UWM Holdings vs UMB Financial

This page compares UWM Holdings Corp and UMB Financial Corp to explain their business models, financial performance, and market context in a neutral, accessible way. It outlines how each company approaches customers, products, and strategy, helping readers understand distinctions without endorsement. Educational content, not financial advice.

Comparison Snapshot

Key Financial Metrics

UWMC

Metric

UMBF

$9.23B

Market Cap

$9.15B

13.88%

Potential Profit

9.72%

Hold

Analyst Rating

Buy

Investment Analysis

UWM Holdings

UWMC

Pros

UWM Holdings is the largest wholesale mortgage lender in the United States, benefiting from scale advantages and strong market position.
The company has high insider ownership, which may align management interests closely with shareholders.
UWM offers a consistently attractive dividend yield, currently above 9%, supported by recurring servicing and origination revenues.

Considerations

UWM's profitability is thin, with a net profit margin below 0.5%, making it highly sensitive to interest rate and volume fluctuations.
The company carries a very high debt-to-equity ratio, raising concerns about financial resilience in a rising rate or downturn scenario.
Mortgage industry cyclicality exposes UWM to significant headwinds during periods of high interest rates or declining home sales.

UMB Financial

UMBF

Pros

UMB Financial maintains a diversified business model across commercial banking, asset management, and payment services, reducing sector-specific risks.
The company has a strong balance sheet with low loan loss provisions and consistent capital adequacy ratios.
UMB Financial has demonstrated stable net interest margin performance, supported by disciplined lending and asset management practices.

Considerations

Revenue growth at UMB Financial has been modest compared to industry peers, reflecting limited expansion in high-growth segments.
The company's exposure to regional economic conditions can constrain lending and deposit growth in certain markets.
UMB Financial's stock has a relatively high valuation multiple, which may limit upside potential in a rising interest rate environment.

About The Companies

UWM Holdings (UWMC)

UWM Holdings Corp is a prominent American company engaged in the residential mortgage lending industry. Operating through its subsidiaries, its primary business involves originating, selling, and servicing mortgage loans across the United States. The company specialises in the 'wholesale channel', meaning it works with independent mortgage brokers rather than directly with borrowers. Its focus is on originating high-quality conforming and government-backed loans that meet the standards for sale in the secondary market to entities like Fannie Mae and Freddie Mac. UWM Holdings leverages proprietary technology, such as Blink+, to streamline the application and lending process for its broker partners. As with any financial institution, its performance can be influenced by interest rate fluctuations and the overall health of the housing market. Remember that the value of investments can go down as well as up.

UMB Financial (UMBF)

UMB Financial Corp is a diversified financial services holding company offering a broad range of products to individuals and institutions. Its operations are organised into three main segments: Commercial Banking, Institutional Banking, and Personal Banking. The Commercial Banking segment focuses on small to middle-market businesses, providing lending, treasury management, and retirement plan services. The Institutional Banking arm delivers specialised services like asset servicing, corporate trust solutions, and investment banking. For individual clients, the Personal Banking division offers everyday banking products, including deposit accounts, credit cards, mortgages, and wealth management services. This structure allows UMB to serve a wide spectrum of the market, from individual savers to large corporations. As with any financial institution, its performance can be influenced by economic conditions and interest rate changes.

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UWM Holdings vs UMB Financial

Comparison Snapshot

Investment Analysis

UWM Holdings

Pros

Considerations

UMB Financial

Pros

Considerations

About The Companies

Buy UWMC or UMBF in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

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Frequently asked questions

Comparison Snapshot

About The Companies

UWM Holdings vs UMB Financial

Comparison Snapshot

Investment Analysis

UWM Holdings

Pros

Considerations

UMB Financial

Pros

Considerations

About The Companies

Buy UWMC or UMBF in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

Discover More Comparisons

UWM Holdings vs Western Alliance

UWM Holdings vs Primerica

UWM Holdings vs SouthState

Frequently asked questions

What is the main difference between a wholesale mortgage lender and a diversified bank in this comparison?

How should I interpret dividend yield alongside earnings quality in this pairing?

What does debt-to-equity tell us in the context of these firms?

Which stock shows more exposure to interest rate changes and macro cycles?

What does steady net interest margin suggest about UMB Financial versus UWM Holdings?

How should you assess growth prospects in this pair?

What market risks are common to both stocks in this comparison?

How do regional and industry dynamics influence these stocks?

What should a beginner focus on when reading a stock comparison page like this?

Is there an educational disclaimer I should note before using this page for decisions?

Comparison Snapshot

About The Companies