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A shareholder-owned company, which provides affordable housing capital to local communities in order to serve the U.S. housing market.
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DeerHunter73 (24.96) Submitted: 7/11/08 8:11 AM : Start Price: $13.13 FNM Score: -15.30
This one just like Fannie may goto zero but they will never go out of business. I read thru some of your posts and I just laugh. Both Fre and Fnm are GOV baked banks like it or not. Those 2 wont be allowed to fail. No I don't own stocks in these 2 but I do have 3 mortgages with them. THERE ARE THE BEST LOANS YOU CAN GET! Rates will not go down anymore. Fed needs to raise rates back up causing a chain reaction. Oil drops dollar goes up This world revolves around money like it or not. as long as rates are this low the economy in general will suffer. Look at it realistically Freddie and Fannie wont be bought out. There isn't a bank that can afford to without that causing that bank to go under. Perfect example will be Ken Lewis with his GREAT choice to buy out CFC . You watch BAC will get major help in the next 2 years. The gov will step in and take care of there 2 banks which is Fannie and Freddie. Like it or not that's what will happen Former Fed Poole was even corrected by the sec of treasury yesterday stating on Bloomberg live " these 2 have plenty of liquidity and will NOT go out of business " People need to stop listening to people like EX FED GREENSPAN AND POOLE" LIKE THE SEC OF TREASURY SAID YESTERDAY HAD THOSE 2 DONE THERE JOB WHEN THEY WERE IN OFFICE WE WOULDN'T BE IN THE SITUATION WERE IN NOW!
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Fallen001 (< 20) Submitted: 7/11/08 10:32 AM
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Greenspan and Poole did their jobs just fine...They helped WS bilk the taxpayers, homeowners, investors, etc for all we're worth and began the redistibution of wealth back to the top just like good lil' Retardicans from Wall Street.
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chickenghost (< 20) Submitted: 7/12/08 5:39 PM
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This will go to zero, the bailout will not save any of the shareholders, it is inevitable.
Robert685 (< 20) Submitted: 7/14/08 11:00 AM
If you are at all investing in this, you're panning for FOOLS gold....Take a look at the short interest as of 06/30---138,687,675http://www.nasdaq.com/aspxcontent/shortinterests.aspx?symbol=FNM&symbol=FRE&symbol=BORL&symbol=DR&selected=FNMIn 2006, this PIG OF A COMPANY had to restate $6.3 BILLION worth of earnings...IN ONE OF THE NATIONS LARGEST ACCOUNTING SCANDALS!!!!http://www.nytimes.com/2006/12/07/business/07fannie.htmlIf anyone is STUPID enough to believe ANYTHING this PIG has to say about liquidity and solvency...then the laws of Darwian investing will take care of you.....
DeerHunter73 (24.96) Submitted: 7/14/08 4:38 PM
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The gov wont let either fannie or freddie goto 0. they cant afford to allow that to happen. Yes there stocks are going to go lower SOME but not the magnitude people are thinking now. If either of these 2 go out of business we will end up in a great depression wose then 1929 ever thought. The gov wont be able to keep up with the job losses much less the unemployment that will be paid out. Yes i agree more banks are due to go under LEH is prob next, but fre and fnm will behere to stay. Might not be worth much but as long as there being traded there worth something! I dont see us getting out of this financial trouble untill 3rd or 4th qtr of 2009 if then! theres so many to blame for this and sadly everyone is going to the top instead of the small guys who started this a few years ago and working up from there! I'm not here for points im here stating my opinion and thoughts
UncleSkell (57.54) Submitted: 7/15/08 2:15 AM
I like the part about how "as long as they're being traded they're worth something". That's what I thought when I was putting money in Enron and Bear Stearns. Government-chartered financial institutions are different from real companies, but that doesn't necessarily make them good investments. Fannie Mae and Freddie Mac will probably survive, but they may not continue in the same form as we know them now.But it's good that you're here to express an opinion and not for points.
jaketen2001 (45.87) Submitted: 7/15/08 11:30 PM
Is there a point in there? Just interested in the share price, and from what you say, you agree with everyone else that the share price will evaporate. "may go to zero, but will never go out of business.." We dont care if it does or does not go out of business. For all intents and purposes, if the cancel all the outstanding shares, renegotiate their debt, and go on someday to another share offering, it is another company. Even if they keep their name. What are you trying to say?
DeerHunter73 (24.96) Submitted: 7/16/08 2:33 PM
Not hard to figure out fnm and fre aren't going out of business. even if there diluted to nearly nothing there stock would still trade. The gov wont let them goto 0. the gov cant afford them to goto 0. IF EITHER OF THEM GOTO 0 DON'T COMPLAIN ABOUT IT ITS THE RISK YOU TAKE BY INVESTING IF THOSE COMPANIES GOING TO 0 BOTHERS SOME OF YOU SO MUCH GIVE YOUR SHARES BACK OR START WRIGHTING BLANK CHECKS SO THEY CAN PAY OFF THERE DEBT. OTHERWISE DON'T COMPLAIN ABOUT SOMETHING YOU HAVE 0 CONTROL OVER!.
Kmunk (53.63) Submitted: 7/22/08 10:24 AM
I don't think it is any issue that they will remain in business and the Government will bail them out. However, that bailout will be of debt and a rescue of the the bond holders only, just as every other Government organized rescue has been. Has nothing to do with the stock investor, share price, etc. When the Government rescues a company the shareholders are always allowed to fail sending the stock price to 0. Debt is secured, not share price. Take a look at the recent IndyMac which wasn't allowed to "fail" and rescued by the FDIC. Their stock is now 0 and no longer traded. Right now the market caps are low on these two companies and there are rumors they will dilute to raise up to 10 billion. 10 billion will require issuance of shares that is about 2 for every one outstanding, or a cut of 70% of the value of the shares. and 10 billion is not going to cover much of anything on the 5.2 trillion they are hemorraging from. What I think you are going to see here is a mad dash to get as many share investors buying and holding as many shares as possible (pulling in as much in issuance as possible) before the rug is pulled out from under them and the two entities' debt is secured and brought under the wing of the Government. Then a reorganization after the dust settles in the mortgage market of a "new" Fannie and Freddie with all new shares/IPO. Those shares you will want to own, not these. Just my two cents.
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