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

Key Points

• Keefe, Bruyette & Woods cut Fannie Mae's price target from $10.00 to $8.50 and maintained an underperform rating, implying only about a 3% upside from the current price.
• Analyst views are mixed: MarketBeat shows a consensus rating of Hold with a $14.00 consensus price target, while individual calls range from BTIG's $20.00 buy to Zacks' recent strong sell.
• Fannie Mae opened at $8.26, trades in a 52‑week range of $3.60–$15.99 with a $9.56B market cap, and recently posted an EPS of $0.60 (vs. $0.68 expected) and a negative return on equity of 49.21%.

Fannie Mae (OTCMKTS:FNMA - Get Free Report) had its price target lowered by investment analysts at Keefe, Bruyette & Woods from $10.00 to $8.50 in a report issued on Monday,Benzinga reports. The brokerage currently has an "underperform" rating on the financial services provider's stock. Keefe, Bruyette & Woods' price objective would indicate a potential upside of 2.97% from the company's current price.

Several other brokerages have also recently issued reports on FNMA. BTIG Research assumed coverage on Fannie Mae in a research report on Monday, January 26th. They issued a "buy" rating and a $20.00 price target on the stock. B. Riley Financial restated a "neutral" rating on shares of Fannie Mae in a research report on Thursday, February 12th. Finally, Zacks Research cut Fannie Mae from a "hold" rating to a "strong sell" rating in a research report on Wednesday, February 11th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, one has assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $14.00.

Fannie Mae Stock Performance

Fannie Mae stock opened at $8.26 on Monday. Fannie Mae has a fifty-two week low of $3.60 and a fifty-two week high of $15.99. The company has a market capitalization of $9.56 billion, a P/E ratio of 3.20 and a beta of 1.73. The stock has a 50-day simple moving average of $6.90 and a 200-day simple moving average of $9.21.

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

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.

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