Freddie Mac (OTCMKTS:FMCC) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• Analysts give Freddie Mac an average recommendation of Moderate Buy across six firms (1 sell, 1 hold, 3 buy, 1 strong buy), with an average 1-year price target of $15.17.
• There is wide disagreement among brokers on valuation—Mizuho set a $9.00 target with an "outperform" rating, Keefe, Bruyette & Woods cut its target to $8.50 and rates it "underperform," while BTIG started coverage with a $20.00 "buy" target.
• The stock opened at $7.13 with a $4.63 billion market cap and a 52-week range of $3.40–$14.99; Freddie Mac reported quarterly EPS of $0.01 and revenue of $6.13 billion (above estimates) but showed a negative ROE of 65.39%.

Freddie Mac (OTCMKTS:FMCC - Get Free Report) has been given an average recommendation of "Moderate Buy" by the six ratings firms that are currently covering the firm, MarketBeat.com reports. One research analyst has rated the stock with a sell rating, one has assigned a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. The average 1 year price target among analysts that have issued a report on the stock in the last year is $15.17.

Several brokerages recently issued reports on FMCC. Mizuho set a $9.00 price target on Freddie Mac and gave the stock an "outperform" rating in a report on Monday. Keefe, Bruyette & Woods decreased their price target on Freddie Mac from $9.00 to $8.50 and set an "underperform" rating for the company in a report on Monday, April 20th. Finally, BTIG Research began coverage on Freddie Mac in a report on Monday, January 26th. They set a "buy" rating and a $20.00 price target for the company.

Freddie Mac Price Performance

OTCMKTS FMCC opened at $7.13 on Monday. The company has a market cap of $4.63 billion, a price-to-earnings ratio of -356.30 and a beta of 1.69. Freddie Mac has a 52 week low of $3.40 and a 52 week high of $14.99. The business has a 50 day moving average price of $6.04 and a 200-day moving average price of $8.15.

Freddie Mac (OTCMKTS:FMCC - Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The company reported $0.01 EPS for the quarter. The firm had revenue of $6.13 billion during the quarter, compared to the consensus estimate of $5.61 billion. Freddie Mac had a negative return on equity of 65.39% and a net margin of 8.61%. On average, equities research analysts anticipate that Freddie Mac will post 3.94 earnings per share for the current year.

Freddie Mac Company Profile

Freddie Mac OTCMKTS: FMCC, officially the Federal Home Loan Mortgage Corporation, is a government-sponsored enterprise chartered by Congress in 1970 to enhance liquidity and stability in the U.S. housing finance system. Headquartered in McLean, Virginia, the company operates under the supervision of the Federal Housing Finance Agency (FHFA) and carries a congressional mandate to support affordable, sustainable homeownership and rental housing markets nationwide.

The company's primary business activities involve purchasing mortgage loans from approved lenders, pooling them into mortgage-backed securities (MBS), and guaranteeing the timely payment of principal and interest to investors.

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