UWM Holdings Corporation (NYSE: UWMC)

This lawsuit is for anyone who acquired securities in UWM Holdings Corporation (NYSE: UWMC) from March 9, 2026 through August 5, 2026.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by over hedging on a failed bid to buy a real estate investment trust named Two Harbors when the Company did not even alert investors to the fact that it was hedging the bid at all.

On August 6, 2026, the UWM Holdings reported a hedge established around its failed Two Harbors acquisition produced a $603.2 million derivatives loss and contributed to a $451.9 million second-quarter net loss. Total equity also fell -43.6% year over year, reflecting the net loss and derivative-related charges. “We were over-hedged, if you think of it that way, protecting against the Two Harbors transaction,” the CEO Mathew Ishbia said. Ishbia further stated “[w]e don’t traditionally hedge our MSRs [Mortgage Servicing Rights]” but “when you’re going through and acquiring a company like Two Harbors and a massive MSR book… it created a little more risk. So []  we did put a hedge on to protect against that risk and then a lot of things happen[ed]…and then obviously, the Two Harbors transaction went away. And so a confluence of events that created a hedge loss.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in UWM Holdings Corporation (NYSE: UWMC) from March 9, 2026 through August 5, 2026 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.