Fannie Mae (OTCMKTS:FNMA) Stock Price Crosses Below 200 Day Moving Average – Time to Sell?

Fannie Mae (OTCMKTS:FNMA) passed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $6.82 and traded as low as $6.14. Fannie Mae shares last traded at $6.29, with a volume of 2,324,340 shares.

Analyst Ratings Changes

Several research firms recently issued reports on FNMA. Mizuho started coverage on Fannie Mae in a research note on Monday, May 4th. They issued an “outperform” rating and a $10.00 price target for the company. B. Riley Financial lowered their price objective on Fannie Mae from $8.00 to $7.00 and set a “neutral” rating on the stock in a research report on Thursday, July 30th. Wedbush reissued a “neutral” rating and set a $8.00 target price on shares of Fannie Mae in a report on Thursday, July 30th. Finally, BTIG Research cut shares of Fannie Mae from a “buy” rating to a “neutral” rating in a research report on Tuesday, June 16th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Fannie Mae has an average rating of “Hold” and a consensus target price of $12.25.

Fannie Mae Price Performance

The company has a market cap of $7.28 billion, a P/E ratio of 157.29 and a beta of 1.66. The stock has a 50-day moving average of $6.21 and a 200 day moving average of $6.82.

Fannie Mae (OTCMKTS:FNMA) last announced its quarterly earnings data on Wednesday, July 29th. The financial services provider reported $0.68 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.63 by $0.05. The firm had revenue of $7.57 billion for the quarter, compared to the consensus estimate of $7.32 billion. Fannie Mae had a net margin of 4.59% and a negative return on equity of 76.66%. Sell-side analysts predict that Fannie Mae will post 2.59 EPS for the current year.

Institutional Investors Weigh In On Fannie Mae

A hedge fund recently bought a new stake in Fannie Mae stock. Hennessy Advisors Inc. purchased a new position in shares of Fannie Mae (OTCMKTS:FNMA) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund purchased 30,000 shares of the financial services provider’s stock, valued at approximately $195,000. 0.02% of the stock is currently owned by institutional investors and hedge funds.

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.