5 Most Undervalued Penny Stocks To Buy According To Hedge Funds

3. UWM Holdings Corporation (NYSE:UWMC)

Number of Hedge Fund Holders: 17

UWM Holdings Corporation (NYSE:UWMC) is a Michigan-based mortgage lending company. With a PE ratio of 8.64 as of February 5, it is one of the most undervalued penny stocks to buy according to hedge funds. Of the 920 funds tracked by Insider Monkey as of the end of the third quarter of 2022, 17 hedge funds had stakes in UWM Holdings Corporation (NYSE:UWMC). The net worth of these stakes was $13.4 million. Amid the current headwinds in the market driven by mortgage market uncertainty, UWM Holdings Corporation (NYSE:UWMC) could face short-term turbulence. However, UWM Holdings Corporation (NYSE:UWMC) is a solid dividend payer with a high yield. UWM Holdings Corporation (NYSE:UWMC)’s dividend yield stands at over 8% as of February 5.