Freddie Mac (OTCMKTS:FMCC) Shares Up 8.6% - Here's What Happened

Key Points

• Shares rose 8.6% to $5.30 on Monday with roughly 979,082 shares traded, about a 68% decline from the stock's average daily volume of 3.1 million shares.
• Analyst views are mixed — one Strong Buy, two Buys, one Hold and one Sell — giving a consensus rating of "Moderate Buy" and an average price target of $16.84 (BTIG recently initiated coverage with a $20 target).
• Key metrics: market cap ~$3.35 billion, 50-day/200-day moving averages of $6.89/$9.38, and a negative P/E of -258, reflecting current losses.

Freddie Mac (OTCMKTS:FMCC - Get Free Report) rose 8.6% on Monday . The stock traded as high as $5.33 and last traded at $5.30. Approximately 979,082 shares traded hands during mid-day trading, a decline of 68% from the average daily volume of 3,099,109 shares. The stock had previously closed at $4.88.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on the company. BTIG Research initiated coverage on Freddie Mac in a report on Monday, January 26th. They set a "buy" rating and a $20.00 price objective for the company. Keefe, Bruyette & Woods decreased their target price on Freddie Mac from $11.00 to $9.00 and set an "underperform" rating for the company in a research report on Thursday, December 18th. Wedbush raised shares of Freddie Mac from an "underperform" rating to an "outperform" rating and set a $13.35 target price for the company in a research note on Friday, December 12th. Finally, Zacks Research upgraded shares of Freddie Mac to a "hold" rating in a report on Monday, December 15th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $16.84.

Freddie Mac Stock Up 5.7%

The firm has a 50 day moving average of $6.89 and a 200-day moving average of $9.38. The company has a market cap of $3.35 billion, a P/E ratio of -258.00 and a beta of 1.83.

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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