Sep. 11 at 7:57 PM
Freddie Mac and Fannie Mae shares have more than tripled this year on hopes the Trump administration would resolve questions about their government conservatorship. Deutsche Bank sees further upside, with price targets of
$20 for Fannie Mae and
$25 for Freddie Mac, but warns of potential dilution during recapitalization. Shares rose 9.6% and 11.7%, and recent government statements suggest possible partial sales to the public. Key issues remain unresolved, including converting Treasury senior preferred shares to common stock, which could dilute existing shareholders.
$FMCC $FNMA