UWM Holdings Corporation (NYSE:UWMC) is listed as one of the Best High Volume Penny Stocks to Buy. Analysts at Jefferies and KBW have given a Hold rating on UWMC with price targets of $5 and $6.75, respectively. UWMC recently acquired Two Harbors in an all-stock merger valued at around $1.3 billion.

Jefferies analysts believe UWMC has a balanced risk/reward profile, with a $5 price target based on 8 times the company’s 2027 forward earnings. The recent acquisition of Two Harbors is expected to double UWMC’s servicing book and boost its scale and EPS.

UWMC engages in residential mortgage lending in the US. While UWMC offers potential as an investment, certain AI stocks may provide greater upside with less downside risk. For more information on undervalued AI stocks, see the free report on the best short-term AI stock.

Disclosure: None. This article was originally published on Insider Monkey.

Read more at Yahoo Finance: Jefferies Initiates a Hold Rating on UWM Holdings Corporation (UWMC)