5 Best Dividend Penny Stocks to Buy Right Now

Page 5 of 5

1. UWM Holdings Corporation (NYSE:UWMC)

Number of Hedge Fund Holders: 46

Share Price as of the Close of May 15: $3.00

On May 8, Keefe Bruyette analyst Bose George lowered the firm’s price recommendation on UWM Holdings Corporation (NYSE:UWMC) to $4.50 from $5. The analyst reiterated a Market Perform rating on the shares.

During the Q1 2026 earnings call, Chairman, President, and CEO Mat Ishbia discussed the company’s efforts to bring loan servicing operations in-house. He said the transition was moving along very well, noting that fewer than 100,000 loans remained on the existing platform. According to Ishbia, all new loan originations were already being added to the company’s in-house servicing platform, and UWM had also transferred a large number of loans from Cenlar.

Ishbia added that the company expected to complete the transition by the end of 2026, with all loans eventually serviced internally and no subservicers remaining. He said the initiative involved partnerships with Black Knight and Bilt, along with systems developed internally by the company. Discussing profitability trends, Ishbia said gain-on-sale margins were currently within what he viewed as the appropriate range and expected them to stay around similar levels during the second quarter.

He also described the mortgage market as highly competitive and said broader uncertainty continued to weigh on the operating environment.

UWM Holdings Corporation (NYSE:UWMC), through its subsidiaries, originates, sells, and services residential mortgage loans across the United States. The company primarily originates conforming and government loans in all 50 states and the District of Columbia.

While we acknowledge the potential of UWMC to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than UWMC and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Best Dividend Stocks with 5%+ Yields and Growing Cash Flows and 10 Best “Dogs of the Dow” Stocks to Buy for the Rest of 2026

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

Page 5 of 5
1281292 - 11759070 - 1