Fannie Mae (OTCMKTS:FNMA) Stock Price Crosses Below 200 Day Moving Average - Here's What Happened

Key Points

• Fannie Mae shares fell below their 200-day moving average during Friday trading, with the stock dipping as low as $5.51 before last trading at $6.02. The 200-day average stood at $7.46, highlighting recent weakness in the shares.
• Analyst sentiment is mixed but cautious overall, with several recent downgrades and the current consensus rating at Hold. MarketBeat cites a consensus price target of $12.75, though individual firms have trimmed targets or turned neutral/underperform.
• Recent earnings were in line with expectations, as Fannie Mae reported $0.63 EPS and $7.28 billion in revenue for the quarter. The company also showed a negative return on equity of 65.94%, while analysts expect $2.57 EPS for the current fiscal year.

Shares of Fannie Mae (OTCMKTS:FNMA - Get Free Report) 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 Analyst Weigh In

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

Fannie Mae Price Performance

The company has a market capitalization of $6.97 billion, a P/E ratio of 602.60 and a beta of 1.62. The stock has a 50-day moving average price of $6.72 and a 200-day moving average price of $7.46.

Fannie Mae (OTCMKTS:FNMA - Get Free Report) last announced its earnings results on Wednesday, April 29th. The financial services provider reported $0.63 EPS for the quarter, meeting the consensus estimate of $0.63. The business had revenue of $7.28 billion for the quarter, compared to analysts' expectations of $7.25 billion. Fannie Mae had a negative return on equity of 65.94% and a net margin of 4.53%. Sell-side analysts anticipate that Fannie Mae will post 2.57 EPS for the current fiscal 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.

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