

Successful AI integration enhances operational efficiency and customer service, providing a competitive edge in the mortgage sector.

Record Loan Production

Record loan production and strong gain margins demonstrate robust demand and effective market positioning, supporting revenue growth.

Strong Purchase Market Position

A strong position in the purchase market ensures sustained demand and revenue stability, reinforcing UWM's competitive advantage.

Negative Factors

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting long-term financial health and strategic options.

Negative Cash Flow

Negative cash flows indicate operational challenges and strain financial resources, affecting the company's ability to invest and grow.

Low Net Profit Margin

A low net profit margin suggests inefficiencies in cost management and pricing, impacting profitability and shareholder returns.

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	2.27B	1.91B	1.11B	2.15B	2.83B	4.85B
Gross Profit	1.01B	1.37B	755.02M	1.81B	2.48B	4.65B
EBITDA	306.76M	384.73M	-26.23M	984.07M	1.62B	3.96B
Net Income	30.24M	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	971.98M	507.34M	497.47M	704.90M	731.09M	1.22B
Total Debt	0.00	12.84B	8.73B	9.43B	18.79B	8.21B
Total Liabilities	15.44B	13.62B	9.40B	10.43B	19.36B	9.12B
Stockholders Equity	1.59B	161.52M	112.55M	143.56M	142.40M	2.37B
Cash Flow
Free Cash Flow	-265.48M	-6.28B	138.81M	8.24B	-10.02B	-876.00K
Operating Cash Flow	-215.24M	-6.24B	165.24M	8.27B	-9.96B	56.41M
Investing Cash Flow	1.65B	2.68B	1.83B	1.29B	199.75M	231.88M
Financing Cash Flow	-1.58B	3.58B	-2.20B	-9.58B	9.26B	802.26M

UWM Holding Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.25
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UWMC, the sentiment is Negative. The current price of 5.25 is below the 20-day moving average (MA) of 5.57, below the 50-day MA of 5.90, and above the 200-day MA of 5.09, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 39.14 is Neutral, neither overbought nor oversold. The STOCH value of 27.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for UWMC.

UWM Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PFSI	71 Outperform	$6.59B	13.66	12.55%	0.99%	25.42%	190.85%
GHLD	70 Outperform	$1.24B	50.97	10.52%	―	28.67%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
COOP	65 Neutral	―	―	―	―	2.27%	-17.46%
LDI	49 Neutral	$876.95M	-7.46	-19.71%	―	13.91%	27.78%
RKT	49 Neutral	$45.87B	196.60	-2.15%	―	22.56%	―
UWMC	48 Neutral	$8.14B	―	11.37%	7.07%	-8.66%	―

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.

UWM Holdings Reports Strong Q2 2025 Performance

UWM Holdings Corporation, the parent company of United Wholesale Mortgage, operates as a leading mortgage lender in the United States, focusing on the wholesale channel and leveraging innovative technology to enhance mortgage broker services.

UWM Holdings’ Earnings Call: AI Success Amid Challenges

UWM Holdings Corporation’s recent earnings call painted a picture of both triumph and challenge. The company celebrated significant achievements, particularly in AI technology integration and robust financial performance, with notable successes in refinancing and production volumes. However, these positives were tempered by hurdles such as a decline in the MSR portfolio value and concerns about future production volumes.

UWM Holding Announces Cash Dividend for Class A Stock

On August 7, 2025, UWM Holdings Corporation announced a cash dividend of $0.10 per share for Class A common stock, payable on October 9, 2025. The company also reported its second-quarter 2025 financial results, highlighting a net income of $314.5 million and a loan origination volume of $39.7 billion, marking an 18% increase year-over-year. The quarter was noted as the company’s best since 2021, driven by strategic decisions and AI technology investments, which are expected to significantly impact the company’s future trajectory and the wholesale mortgage channel.

The most recent analyst rating on (UWMC) stock is a Hold with a $8.50 price target. To see the full list of analyst forecasts on UWM Holding stock, see the UWMC Stock Forecast page.