UWM Holding (UWMC) AI Stock Analysis

• Market Cap: $10.11B
• Dividend Yield: 6.21%
• Average Volume (3M): 9.48M
• Price to Earnings (P/E): 37.7
• Beta (1Y): 0.83
• Revenue Growth: 12.27%
• EPS Growth: -21.43%
• Country: US
• Employees: 9,100
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Mortgages
• EPS (TTM): 0.16
• Shares Outstanding: 218,635,130
• 10 Day Avg. Volume: 9,754,455
• 30 Day Avg. Volume: 9,484,145
• 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: 1.30
• Enterprise Value/Revenue: 6.98
• Enterprise Value/Gross Profit: 10.07
• Enterprise Value/Ebitda: 67.77
• 1Y Price Target: $6.50
• Price Target Upside: 0.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 53 Neutral
• Price Target: $7.00 ▲(8.70% Upside)

UWM Holding's overall stock score is primarily impacted by its financial challenges, including high leverage and cash flow constraints. Despite strong technical indicators suggesting bullish momentum, the valuation is hampered by a negative P/E ratio. The positive sentiment from the earnings call, driven by strong production volumes and technological advancements, provides some optimism but is not enough to offset the financial weaknesses.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and the ability to expand its customer base, supporting long-term business sustainability.

Technological Advancements

AI integration enhances operational efficiency and broker support, positioning UWM as a leader in mortgage technology and improving competitive advantage.

Production Volume

Record production volumes reflect strong demand and effective market strategies, bolstering UWM's market leadership and revenue potential.

Negative Factors

High Leverage

Significant leverage poses financial risk, potentially limiting flexibility and increasing vulnerability to economic downturns, impacting long-term stability.

Cash Flow Constraints

Cash flow challenges can hinder operational capabilities and strategic investments, affecting the company's ability to sustain growth and manage debt.

Decline in MSR Portfolio Value

A decline in MSR portfolio value reduces asset strength and could impact future revenue from servicing, affecting financial performance.

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	1.88B	1.91B	1.11B	2.15B	2.83B	4.85B
Gross Profit	1.31B	1.37B	755.02M	1.81B	2.48B	4.65B
EBITDA	194.17M	384.73M	-26.23M	984.07M	1.62B	3.96B
Net Income	11.85M	14.40M	-13.23M	41.72M	98.44M	3.38B
Balance Sheet
Total Assets	13.89B	15.67B	11.87B	13.60B	22.53B	11.49B
Cash, Cash Equivalents and Short-Term Investments	489.98M	507.34M	497.47M	704.90M	731.09M	1.22B
Total Debt	11.24B	12.84B	8.73B	9.43B	18.79B	8.21B
Total Liabilities	12.14B	13.62B	9.40B	10.43B	19.36B	9.12B
Stockholders Equity	176.17M	161.52M	112.55M	143.56M	142.40M	2.37B
Cash Flow
Free Cash Flow	-2.46B	-6.28B	138.81M	8.24B	-10.02B	-876.00K
Operating Cash Flow	-2.39B	-6.24B	165.24M	8.27B	-9.96B	56.41M
Investing Cash Flow	1.89B	2.68B	1.83B	1.29B	199.75M	231.88M
Financing Cash Flow	314.85M	3.58B	-2.20B	-9.58B	9.26B	802.26M

UWM Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.44
• 50DMA: Positive
• 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 Positive. The current price of 6.44 is above the 20-day moving average (MA) of 6.24, above the 50-day MA of 5.31, and above the 200-day MA of 5.07, indicating a bullish trend. The MACD of 0.34 indicates Positive momentum. The RSI at 62.58 is Neutral, neither overbought nor oversold. The STOCH value of 31.46 is Neutral, 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
COOP	65 Neutral	13.61B	24.32	11.18%	―	2.27%	-17.46%
PFSI	64 Neutral	6.38B	17.07	8.13%	0.97%	20.77%	96.22%
RKT	61 Neutral	41.23B	-402.26	>-0.01%	―	21.52%	-103.65%
LDI	58 Neutral	1.08B	-9.64	-15.29%	―	6.60%	44.77%
GHLD	58 Neutral	1.24B	51.13	2.12%	―	34.62%	-7.94%
UWMC	53 Neutral	$10.11B	37.74	8.18%	6.21%	12.27%	-21.43%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

UWM Holding Corporate Events

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.