UWM faces law firm fraud probe, analyst stock price cuts after Q2 loss, Oaktree deal  

UWM Holdings Corp. is facing a securities fraud investigation and fresh cuts on Wall Street after reporting a loss for the second quarter and a $2.05 billion capital raise. UWM reported that a hedge established around its attempted acquisition of Two Harbors Investment Corp.’s mortgage servicing rights portfolio produced a $603.2 million derivatives loss. This contributed to a $451.9 million net loss for the second quarter of 2026. Total equity fell 43.6% year over year, reflecting the loss and related derivative charges, the company disclosed. The Law Offices of Frank R. Cruz said last week that it has opened an investigation into potential federal securities law violations. UWM shares fell 34.78% to close at $1.20 on Thursday. As of this writing, UWM shares rose to $1.40. The Cruz firm — which investigates and prosecutes class-action lawsuits for securities fraud and corporate malfeasance — is seeking information from investors who purchased UWM securities and may have sustained losses. A lawsuit has not been filed at this point. According to analysts, UWM held an 8.5% overall mortgage market share and a 40.5% share of the wholesale channel during the second quarter. Its wholesal...