Freddie Mac (OTCMKTS:FMCC) Shares Gap Up - Should You Buy?

Key Points

• Freddie Mac shares opened at $13.30, up from a previous close of $12.66, with a trading volume of 588,728 shares.
• Deutsche Bank has initiated coverage with a "buy" rating and a price target of $25.00, while Freddie Mac holds a consensus rating of "Hold" with a target price of $14.75.
• In its latest earnings report, Freddie Mac posted a net margin of 9.04% on revenue of $5.92 billion, despite a reported loss of ($0.01) EPS.

Shares of Freddie Mac (OTCMKTS:FMCC - Get Free Report) gapped up before the market opened on Thursday . The stock had previously closed at $12.66, but opened at $13.30. Freddie Mac shares last traded at $13.00, with a volume of 588,728 shares.

Analyst Ratings Changes

Separately, Deutsche Bank Aktiengesellschaft started coverage on shares of Freddie Mac in a report on Thursday. They issued a "buy" rating and a $25.00 price objective for the company. One equities research analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Freddie Mac currently has a consensus rating of "Hold" and a consensus target price of $14.75.

Freddie Mac Trading Up 9.1%

The company's fifty day simple moving average is $8.44 and its 200 day simple moving average is $6.89. The stock has a market capitalization of $8.98 billion, a P/E ratio of -460.43 and a beta of 2.10.

Freddie Mac (OTCMKTS:FMCC - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The company reported ($0.01) EPS for the quarter. Freddie Mac had a net margin of 9.04% and a negative return on equity of 44.33%. The firm had revenue of $5.92 billion during the quarter.

About Freddie Mac

Federal Home Loan Mortgage Corporation operates in the secondary mortgage market in the United States. It operates through two segments, Single-Family and Multifamily. The Single-Family segment purchases, securitizes, and guarantees single-family loans; and manages single-family mortgage credit and market risk, as well as manages mortgage-related investments portfolio, single-family securitization activities, and treasury functions.

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