Fannie Mae (OTCMKTS:FNMA) Given New $3.50 Price Target at Keefe, Bruyette & Woods

Fannie Mae (OTCMKTS:FNMA) had its price target cut by analysts at Keefe, Bruyette & Woods from $6.25 to $3.50 in a research 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’ target price suggests a potential downside of 19.45% from the company’s current price.

Several other research analysts also recently weighed in on FNMA. BTIG Research downgraded shares of Fannie Mae from a “buy” rating to a “neutral” rating in a research report on Tuesday, June 16th. Wedbush reiterated a “neutral” rating and issued a $8.00 target price on shares of Fannie Mae in a report on Thursday, July 30th. Finally, B. Riley Financial lowered their price target on shares of Fannie Mae from $8.00 to $7.00 and set a “neutral” rating on the stock in a report on Thursday, July 30th. One equities research analyst has rated the stock with a Strong Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $9.70.

Fannie Mae Trading Down 7.0%

FNMA stock traded down $0.33 during trading hours on Monday, hitting $4.34. 3,328,845 shares of the stock traded hands, compared to its average volume of 5,108,521. Fannie Mae has a one year low of $3.60 and a one year high of $13.05. The company has a market cap of $5.03 billion, a P/E ratio of 108.65 and a beta of 1.70. The stock has a 50-day simple moving average of $5.86 and a 200 day simple moving average of $6.46.

Fannie Mae (OTCMKTS:FNMA) last issued its earnings results on Wednesday, July 29th. The financial services provider reported $0.68 earnings per share for the quarter, topping analysts’ consensus estimates of $0.63 by $0.05. The firm had revenue of $7.57 billion during the quarter, compared to analysts’ expectations of $7.32 billion. Fannie Mae had a net margin of 4.59% and a negative return on equity of 76.66%. Analysts forecast that Fannie Mae will post 2.63 earnings per share for the current year.

Institutional Trading of Fannie Mae

An institutional investor recently bought a new stake in Fannie Mae stock. Hennessy Advisors Inc. acquired a new stake in Fannie Mae (OTCMKTS:FNMA) during the second quarter, according to its most recent Form 13F filing with the SEC. The firm acquired 30,000 shares of the financial services provider’s stock, valued at approximately $195,000. 0.02% of the stock is currently owned by hedge funds and other institutional investors.

About Fannie Mae

Fannie Mae, formally known as the Federal National Mortgage Association, is a government-sponsored enterprise that supports liquidity and stability in the U.S. housing finance system. The company does not generally lend directly to homebuyers. Instead, it purchases qualifying residential mortgages from approved lenders, providing those institutions with funds to originate additional loans.

Fannie Mae finances its activities primarily by issuing debt and mortgage-backed securities. It also guarantees the timely payment of principal and interest on many mortgage-backed securities backed by the loans it purchases.