Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)50% (Hyper Growth)
EST. PRICE IN 2031
$5.17
Based on 14.5% avg growth
INTRINSIC VALUE TODAY
$3.21
56.4% Margin of Safety
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 7.3x Exit PE.
Valuation Analysis: UWMC is currently trading at $1.40, which is considered oversold relative to its 30-day fair value range of $1.48 to $1.97. From a valuation perspective, the stock is trading at a discount (Forward PE: 3.9) compared to its historical average (7.3). Remarkably, the market is currently pricing in an annual earnings decline of 19.4% over the next few years. This pessimistic expectation contrasts with the company's recent 277.8% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, UWMC is in a strong downtrend. Immediate support is located at $1.27, while resistance sits at $1.67.
Market Sentiment: The stock scores a mixed 55/100 on our bottoming-setup gauge, with only partial signs of a stabilized entry point. Wall Street analysts see significant upside, with an average price target of $2.22 (+58.5%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Quick Decision Summary
Current Position
OVERSOLD
Historical Trading Range
$1.48 -
$1.97
Company Quality Score
62/100
(BUY)
Volume Confirmation
HIGH
Confidence Score
79.5%
Protect Your Profits
Holding UWMC? Use our AI-powered strategies to protect your downside while keeping your long-term position.
UWM Holdings Corp engages in the origination, sale, and servicing of residential mortgage loans in the wholesale channel. The company provides independent mortgage advisors across the states and the district of Columbia.
