Fannie Mae (OTCMKTS:FNMA) Stock Price Passes Below 200-Day Moving Average – Here’s Why

Shares of Fannie Mae (OTCMKTS:FNMA) passed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $10.71 and traded as low as $10.57. Fannie Mae shares last traded at $10.9080, with a volume of 3,549,988 shares trading hands.

Analysts Set New Price Targets

FNMA has been the subject of a number of recent analyst reports. Keefe, Bruyette & Woods boosted their price target on shares of Fannie Mae from $4.00 to $10.00 and gave the company an “underperform” rating in a report on Thursday, September 18th. Deutsche Bank Aktiengesellschaft started coverage on Fannie Mae in a research note on Thursday, September 11th. They issued a “buy” rating and a $20.00 target price for the company. Zacks Research downgraded Fannie Mae from a “hold” rating to a “strong sell” rating in a report on Monday, November 3rd. Wedbush assumed coverage on Fannie Mae in a report on Tuesday, November 25th. They set an “outperform” rating and a $11.50 price objective on the stock. Finally, B. Riley upgraded Fannie Mae to a “hold” rating in a research report on Wednesday, October 29th. Two analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $12.88.

Fannie Mae Stock Up 1.6%

The stock’s fifty day moving average price is $10.74 and its 200-day moving average price is $10.71. The company has a market capitalization of $12.63 billion, a price-to-earnings ratio of 5.84 and a beta of 1.71.

Fannie Mae (OTCMKTS:FNMA) last announced its earnings results on Wednesday, October 29th. The financial services provider reported $0.65 EPS for the quarter, missing the consensus estimate of $0.72 by ($0.07). The business had revenue of $7.31 billion for the quarter, compared to analyst estimates of $7.72 billion. Fannie Mae had a negative return on equity of 37.47% and a net margin of 2.61%.

About Fannie Mae

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.