Fannie Mae (OTCMKTS:FNMA) Price Target Cut to $8.50 by Analysts at Keefe, Bruyette & Woods

Fannie Mae (OTCMKTS:FNMA) had its target price cut by Keefe, Bruyette & Woods from $10.00 to $8.50 in a note issued to investors on Monday,Benzinga reports. The brokerage currently has an “underperform” rating on the financial services provider’s stock. Keefe, Bruyette & Woods’ price objective indicates a potential upside of 2.97% from the stock’s current price.

A number of other equities research analysts have also issued reports on the company. BTIG Research started coverage on Fannie Mae in a research note on Monday, January 26th. They issued a “buy” rating and a $20.00 target price on the stock. Zacks Research lowered Fannie Mae from a “hold” rating to a “strong sell” rating in a research note on Wednesday, February 11th. Finally, B. Riley Financial reaffirmed a “neutral” rating on shares of Fannie Mae in a research note on Thursday, February 12th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, one has assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $14.00.

Fannie Mae Price Performance

FNMA opened at $8.26 on Monday. The stock has a market cap of $9.56 billion, a P/E ratio of 3.20 and a beta of 1.73. The stock’s 50 day simple moving average is $6.90 and its 200 day simple moving average is $9.21. Fannie Mae has a 1-year low of $3.60 and a 1-year high of $15.99.

Fannie Mae (OTCMKTS:FNMA) last released its quarterly earnings results on Wednesday, February 11th. The financial services provider reported $0.60 earnings per share for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.08). Fannie Mae had a negative return on equity of 49.21% and a net margin of 2.22%.The firm had revenue of $7.33 billion during the quarter, compared to analyst estimates of $7.33 billion.

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.