Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Federal National Mortgage Association provides a source of financing for mortgages in the United States. It securitizes mortgage loans originated by lenders into Fannie Mae mortgage-backed securities (Fannie Mae MBS). The company operates through two segments, Single-Family and Multifamily. The Single-Family segment securitizes and purchases single-family fixed-rate or adjustable-rate, first-lien mortgage loans, or mortgage-related securities...
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. Specifically, the stock is 'cheap' on P/E, overvalued on EV/EBITDA
Target Price
The average target price of FNMA is 14 and suggests 119% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to increas
