Freddie Mac (OTCMKTS:FMCC) Shares Gap Up Following Analyst Upgrade

Freddie Mac (OTCMKTS:FMCC)’s stock price gapped up before the market opened on Monday after Mizuho upgraded the stock to a strong-buy rating. The stock had previously closed at $7.1260, but opened at $7.65. Mizuho now has a $9.00 price target on the stock. Freddie Mac shares last traded at $7.91, with a volume of 1,099,124 shares trading hands.

A number of other research firms have also issued reports on FMCC. Keefe, Bruyette & Woods lowered their target price 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. BTIG Research started coverage on shares of Freddie Mac in a research note on Monday, January 26th. They issued a “buy” rating and a $20.00 target price on the stock. Two research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Freddie Mac has an average rating of “Moderate Buy” and an average target price of $15.17.

Freddie Mac Stock Performance

The business’s 50 day simple moving average is $6.05 and its 200-day simple moving average is $8.11.

Freddie Mac (OTCMKTS:FMCC) last posted its earnings results on Thursday, April 30th. The company reported $0.01 EPS for the quarter. The firm had revenue of $6.13 billion for the quarter, compared to analysts’ expectations of $5.61 billion. Freddie Mac had a negative return on equity of 65.39% and a net margin of 8.61%. Equities research analysts predict that Freddie Mac will post 0.01 earnings per share 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.