UWM Holdings Corporation faces a securities class action in the U.S. District Court for the Eastern District of Michigan after its shares fell 34.78% on Aug. 6, 2026. The decline followed disclosures about a $603.2 million interest-rate derivatives loss that contributed to a $451.9 million second-quarter net loss. Robbins Geller Rudman & Dowd LLP alleges UWM and certain senior executives misrepresented the company’s mortgage servicing rights hedging strategy, including an over-hedge tied to its planned acquisition of Two Harbors Investment Corp. The all-stock transaction, valued at $1.3 billion, was terminated in March 2026 after Two Harbors accepted a competing offer and agreed to pay UWM’s termination fee. The complaint covers investors who purchased or acquired UWM securities from March 9 through Aug. 5, 2026, and alleges that UWM’s hedging decisions created excess risk after the transaction ended. Investors have until Oct. 13, 2026, to seek appointment as lead plaintiff.