Fannie Mae (OTCMKTS:FNMA) Lowered to "Strong Sell" Rating by Zacks Research

Key Points

• Fannie Mae has been downgraded from a "hold" rating to a "strong sell" rating by Zacks Research, signaling a more bearish outlook on the stock.
• The company's earnings report revealed an EPS of $0.65, which missed expectations by $0.07, alongside a revenue shortfall of $7.31 billion compared to the consensus estimate of $7.72 billion.
• The average target price for Fannie Mae shares is $13.33, with varying ratings from analysts, including one buy, one hold, and two sell ratings.

Fannie Mae (OTCMKTS:FNMA - Get Free Report) was downgraded by stock analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a report issued on Monday,Zacks.com reports.

Several other research firms have also issued reports on FNMA. Keefe, Bruyette & Woods raised their target price on shares of Fannie Mae from $4.00 to $10.00 and gave the stock an "underperform" rating in a report on Thursday, September 18th. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Fannie Mae in a report on Thursday, September 11th. They issued a "buy" rating and a $20.00 target price for the company. Finally, B. Riley upgraded shares of Fannie Mae to a "hold" rating in a report on Wednesday, October 29th. One analyst has rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, Fannie Mae has an average rating of "Reduce" and an average target price of $13.33.

Fannie Mae Trading Down 4.1%

Fannie Mae stock opened at $10.85 on Monday. The firm has a 50-day moving average price of $12.19 and a 200-day moving average price of $10.51. The firm has a market capitalization of $12.57 billion, a PE ratio of 16.18 and a beta of 2.04. Fannie Mae has a 12-month low of $1.34 and a 12-month high of $15.99.

Fannie Mae (OTCMKTS:FNMA - Get Free Report) last released its earnings results on Wednesday, October 29th. The financial services provider reported $0.65 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.72 by ($0.07). The firm had revenue of $7.31 billion during the quarter, compared to the consensus estimate of $7.72 billion. Fannie Mae had a negative return on equity of 37.47% and a net margin of 7.02%.

About Fannie Mae

Federal National Mortgage Association provides financing solutions for mortgages in the United States. It operates through two segments, Single-Family and Multifamily. The Single-Family segment securitizes and purchases single-family fixed-rate or adjustable-rate, first-lien mortgage loans, or mortgage-related securities backed by these loans; and loans that are insured by Federal Housing Administration, loans guaranteed by the Department of Veterans Affairs and Rural Development Housing and Community Facilities Program of the U.S.

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