Freddie Mac (OTCMKTS:FMCC) Shares Gap Down – Time to Sell?

Freddie Mac (OTCMKTS:FMCC)’s share price gapped down before the market opened on Wednesday . The stock had previously closed at $5.48, but opened at $5.30. Freddie Mac shares last traded at $5.40, with a volume of 129,348 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on FMCC shares. Mizuho started coverage on Freddie Mac in a research note on Monday, May 4th. They issued an “outperform” rating and a $9.00 price target on the stock. Keefe, Bruyette & Woods lowered their price objective on Freddie Mac from $9.00 to $8.50 and set an “underperform” rating for the company in a research note on Monday, April 20th. Finally, BTIG Research downgraded Freddie Mac from a “buy” rating to a “neutral” rating in a report on Tuesday, June 16th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Freddie Mac currently has an average rating of “Moderate Buy” and a consensus price target of $15.17.

Freddie Mac Stock Down 1.8%

The firm’s fifty day moving average is $6.17 and its 200-day moving average is $6.78.

Freddie Mac (OTCMKTS:FMCC) last announced its quarterly earnings data on Thursday, April 30th. The company reported $0.01 earnings per share for the quarter. The company had revenue of $6.13 billion during the quarter, compared to analyst estimates of $5.61 billion. Freddie Mac had a net margin of 8.61% and a negative return on equity of 65.39%. Equities analysts predict that Freddie Mac will post 0.01 EPS for the current fiscal 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.