Freddie Mac (OTCMKTS:FMCC) Trading Down 5.2% - Here's What Happened

Key Points

• Freddie Mac's stock price dropped by 5.2% during mid-day trading on Monday, closing at $12.80, significantly lower than its previous close of $13.50.
• Deutsche Bank has initiated coverage on Freddie Mac with a "buy" rating and a target price of $25.00, while the stock currently has an average rating of "Hold" and an average target price of $14.75.
• In its latest quarterly earnings report, Freddie Mac reported a net margin of 9.04% and a negative return on equity of 44.33%, with earnings per share of ($0.01).

Freddie Mac (OTCMKTS:FMCC - Get Free Report) shares were down 5.2% during mid-day trading on Monday . The company traded as low as $12.63 and last traded at $12.80. Approximately 4,138,817 shares were traded during trading, a decline of 7% from the average daily volume of 4,462,491 shares. The stock had previously closed at $13.50.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on FMCC shares. Deutsche Bank Aktiengesellschaft started coverage on shares of Freddie Mac in a research report on Thursday, September 11th. They set a "buy" rating and a $25.00 target price on the stock. Keefe, Bruyette & Woods lifted their price objective on shares of Freddie Mac from $4.50 to $11.00 and gave the company an "underperform" rating in a research report on Thursday. One research analyst has rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Freddie Mac presently has an average rating of "Hold" and a consensus target price of $18.00.

Freddie Mac Stock Down 5.8%

The business has a fifty day simple moving average of $9.20 and a 200 day simple moving average of $7.25. The company has a market cap of $7.95 billion, a price-to-earnings ratio of -407.47 and a beta of 2.10.

Freddie Mac (OTCMKTS:FMCC - Get Free Report) last released its 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 business had revenue of $5.92 billion during the quarter.

Freddie Mac Company Profile

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.