Fannie Mae (OTCMKTS:FNMA) Sets New 1-Year Low – Time to Sell?

Fannie Mae (OTCMKTS:FNMA) shares reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $4.74 and last traded at $4.7940, with a volume of 2516491 shares. The stock had previously closed at $5.34.

More Fannie Mae News

Here are the key news stories impacting Fannie Mae this week:

• Positive Sentiment: FHFA eased insurance requirements (allows cheaper ACV roof coverage), which should lower up‑front costs for homebuyers and condo owners and support originations. Buying A Home Just Got Cheaper: FHFA Eases Insurance Rules, Cuts Costs For Borrowers
• Positive Sentiment: Fannie/Freddie revised condo insurance standards and other GSE insurance changes intended to expand access and reduce borrower costs — a structural lift if it boosts condo lending. Fannie Mae, Freddie Mac announce revisions to condo insurance standards
• Positive Sentiment: Industry coverage frames the insurance rule changes as fixing a real cost barrier for borrowers, which could improve mortgage demand over time. GSE Insurance Changes Fix ‘Real Problem’
• Neutral Sentiment: FHFA plans to expand counterparty oversight — this increases regulatory scrutiny (operational/credit monitoring) and could raise compliance costs but also aims to reduce systemic risk. FHFA plan renews its effort to grow counterparty oversight
• Negative Sentiment: Uncertainty over privatization plans and skepticism about administration policy has triggered heavy selling and headlines that Fannie/Freddie stocks are in “free‑fall,” weighing on investor appetite for FNMA. Fannie, Freddie Stocks Free-Fall As Privatization Plans Remain Unclear
• Negative Sentiment: Widespread media coverage highlights doubt about the administration’s privatization intentions; that political uncertainty is driving short‑term selling pressure. Fannie, Freddie shares tank with doubts about Trump plans
• Negative Sentiment: Mortgage application declines, rising rates and institutional rebalancing are cited as additional headwinds that reduce volume and investor interest in GSE shares. Four big reasons that are hurting Fannie Mae stock today

Wall Street Analysts Forecast Growth

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

Fannie Mae Stock Performance

The firm has a market cap of $5.65 billion, a PE ratio of 1.90 and a beta of 1.78. The stock has a fifty day moving average price of $7.81 and a 200-day moving average price of $10.18.

Fannie Mae (OTCMKTS:FNMA) last posted its quarterly 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 business had revenue of $7.33 billion during the quarter, compared to analysts’ expectations of $7.33 billion. Fannie Mae had a net margin of 2.22% and a negative return on equity of 49.21%.

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.