Fannie Mae (OTCMKTS:FNMA) Shares Pass Below 200 Day Moving Average – Time to Sell?

Shares of Fannie Mae (OTCMKTS:FNMA) passed below its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $7.46 and traded as low as $5.51. Fannie Mae shares last traded at $6.02, with a volume of 4,560,226 shares trading hands.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Wedbush lowered Fannie Mae from an “outperform” rating to a “neutral” rating and set a $8.00 target price for the company. in a report on Friday, May 1st. Zacks Research upgraded Fannie Mae from a “strong sell” rating to a “hold” rating in a report on Tuesday, April 21st. Mizuho started coverage on Fannie Mae in a report on Monday, May 4th. They issued an “outperform” rating and a $10.00 price target on the stock. Keefe, Bruyette & Woods reduced their price target on Fannie Mae from $10.00 to $8.50 and set an “underperform” rating for the company in a research report on Monday, April 20th. Finally, BTIG Research cut Fannie Mae from a “buy” rating to a “neutral” rating in a research note on Tuesday, June 16th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $12.75.

Fannie Mae Stock Up 4.7%

The company’s 50 day simple moving average is $6.72 and its two-hundred day simple moving average is $7.46. The company has a market capitalization of $6.97 billion, a price-to-earnings ratio of 602.60 and a beta of 1.62.

Fannie Mae (OTCMKTS:FNMA) last issued its quarterly earnings data on Wednesday, April 29th. The financial services provider reported $0.63 EPS 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 firm had revenue of $7.28 billion during the quarter, compared to analyst estimates of $7.25 billion. Analysts anticipate that Fannie Mae will post 2.57 EPS for the current year.

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.