UWM HOLDINGS CORP (UWMC) Stock Fundamental Analysis
NYSE:UWMC - New York Stock Exchange, Inc. - US91823B1098 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to UWMC. UWMC was compared to 100 industry peers in the Financial Services industry. UWMC has a medium profitability rating, but doesn't score so well on its financial health evaluation. UWMC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year UWMC has reported negative net income.
UWMC had a negative operating cash flow in the past year.
Of the past 5 years UWMC 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: UWMC reported negative operating cash flow in multiple years.
1.2 Ratios
UWMC's Return On Assets of -0.06% is on the low side compared to the rest of the industry. UWMC is outperformed by 77.00% of its industry peers.
UWMC has a Return On Equity of -4.86%. This is amonst the worse of the industry: UWMC underperforms 83.00% of its industry peers.
UWMC has a better Return On Invested Capital (7.74%) than 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UWMC is below the industry average of 11.84%.
The 3 year average ROIC (6.93%) for UWMC is below the current ROIC(7.74%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.06% | ||
| ROE | -4.86% | ||
| ROIC | 7.74% |
ROA(3y)0.1%
ROA(5y)6.03%
ROE(3y)8.71%
ROE(5y)47.58%
ROIC(3y)6.93%
ROIC(5y)11.31%
1.3 Margins
In the last couple of years the Profit Margin of UWMC has declined.
Looking at the Operating Margin, with a value of 47.63%, UWMC belongs to the top of the industry, outperforming 89.00% of the companies in the same industry.
UWMC's Operating Margin has improved in the last couple of years.
The Gross Margin of UWMC (88.41%) is better than 92.00% of its industry peers.
In the last couple of years the Gross Margin of UWMC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.63% | ||
| PM (TTM) | N/A | ||
| GM | 88.41% |
OM growth 3Y-10.37%
OM growth 5Y1.99%
PM growth 3Y-42.03%
PM growth 5Y-55.95%
GM growth 3Y-2.21%
GM growth 5Y-1.33%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UWMC is creating some value.
Compared to 1 year ago, UWMC has about the same amount of shares outstanding.
The number of shares outstanding for UWMC has been reduced compared to 5 years ago.
Compared to 1 year ago, UWMC has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.78, we must say that UWMC is in the distress zone and has some risk of bankruptcy.
UWMC has a Altman-Z score (0.78) which is comparable to the rest of the industry.
A Debt/Equity ratio of 69.59 is on the high side and indicates that UWMC has dependencies on debt financing.
With a Debt to Equity ratio value of 69.59, UWMC is not doing good in the industry: 92.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 69.59 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.78 |
ROIC/WACC1.39
WACC5.58%
2.3 Liquidity
A Current Ratio of 0.82 indicates that UWMC may have some problems paying its short term obligations.
UWMC has a Current ratio (0.82) which is in line with its industry peers.
UWMC has a Quick Ratio of 0.82. This is a bad value and indicates that UWMC is not financially healthy enough and could expect problems in meeting its short term obligations.
UWMC has a Quick ratio of 0.82. This is comparable to the rest of the industry: UWMC outperforms 43.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for UWMC have decreased strongly by -158.33% in the last year.
The earnings per share for UWMC have been decreasing by -49.74% on average. This is quite bad
UWMC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.96%.
The Revenue has been growing by 15.91% on average over the past years. This is quite good.
EPS 1Y (TTM)-158.33%
EPS 3Y-42.85%
EPS 5Y-49.74%
EPS Q2Q%-233.33%
Revenue 1Y (TTM)19.96%
Revenue growth 3Y-9.08%
Revenue growth 5Y15.91%
Sales Q2Q%7.62%
3.2 Future
The Earnings Per Share is expected to grow by 66.72% on average over the next years. This is a very strong growth
Based on estimates for the next years, UWMC will show a quite strong growth in Revenue. The Revenue will grow by 18.57% on average per year.
EPS Next Y56.4%
EPS Next 2Y87.05%
EPS Next 3Y66.72%
EPS Next 5YN/A
Revenue Next Year21.81%
Revenue Next 2Y22.32%
Revenue Next 3Y18.57%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
UWMC reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 8.43, which indicates a very decent valuation of UWMC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UWMC indicates a somewhat cheap valuation: UWMC is cheaper than 66.00% of the companies listed in the same industry.
UWMC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.49.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UWMC is valued a bit cheaper than the industry average as 63.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.07 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
UWMC's earnings are expected to grow with 66.72% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y87.05%
EPS Next 3Y66.72%
5. Dividend
5.1 Amount
UWMC has a Yearly Dividend Yield of 9.76%, which is a nice return.
The stock price of UWMC dropped by -27.05% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 4.97, UWMC pays a better dividend. On top of this UWMC pays more dividend than 94.00% of the companies listed in the same industry.
UWMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.76% |
5.2 History
UWMC has been paying a dividend for over 5 years, so it has already some track record.
UWMC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
The earnings of UWMC are negative and hence is the payout ratio. UWMC will probably not be able to sustain this dividend level.
DP-576.68%
EPS Next 2Y87.05%
EPS Next 3Y66.72%
NYSE:UWMC (6/30/2025, 10:20:03 AM)
4.13
+0.03 (+0.73%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners58.19%
Inst Owner Change41.1%
Ins Owners8.96%
Ins Owner Change11.87%
Market Cap6.60B
Analysts75.29
Price Target6.57 (59.08%)
Short Float %14.5%
Short Ratio4.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.76% |
Yearly Dividend0.02
Dividend Growth(5Y)N/A
DP-576.68%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-209.95%
Min EPS beat(2)-319.9%
Max EPS beat(2)-100%
EPS beat(4)0
Avg EPS beat(4)-137.28%
Min EPS beat(4)-319.9%
Max EPS beat(4)-42.07%
EPS beat(8)3
Avg EPS beat(8)-116.56%
EPS beat(12)5
Avg EPS beat(12)-60.82%
EPS beat(16)7
Avg EPS beat(16)-33.53%
Revenue beat(2)1
Avg Revenue beat(2)-2.11%
Min Revenue beat(2)-12.14%
Max Revenue beat(2)7.92%
Revenue beat(4)1
Avg Revenue beat(4)-5.41%
Min Revenue beat(4)-12.14%
Max Revenue beat(4)7.92%
Revenue beat(8)4
Avg Revenue beat(8)-10.88%
Revenue beat(12)7
Avg Revenue beat(12)-3.18%
Revenue beat(16)11
Avg Revenue beat(16)2.97%
PT rev (1m)-7.94%
PT rev (3m)-5.58%
EPS NQ rev (1m)-3.32%
EPS NQ rev (3m)-27.42%
EPS NY rev (1m)-25.76%
EPS NY rev (3m)-38.82%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.66%
Revenue NY rev (1m)3.67%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.43 | ||
| P/S | 2.44 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 40.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.07 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.49
Fwd EY11.86%
FCF(TTM)-2.19
FCFYN/A
OCF(TTM)-2.15
OCFYN/A
SpS1.69
BVpS0.1
TBVpS-1.97
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.06% | ||
| ROE | -4.86% | ||
| ROCE | 9.86% | ||
| ROIC | 7.74% | ||
| ROICexc | 8.04% | ||
| ROICexgc | 12.2% | ||
| OM | 47.63% | ||
| PM (TTM) | N/A | ||
| GM | 88.41% | ||
| FCFM | N/A |
ROA(3y)0.1%
ROA(5y)6.03%
ROE(3y)8.71%
ROE(5y)47.58%
ROIC(3y)6.93%
ROIC(5y)11.31%
ROICexc(3y)7.24%
ROICexc(5y)12.27%
ROICexgc(3y)12.36%
ROICexgc(5y)17.24%
ROCE(3y)8.83%
ROCE(5y)14.37%
ROICexcg growth 3Y-0.64%
ROICexcg growth 5Y5.54%
ROICexc growth 3Y-8.02%
ROICexc growth 5Y-0.21%
OM growth 3Y-10.37%
OM growth 5Y1.99%
PM growth 3Y-42.03%
PM growth 5Y-55.95%
GM growth 3Y-2.21%
GM growth 5Y-1.33%
F-Score1
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 69.59 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.59 | ||
| Cap/Depr | 102.37% | ||
| Cap/Sales | 1.86% | ||
| Interest Coverage | 2.61 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 0.78 |
F-Score1
WACC5.58%
ROIC/WACC1.39
Cap/Depr(3y)62.51%
Cap/Depr(5y)76.78%
Cap/Sales(3y)1.32%
Cap/Sales(5y)1.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-158.33%
EPS 3Y-42.85%
EPS 5Y-49.74%
EPS Q2Q%-233.33%
EPS Next Y56.4%
EPS Next 2Y87.05%
EPS Next 3Y66.72%
EPS Next 5YN/A
Revenue 1Y (TTM)19.96%
Revenue growth 3Y-9.08%
Revenue growth 5Y15.91%
Sales Q2Q%7.62%
Revenue Next Year21.81%
Revenue Next 2Y22.32%
Revenue Next 3Y18.57%
Revenue Next 5YN/A
EBIT growth 1Y13.32%
EBIT growth 3Y-18.51%
EBIT growth 5Y18.21%
EBIT Next Year-8.5%
EBIT Next 3Y22.94%
EBIT Next 5YN/A
FCF growth 1Y-129.94%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-131.04%
OCF growth 3YN/A
OCF growth 5YN/A