Fannie Mae (OTCMKTS:FNMA) Shares Cross Below 200 Day Moving Average – Should You Sell?

Fannie Mae (OTCMKTS:FNMA) passed below its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $7.67 and traded as low as $5.80. Fannie Mae shares last traded at $5.86, with a volume of 6,156,574 shares traded.

Analyst Ratings Changes

FNMA has been the subject of several recent analyst reports. BTIG Research cut shares of Fannie Mae from a “buy” rating to a “neutral” rating in a research note on Tuesday, June 16th. Keefe, Bruyette & Woods decreased their price objective on Fannie Mae from $10.00 to $8.50 and set an “underperform” rating on the stock in a report on Monday, April 20th. Zacks Research raised Fannie Mae from a “strong sell” rating to a “hold” rating in a research report on Tuesday, April 21st. Wedbush lowered Fannie Mae from an “outperform” rating to a “neutral” rating and set a $8.00 target price for the company. in a research note on Friday, May 1st. Finally, Mizuho started coverage on Fannie Mae in a research report on Monday, May 4th. They set an “outperform” rating and a $10.00 target price on the stock. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and an average target price of $12.75.

Fannie Mae Price Performance

The stock has a market cap of $6.79 billion, a PE ratio of 586.59 and a beta of 1.62. The stock has a 50-day simple moving average of $6.98 and a 200-day simple moving average of $7.67.

Fannie Mae (OTCMKTS:FNMA) last released its quarterly earnings data 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 negative return on equity of 65.94% and a net margin of 4.53%.The business had revenue of $7.28 billion for the quarter, compared to analyst estimates of $7.25 billion. As a group, equities research analysts anticipate that Fannie Mae will post 2.57 EPS for the current 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.