Wedbush Downgrades Fannie Mae (OTCMKTS:FNMA) to Neutral

Fannie Mae (OTCMKTS:FNMA) was downgraded by equities research analysts at Wedbush from an “outperform” rating to a “neutral” rating in a note issued to investors on Friday. They presently have a $8.00 price objective on the financial services provider’s stock. Wedbush’s target price indicates a potential downside of 2.20% from the stock’s previous close.

FNMA has been the topic of a number of other research reports. Zacks Research upgraded Fannie Mae from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 21st. Keefe, Bruyette & Woods dropped their target price on Fannie Mae from $10.00 to $8.50 and set an “underperform” rating on the stock in a report on Monday, April 20th. BTIG Research started coverage on Fannie Mae in a report on Monday, January 26th. They issued a “buy” rating and a $20.00 price target for the company. Finally, B. Riley Financial reiterated a “neutral” rating on shares of Fannie Mae in a research note on Thursday, February 12th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $13.30.

Fannie Mae Trading Up 6.4%

Shares of FNMA stock opened at $8.18 on Friday. The company’s fifty day simple moving average is $6.83 and its 200-day simple moving average is $8.96. Fannie Mae has a 52 week low of $3.60 and a 52 week high of $15.99. The company has a market cap of $9.47 billion, a PE ratio of 818.82 and a beta of 1.73.

Fannie Mae (OTCMKTS:FNMA) last posted its earnings results on Wednesday, April 29th. The financial services provider reported $0.63 earnings per share for the quarter, meeting the consensus estimate of $0.63. Fannie Mae had a net margin of 4.53% and a negative return on equity of 62.46%. The business had revenue of $7.28 billion for the quarter, compared to analyst estimates of $7.25 billion. Equities research analysts expect that Fannie Mae will post 2.53 EPS for the current fiscal year.

Fannie Mae Company Profile

The Federal National Mortgage Association, commonly known as Fannie Mae (OTCMKTS:FNMA), is a government-sponsored enterprise established by Congress in 1938 as part of the New Deal to support the U.S. housing market. Headquartered in Washington, DC, Fannie Mae’s mission is to promote liquidity, stability and affordability in the mortgage market. The company operates by purchasing residential mortgage loans from financial institutions, pooling them into mortgage-backed securities (MBS), and providing guarantees to investors against borrower default.

In its core business, Fannie Mae works with mortgage lenders across the United States—including banks, credit unions and mortgage finance companies—to ensure a steady flow of capital for homebuyers and homeowners seeking refinancing.