Should You Buy UWM Holdings Corp (UWMC) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
5.890
1 Day change
0.51%
52 Week Range
7.140
Analysis Updated At
2026/01/26
UWM Holdings Corp (UWMC) is not a strong buy at the moment for a beginner investor with a long-term strategy. While the company has some positive catalysts such as AI automation savings and low mortgage rates, its recent financial performance has been weak, and analysts have mixed views with mostly neutral ratings. The technical indicators suggest a bullish trend, but without a strong signal from proprietary trading tools or significant insider/hedge fund activity, it is better to hold off for now.
Technical Analysis
The stock shows a bullish trend with moving averages in alignment (SMA_5 > SMA_20 > SMA_200) and MACD histogram above 0. However, RSI is neutral at 68.689, and the stock is nearing resistance levels (R1: 6.044). The pre-market price of $5.85 is close to the pivot point of 5.584, indicating limited immediate upside potential.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
The low put-call ratios indicate bullish sentiment in the options market, but the implied volatility rank of 21.3 suggests limited potential for significant price swings.
Technical Summary
Sell
2
Buy
10
Positive Catalysts
Expected savings of over $100 million through AI automation.
Mortgage rates at a three-year low, potentially boosting profitability and loan origination volumes.
A nearly 40% stock price increase in 2026, indicating positive momentum.
Neutral/Negative Catalysts
Revenue, net income, and EPS have significantly declined YoY in Q3
Analysts have mixed views with mostly neutral ratings and price targets ranging from $5 to $6.
The company faces credit risk concerns and macroeconomic uncertainties impacting the mortgage finance sector.
Financial Performance
In Q3 2025, revenue dropped by 11.65% YoY to $837.1 million, net income fell by 79.95% YoY to -$1.26 million, and EPS declined by 83.33% YoY to -0.01. Gross margin also decreased slightly to 92.33%, down 1.61% YoY. These figures indicate weak financial performance in the latest quarter.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Analysts have mixed ratings on UWMC. Goldman Sachs lowered its price target to $5 from $6, citing credit risks. Jefferies initiated coverage with a Hold rating and a $5 price target. Keefe Bruyette raised its target to $6.75, while UBS raised its target to $6. Overall, analysts are neutral to slightly positive, with price targets suggesting limited upside.
Wall Street analysts forecast UWMC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UWMC is 6.54 USD with a low forecast of 5 USD and a high forecast of 10 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast UWMC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UWMC is 6.54 USD with a low forecast of 5 USD and a high forecast of 10 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Buy
5 Hold
0 Sell
Moderate Buy
Current: 5.860
Low
5
Averages
6.54
High
10
Current: 5.860
Low
5
Averages
6.54
High
10
Goldman Sachs
Neutral
downgrade
$6 -> $5
AI Analysis
2026-01-06
Reason
Goldman Sachs
Price Target
$6 -> $5
AI Analysis
2026-01-06
downgrade
Neutral
Reason
Goldman Sachs lowered the firm's price target on UWM Holdings to $5 from $6 and keeps a Neutral rating on the shares. Regional banks underperformed the market by 200-300 basis points in 2025, weighed by macro concerns and credit worries, though stocks rallied 13% late in the year, the analyst tells investors in a research note. Looking to 2026, solid loan growth, net interest income momentum, positive operating leverage, and improving returns support continued multi-year fundamental improvement, with credit risk as the main wildcard, Goldman says.
Jefferies
Hold
initiated
$5
2025-12-19
Reason
Jefferies
Price Target
$5
2025-12-19
initiated
Hold
Reason
Jefferies initiated coverage of UWM Holdings with a Hold rating and $5 price target. While noting its "dominant position" in the broker channel and significant fixed cost leverage into the next cycle, the firm believes shares are fairly valued for the company's "comparatively narrow business model," the analyst tells investors while launching coverage of the mortgage finance sector.
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