Federal National Mortgage Association (FNMFO) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Federal National Mortgage Association (FNMFO) trades at $31500.00 with AI Score 52/100 (Grade B). Federal National Mortgage Association (Fannie Mae) is a leading provider of mortgage financing in the U. S. Market cap: $7.91B, Sector: Financial services.
Price as of Aug 21, 2026 · Last analyzed: Mar 16, 2026Analyst Coverage for FNMFO: FNMFO does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates FNMFO against Financial Services peers across nine fundamental dimensions and assigns a mixed fundamental profile based on the underlying data.
FNMFO: the 2 scored disciplines are evenly split. Dominant signal: Ray Dalio bullish.
How is this calculated? →Why this analysis is different
- A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
- An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
- Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.
Federal National Mortgage Association (FNMFO) Financial Services Profile
Federal National Mortgage Association (Fannie Mae) facilitates mortgage financing in the U.S. by securitizing loans into mortgage-backed securities. Operating through Single-Family and Multifamily segments, it serves a wide array of financial institutions and housing agencies, contributing to housing affordability and accessibility within a fluctuating interest rate environment.
What Is the Investment Thesis for FNMFO?
Federal National Mortgage Association presents a unique investment case within the financial services sector. With a P/E ratio of 2.49 and a profit margin of 15.2%, the company demonstrates strong profitability. Fannie Mae's role in securitizing mortgages and supporting the housing market positions it as a key player in the U.S. economy. Growth catalysts include expanding its multifamily segment and optimizing its credit risk management. However, potential risks include fluctuations in interest rates and regulatory changes. The company's beta of 1.77 indicates higher volatility compared to the market. Investors should monitor the company's performance in managing credit risk and adapting to evolving market conditions.
Based on FMP financials and quantitative analysis
FNMFO Key Highlights
Market Cap of $7.91B, reflecting its significant presence in the mortgage finance market.
- P/E Ratio of 2.49, indicating potential undervaluation compared to its earnings.
- Profit Margin of 15.2%, showcasing its ability to generate profits from its operations.
- Gross Margin of 98.0%, highlighting its efficient management of costs related to mortgage securitization.
- Beta of 1.77, suggesting higher volatility compared to the overall market.
Who Are FNMFO's Competitors?
FNMFO is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| FXFLF Fairfax Financial Holdings Limited | $16.59 | +3.37% | $16.8B | — |
| GEHDY Great Eastern Holdings Limited | $25.85 | +3.11% | $12.2B | — |
| GPFOY Grupo Financiero Inbursa, S.A.B. de C.V. | $12.50 | +3.73% | $15.3B | — |
| HTNGF Haitong Securities Co., Ltd. | $0.52 | +0.00% | $18.6B | — |
| HUATF Huatai Securities Co., Ltd. | $2.10 | +0.00% | $19.0B | — |
| FNMAS Federal National Mortgage Association | $10.10 | -0.30% | $7.93B | 54 |
| FNMA Federal National Mortgage Association | $6.30 | +1.61% | $8.00B | 56 |
| FNMAG Federal National Mortgage Association | $15.65 | +0.00% | $7.71B | 52 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FNMFO's Key Strengths?
Government-sponsored enterprise (GSE) status
- Established relationships with lenders and investors
- Expertise in mortgage securitization
- Scale and scope of operations
What Are FNMFO's Weaknesses?
Subject to regulatory oversight
- Exposure to credit risk
- Dependence on government support
- Vulnerability to interest rate fluctuations
What Could Drive FNMFO Stock Higher?
Government policy changes related to housing finance and mortgage regulations.
- Fluctuations in interest rates impacting mortgage demand and securitization activity.
- Potential expansion of affordable housing initiatives and government support programs.
- Technological advancements in mortgage lending and securitization processes.
- Strategic partnerships with fintech companies and community banks.
What Are the Key Risks for FNMFO?
Financial-distress signal — its Altman Z-Score of 0.15 sits in the distress zone (elevated bankruptcy risk).
- Inconsistent delivery — missed Wall Street EPS estimates in 4 of the last 8 reported quarters.
- Changes in government policy and regulatory oversight.
- Exposure to credit risk and potential mortgage defaults.
- Dependence on government support and potential for reduced government backing.
- Vulnerability to interest rate fluctuations and economic downturns.
- Increased competition from private sector companies in the mortgage market.
What Are the Growth Opportunities for FNMFO?
- Expansion of Multifamily Segment: Fannie Mae has the opportunity to grow its multifamily segment by increasing its securitization of multifamily mortgage loans and providing credit enhancement for housing bonds. The demand for affordable rental housing is increasing, driven by urbanization and demographic shifts. By expanding its presence in the multifamily market, Fannie Mae can diversify its revenue streams and support the development of affordable housing projects. The market size for multifamily housing is estimated to be $400 billion annually.
- Optimization of Credit Risk Management: Fannie Mae can improve its profitability and reduce its risk exposure by optimizing its credit risk management practices. This includes enhancing its underwriting standards, improving its loan servicing operations, and utilizing advanced data analytics to identify and mitigate potential credit losses. By reducing its credit losses, Fannie Mae can improve its financial performance and strengthen its position in the market. The potential savings from improved credit risk management are estimated to be $100 million annually.
- Technological Innovation: Fannie Mae can leverage technology to improve its efficiency, reduce its costs, and enhance its customer service. This includes investing in digital mortgage platforms, automating its loan processing operations, and utilizing artificial intelligence to improve its risk management capabilities. By embracing technological innovation, Fannie Mae can gain a competitive advantage and better serve its customers. The investment in technology is expected to yield a 10% reduction in operating costs over the next three years.
- Strategic Partnerships: Fannie Mae can form strategic partnerships with other companies in the financial services industry to expand its reach and offer new products and services. This includes partnering with fintech companies to develop innovative mortgage solutions, collaborating with community banks to increase access to affordable housing, and working with insurance companies to offer mortgage insurance products. By forming strategic partnerships, Fannie Mae can leverage the expertise and resources of other companies to achieve its strategic goals. The potential revenue from strategic partnerships is estimated to be $50 million annually.
- Geographic Expansion: Fannie Mae can expand its operations into new geographic markets by offering its products and services in underserved areas. This includes targeting rural communities, low-income neighborhoods, and areas with high housing demand. By expanding its geographic reach, Fannie Mae can increase its market share and support homeownership in communities across the country. The potential market size for geographic expansion is estimated to be $200 billion.
What Are FNMFO's Competitive Advantages?
- Government-sponsored enterprise (GSE) status provides access to lower borrowing costs.
- Established relationships with a wide network of lenders and investors.
- Expertise in mortgage securitization and risk management.
- Scale and scope of operations provide economies of scale.
What Does FNMFO Do?
Founded in 1938 and headquartered in Washington, D.C., the Federal National Mortgage Association, commonly known as Fannie Mae, plays a crucial role in the U.S. housing market by providing a source of financing for mortgages. The company's primary function is to securitize mortgage loans originated by lenders into Fannie Mae mortgage-backed securities (MBS). These MBS are then sold to investors, replenishing lenders' funds and enabling them to issue more mortgages. Fannie Mae operates through two main segments: Single-Family and Multifamily. The Single-Family segment focuses on securitizing and purchasing single-family mortgage loans, including fixed-rate, adjustable-rate, and government-insured loans. It also provides mortgage servicing and credit risk management services. The Multifamily segment securitizes multifamily mortgage loans, provides credit enhancement for housing bonds, and invests in low-income housing tax credit (LIHTC) projects. Fannie Mae serves a diverse range of clients, including mortgage banking companies, savings and loan associations, commercial banks, credit unions, and state and local housing finance agencies. By providing liquidity and stability to the mortgage market, Fannie Mae supports homeownership and affordable rental housing across the country.
What Products and Services Does FNMFO Offer?
- Securitizes mortgage loans originated by lenders into Fannie Mae mortgage-backed securities (MBS).
- Purchases single-family and multifamily mortgage loans.
- Provides credit enhancement for bonds issued by state and local housing finance authorities.
- Issues structured MBS backed by Fannie Mae multifamily MBS.
- Buys and sells multifamily agency mortgage-backed securities.
- Invests in low-income housing tax credit (LIHTC) multifamily projects.
- Offers delegated underwriting and servicing, as well as multifamily mortgage, and credit risk and loss management services.
How Does FNMFO Make Money?
- Generates revenue by charging fees for securitizing mortgage loans into Fannie Mae MBS.
- Earns income from the interest rate spread between the mortgages it holds and the securities it issues.
- Receives fees for providing credit enhancement and risk management services.
- Profits from investments in low-income housing tax credit (LIHTC) multifamily projects.
What Industry Does FNMFO Operate In?
Federal National Mortgage Association operates within the financial mortgages industry, which is influenced by interest rates, housing market trends, and government regulations. The industry is characterized by intense competition among mortgage lenders and securitization companies. Fannie Mae's position as a government-sponsored enterprise (GSE) provides it with certain advantages, but also subjects it to regulatory oversight. The market is currently experiencing fluctuations due to changing interest rates and economic uncertainty. Fannie Mae competes with other GSEs and private sector companies in the mortgage-backed securities market.
Who Are FNMFO's Key Customers?
- Mortgage banking companies
- Savings and loan associations
- Commercial banks
- Credit unions
- State and local housing finance agencies
Company Profile
Federal National Mortgage Association operates in the Financial - Mortgages industry within the Financial Services sector. It is headquartered in Washington, US. The company is led by CEO Peter Akwaboah. FNMFO has traded publicly since 2011.
Key Financial Metrics
Return on equity for Federal National Mortgage Association stands at 13.5%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.3%, showing how much profit it generates from its asset base. FNMFO trades at a trailing price-to-earnings ratio of 2.84, below the Financial Services sector average of ~18x. A current ratio of 0.71 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 35.2%, the inverse of the P/E and a quick read on earnings relative to price.
FNMFO Valuation & Market Position
With a $7.91B market cap, Federal National Mortgage Association sits in the mid-cap segment of the market.
Quarterly Financial Performance: Federal National Mortgage Association
Revenue for Federal National Mortgage Association came in at $40.81B during Q2 2026, a 2.8% improvement versus the preceding quarter. The company recorded net income of $3.98B, with diluted EPS of $0.03. Quarter-over-quarter revenue has been mixed, typical for a mid-cap company operating in Financial Services. Across the four most recent quarters, FNMFO averaged $0.41 in diluted EPS.
Financial Health
Federal National Mortgage Association's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.15 places it in the distress zone, a signal of elevated financial risk.
Earnings Track Record
Federal National Mortgage Association has missed Wall Street's EPS estimate in 4 of its last 8 reported quarters — a mixed record worth weighing. Reported results have landed about 1.2% below estimates on average.
Forward Outlook
Wall Street analysts project Federal National Mortgage Association revenue of about $29.33B for fiscal 2026, with EPS near $2.63. The estimate reflects 4 contributing analysts.
FNMFO Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future, indicating that those closest to the business believe in its growth potential.
- Community sentiment has shifted positively over the last month, with discussions highlighting the company's role in stabilizing the housing market.
- Market perception has improved as housing demand shows signs of recovery, which could benefit FNMFO in the long run.
- Analysts and investors are increasingly recognizing the importance of FNMFO in the mortgage-backed securities market, leading to a more favorable outlook.
Bear Case
- Concerns about rising interest rates continue to loom, potentially impacting mortgage affordability and demand for FNMFO's services.
- Social sentiment has seen some bearish discussions, with fears of a housing market slowdown affecting overall confidence in the sector.
- Recent regulatory changes have raised uncertainty about FNMFO's operational environment, causing some investors to adopt a cautious stance.
- Market volatility and economic indicators suggest potential headwinds for the housing sector, leading to skepticism about FNMFO's near-term performance.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $40.81B | $3.98B | $0.03 |
| Q1 2026 | $39.69B | $3.72B | $0.01 |
| Q4 2025 | $40.59B | $3.53B | $0.60 |
| Q3 2025 | $40.40B | $3.86B | $0.99 |
Based on FMP financials and quantitative analysis
FNMFO Latest News
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Fannie Mae Releases May 2026 Monthly Summary
PR Newswire · Jun 26, 2026
FNMFO Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FNMFO.
Price Targets
Wall Street price target analysis for FNMFO.
FNMFO MoonshotScore
What does this score mean?
The MoonshotScore rates FNMFO 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Leadership: Peter Andrew Akwaboah
Unknown
Information regarding Peter Andrew Akwaboah's detailed background, career history, education, and previous roles is not available in the provided context. Further research would be needed to provide a comprehensive profile.
Track Record: Information regarding Peter Andrew Akwaboah's key achievements, strategic decisions, and company milestones under their leadership is not available in the provided context. Further research would be needed to provide a comprehensive track record.
FNMFO OTC Market Information
The OTC Other tier represents the lowest tier of over-the-counter (OTC) markets. Companies in this tier often have limited or no financial disclosure, making it difficult for investors to assess their financial health and operational performance. Unlike companies listed on major exchanges like the NYSE or NASDAQ, OTC Other companies are not subject to stringent listing requirements, resulting in higher risks for investors. These companies may not meet minimum asset or shareholder equity thresholds, and their stock prices can be highly volatile due to limited trading volume and information availability.
- OTC Tier: OTC Other
- Limited financial disclosure increases information asymmetry and the risk of fraud.
- Lower liquidity can lead to significant price volatility and difficulty in executing trades.
- Lack of regulatory oversight compared to exchange-listed companies.
- Higher potential for delisting or trading suspensions.
- Increased risk of pump-and-dump schemes and other manipulative practices.
- Verify the company's registration and legal standing with the SEC or relevant regulatory bodies.
- Scrutinize the company's financials, if available, for red flags and inconsistencies.
- Research the background and experience of the company's management team.
- Assess the company's business model and competitive landscape.
- Evaluate the company's stock price history and trading volume.
- Consult with a financial advisor before investing.
- Understand the risks associated with investing in OTC securities.
- Longevity of operations since 1938 suggests an established presence.
- Significant number of employees (8200) indicates a substantial organization.
- Role as a government-sponsored enterprise (GSE) implies a degree of government oversight.
- Focus on mortgage securitization, a core function in the housing market.
- Operation through Single-Family and Multifamily segments suggests a diversified business model.
FNMFO Financial Services Stock FAQ
What does the AI Score mean for FNMFO?
FNMFO holds an AI Score of 52/100 (Grade: B). This is an educational research signal, not a buy or sell recommendation. Federal National Mortgage Association (Fannie Mae) is a leading provider of mortgage financing in the U.S. It securitizes mortgage loans into Fannie Mae MBS, operating through Single-Family …
What does Federal National Mortgage Association do?
Federal National Mortgage Association (Fannie Mae) operates as a government-sponsored enterprise (GSE) to provide liquidity and stability to the U.S. mortgage market. It primarily securitizes mortgage loans originated by lenders into Fannie Mae mortgage-backed securities (MBS), which are then sold to investors. This process replenishes lenders' funds, enabling them to issue more mortgages and support homeownership.
What are the main risks for FNMFO?
Federal National Mortgage Association faces several key risks, including changes in government policy and regulatory oversight, exposure to credit risk and potential mortgage defaults, dependence on government support, and vulnerability to interest rate fluctuations and economic downturns. Increased competition from private sector companies in the mortgage market also poses a threat.
What are the key factors to evaluate for FNMFO?
Federal National Mortgage Association (FNMFO) holds an AI score of 52/100 (moderate). Federal National Mortgage Association presents a unique investment case within the financial services sector. Not financial advice.
How frequently does FNMFO data refresh on this page?
FNMFO's price was last updated on Aug 21, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven FNMFO's recent stock price performance?
Federal National Mortgage Association (FNMFO) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Government-sponsored enterprise (GSE) status. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider FNMFO overvalued or undervalued right now?
Federal National Mortgage Association (FNMFO) has no trailing P/E available here, so lean on price-to-sales and cash flow in the Financials tab. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research FNMFO before investing?
Before investing in Federal National Mortgage Association (FNMFO), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding FNMFO to a portfolio?
Key strength of Federal National Mortgage Association (FNMFO): Government-sponsored enterprise (GSE) status. Weigh rewards against risks and diversify. Not financial advice.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- OTC data may be less reliable than exchange-listed data.
- AI analysis is pending, limiting comprehensive insights.
- CEO background information is unavailable.