Fannie Mae (OTCMKTS:FNMA) Share Price Crosses Below Two Hundred Day Moving Average – Here’s Why

Fannie Mae (OTCMKTS:FNMA) shares crossed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $10.66 and traded as low as $7.05. Fannie Mae shares last traded at $7.20, with a volume of 4,991,520 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on FNMA shares. B. Riley Financial reissued a “neutral” rating on shares of Fannie Mae in a research note on Thursday, February 12th. BTIG Research initiated coverage on shares of Fannie Mae in a research report on Monday, January 26th. They issued a “buy” rating and a $20.00 target price for the company. Zacks Research downgraded Fannie Mae from a “hold” rating to a “strong sell” rating in a research report on Wednesday, February 11th. Finally, Wedbush assumed coverage on Fannie Mae in a research note on Tuesday, November 25th. They set an “outperform” rating and a $11.50 price target for the company. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $14.30.

Fannie Mae Stock Down 3.1%

The stock has a market cap of $8.34 billion, a P/E ratio of 2.95 and a beta of 1.73. The company has a 50-day simple moving average of $9.12 and a two-hundred day simple moving average of $10.66.

Fannie Mae (OTCMKTS:FNMA) last issued its earnings results on Wednesday, February 11th. The financial services provider reported $0.60 EPS for the quarter, missing the consensus estimate of $0.68 by ($0.08). The firm had revenue of $7.33 billion during the quarter, compared to analysts’ expectations of $7.33 billion. Fannie Mae had a negative return on equity of 49.21% and a net margin of 2.22%.

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.