UWM Holdings Q2 swings to net loss, EPS misses estimates

UWM Holdings

05/08/2026 21:59

Overview
U.S. wholesale mortgage lender's Q2 revenue rose and beat analyst expectations
Adjusted EPS for Q2 missed analyst expectations
Company swung to net loss compares to last year
Company announced $2.05 bln equity investment and suspended its quarterly dividend

Outlook
Company suspends quarterly dividend, citing commitment to disciplined capital allocation
UWM says new $2.05 bln equity investment will strengthen liquidity and market position

Result Drivers
GAIN MARGIN IMPROVEMENT - Co reported total gain margin rose to 133 bps from 123 bps in Q1 and 113 bps in prior yr, reflecting higher profitability per loan
PRODUCT MIX SHIFT - Purchase originations increased from Q1 but remained below prior yr; refinance originations rose year-over-year but fell sharply from Q1
TECHNOLOGY AND PRODUCT INITIATIVES - Co cited launch of home equity loans, expansion of AI-powered assistant, and new credit score options as supporting broker channel and operational efficiency

Company press release: ID:nBw6hhTpya

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$888.003 mln
$713.71 mln (5 Analysts)
Q2 Adjusted EPS
Miss
-$0.23
$0.09 (8 Analysts)
Q2 Loss Per Share
 
$0.24
 
Q2 Adjusted Net Loss
 
$366.76 mln
 
Q2 Net Loss
 
$451.90 mln
 
Q2 Adjusted EBITDA
 
$185.88 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the consumer lending peer group is "buy"
Wall Street's median 12-month price target for UWM Holdings Corporation is $4.00, about 105.1% above its August 4 closing price of $1.95
The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 8 three months ago

Reuters Recommended Reads
Aug 4 - LoanDepot Q2 adjusted net loss narrows from prior quarter but misses profit expectations
Aug 4 - Finance of America Q2 adjusted EPS misses estimates as revenue falls
Aug 4 - Upstart Q2 revenue rises on jump in loan originations 

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)