Fannie Mae (FNM)

bankruptcy charm here I come!

dwot

Weak and Deteriorating Cashflow

New investors please beware!!!! the reason stocks like these have made gains is only because of the uneducated investors( n i actually dont mean that offensively) have bought into them with the mentality " they were huge before so they will be again, n its a good time to get in". that is not true. these companies have burned through money like hellfire n have proven to have shady management. they r bubbles waiting to burst hard!!! plus for new investors a bubble is an on overly large rise in value or false rise in value that is waiting to blow n plummit!!!! dont buy them!!! there r much more intelligent buys out there!!!

> Govt owned company
> Exposure to housing sector - still a long way before comeback
> Heavy govt loans reqd for survival
> Absurd prices for a bankrupt cpompany
> The company future may be good, as it is a stable product in a stable housing market. But current retail investors will get nothing as it cant ride the wave without spending entire equity.

It does seem a little strange giving this the red thumb, I mean considering I actually own a part of it. A rather large part of it. Thank you government, just what I always wanted!

I believe these guys are bankrupt...

This stock shouldn't even be a consideration nor should it's brother Freddie Mac. It stayed under the allowable one dollar limit for well past any reasonable time and wasn't put off the exchange like someone else woould have been. The picture for this government manufactured entity that is partly responsible for the global smackdown on the economies of the world should be painted with a bloody rag for all the pain and suffering it has been a party to.

Going to zero. Day traders can drive it up and down all they want but in the long run (technically the short run because it's only a few months away) this puppy will mostly likely drop to zero after the government reveals it's plan to wind down FRE and FNM in February.

Going to zero. Don't follow the surge. Its a trap.

Okay, denial time is over, and it's time for these guys to lose at least half their "value" again.

If you bought this for more than 50 cents, then you overpaid. Time to ask for a refund.

This recent rise is only a result of a unsustainable bull market.... the fall is coming.

HAHAHAHAHAHAHAHA! Are you Kidding me?? Someone with alot of money to burn must have a good sense of humor.

Trash

Deep debt. Much tighter regulation.

Junk stock + 50% gain = Mean price correction. I'll guess a lower target of 0.80.

OK, it's going to be hard to underperform the market in the near term, but FNM and FRE are bid up on pure speculation that they will be worth something, to someone, at some point.

Obviously the gub'ment isn't going to let these two entities stop doing business. But the idea that common stockholders are going to receive anything at any point in the future is absurd. After the Fed, the senior debt holders and the preferred shareholders, what on earth is going to be left.

Having said that, there's a lot of momentum driving these two up and down. With short selling banned in these stocks they downward pressure is off, but look for that to reverse in the coming weeks (assuming the ban is eventually lifted.)

I'd be a buyer below $.25 in the near term, and a seller above $1.50.

ECONOMY