UWMC - UWM Holdings stock gains after upgrade to Outperform at Wedbush

Shares of UWM Holdings climb nearly 5% in pre-market trading after Wedbush analyst Henry Coffey upgrades the stock to Outperform from Neutral. UWMC's plunge on Wednesday justifies an "attractive entry point" for investors looking to build a position, Coffey writes in a note to clients. The stock has a poorly rated Momentum Grade, and it's down 43% Y/Y.  Still, "the company will see some drop-off in origination volumes in-line with the overall decline in the residential origination market, but also see some uplift in gain on sale and overall origination volumes," the analyst writes. Expects the company's serving portfolio net returns to improve in 2022. Lowers price target to $8.00 per share from $8.75, implying 28.6% upside from Wednesday's close; derived from valuing shares at 9.1x 2023 earnings per share. The Outperform rating disagrees with the Bearish Quant Rating, which has stood at Neutral for the majority of the past year. Towards the end

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UWM Holdings stock gains after upgrade to Outperform at Wedbush