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Fannie Mae (FNMA)

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Fannie Mae
Web Site: http://www.fanniemae.com

About Fannie Mae:

The Federal National Mortgage Association, commonly known as Fannie Mae, is a stockholder-owned corporation chartered by Congress in 1968 as a government-sponsored enterprise (GSE), but founded in 1938 during the Great Depression. The corporation's purpose is to purchase and securitize mortgages in order to ensure that funds are consistently available to the institutions that lend money to home buyers.

On September 7, 2008, James Lockhart, director of the Federal Housing Finance Agency (FHFA), announced that Fannie Mae and Freddie Mac were being placed into conservatorship of the FHFA. The action is "one of the most sweeping government interventions in private financial markets in decades". As of 2008, Fannie Mae and the Federal Home Loan Mortgage Corporation (Freddie Mac) owned or guaranteed about half of the U.S.'s $12 trillion mortgage market.

Conservatorship and Treasury Agreements:

In September 2008, through the Federal Housing Finance Agency (FHFA), Fannie Mae entered into an agreement with Treasury, which was amended in May 2008. In return for the consideration and fees detailed in the agreement, Treasury has committed to provide up to an aggregate of $200 billion in funds to Fannie Mae, as needed on a quarterly basis, to correct any deficiencies in FNM's net worth, and ensure FNM will continue to provide liquidity and support stability in the housing market.

The impact of conservatorship and the agreements with Treasury on Fannie Mae's business and financial results are detailed in the 2008 Form 10-K and the Form 10-Q for the first quarter of 2009, available under "Results and Filings."

Fannie Mae reported net income of $4.5 billion and comprehensive income of $4.5 billion for the second quarter of 2018. This compares to net income of $4.3 billion and comprehensive income of $3.9 billion for the first quarter of 2018.

Fannie Mae expects to pay a $4.5 billion dividend to Treasury by September 30,2018.  Through the second quarter of 2018, the company has paid $167.3 billion in dividends to Treasury.

Fannie Mae’s pre-tax income was $5.6 billion for the second quarter of 2018 and $5.4 billion for the first quarter of 2018, reflecting the strength of the company’s underlying business fundamentals.

FNMA Net income $68.8 billion in the first half of 2013


We recognized comprehensive income of $69.6 billion in the first half of 2013, consisting of net income of $68.8 billion and other comprehensive income of $820 million . In comparison, we recognized comprehensive income of $8.5 billion in the first half of 2012, consisting of net income of $7.8 billion and other comprehensive income of $690 million .

Q2 filing , page 3,


As of June 30, 2013 , there were 1,158,077,970 shares of common stock of the registrant outstanding. 


FNMA net profit per share: 59.4 dollars




As of 6/29/2018 FNMA/FMCC have paid 279 billion dollars to US government in dividends and received 191 billion dollars in US Treasury draws.


WSJ~ monster news out!~ HEDGE FUND Fairholme Fund May Increase Bet on Fannie, Freddie

Manager Bruce Berkowitz believes Fannie and Freddie are undervalued.


Bruce Berkowitz, a mutual-fund manager with a history of bold bets, is doubling down on a risky wager that the U.S. government ultimately will sell mortgage giants Fannie Mae FNMA +7.32% and Freddie Mac FMCC +9.65% back to private investors.

Mr. Berkowitz is reopening his $8 billion Fairholme Fund to look for new investment opportunities, including potentially increasing his stake in Fannie and Freddie, Mr. Berkowitz said in an interview with The Wall Street Journal.

Mr. Berkowitz said he continues to believe Fannie and Freddie are a "very important element of the U.S. economy" and undervalued. "We haven't found a way to disprove our thesis about Fannie and Freddie," he said.

The investor's comments come less than 10 days after a speech by President Barack Obama that was dismissive of the idea of again giving control of Fannie and Freddie to investors.

Mr. Berkowitz, founder and chief investment officer of Miami-based Fairholme Capital Management, disclosed in June that he held a position in Fannie and Freddie.

Fannie Mae and Freddie Mac have become enormously profitable, buoyed by a federal backstop, an improving housing market and little competition from private investors. Last week, Fannie and Freddie reported second-quarter profits of $10.1 billion and $5 billion respectively.

Over the past year, hedge funds and other investors have bid up the shares, once considered worthless. But those are effectively political and legal bets, not financial ones, because Fannie and Freddie's bailout agreement doesn't allow them to pay back the government, meaning they can't emerge from government control without action from Congress or the Treasury Department.

Several investors, including Fairholme, sued the U.S. Treasury last month to challenge the government's bailout terms, which allow taxpayers to recoup all of the companies' profits.

The Fairholme Fund holds about 6.9% of its portfolio in the two companies, a position valued at $566 million as of May 31, according to the company. The fund, which closed on Feb. 28, will reopen Aug. 19.

For Mr. Berkowitz's bet to pay off, he and other investors need one of two things to happen: persuade Congress and the White House to revamp or liquidate Fannie and Freddie in a way that will preserve value for the shares, or win a fight in court.

Bills introduced in the House and Senate would liquidate the companies as part of a broader mortgage-market overhaul. Last week, President Obama weighed in, saying the country "couldn't have a situation in which the government" would backstop all of the loans made by "these quasi-private institutions, and then if things go wrong, suddenly taxpayers are on the hook."

"Each of the major decision makers who has weighed in on this…has said emphatically and repeatedly that they will not allow these shareholders to be paid off," said Jim Parrott, a former White House housing adviser. Without a successful legal challenge or "an entirely different set of decision makers," he said, "your bet faces mighty long odds."

Mr. Berkowitz said he doesn't take that view.

"I think common sense will prevail," he said. "There's a huge win out there for all constituents—the taxpayers, homeowners and preferred shareholders."

Under mutual-fund regulations, Mr. Berkowitz could invest up to 25% of Fairholme's portfolio each in Fannie and Freddie, although he has no plans to reach that maximum amount as it would require him to downsize his other positions, he said. A more realistic scenario would see him increasing his position to about 5% each of the portfolio, or a total of $800 million based on the value of the shares today, he said.

Mr. Berkowitz is no stranger to unpopular bets.

He bought into American International Group Inc. AIG -2.12% in the first quarter of 2010, when the insurer was trading in a range of $22 to $34 a share, and when many investors were still shying away from financial stocks. AIG was trading late Thursday at about $47. He eventually accumulated a position of 86.1 million shares, making Fairholme Capital Management —the management company of the Fairholme Fund—AIG's largest investor as of June 30, according to the company.

"The seeds of great performance are usually sown in times of intense fear after a disaster," Mr. Berkowitz wrote in an October 2011 letter to investors.

The bet didn't initially pay off, and investors pulled billions from the fund as performance plunged.

By 2012, as the share prices of AIG and other financial stocks rose, the fund rebounded, posting a yearly return of 35.8%, compared with 16% for the Standard & Poor's 500-stock index. Fairholme is up 21% this year through Aug. 14, compared with 19.8% for the S&P 500.

After the government seized Fannie and Freddie, it agreed to inject vast sums of aid in exchange for a new class of stock—so called "senior preferred" shares—that initially paid a 10% dividend. It also received warrants to acquire 80% of the common shares; it didn't assume full ownership to avoid bringing $5 trillion in assets and liabilities onto the federal ledger.

Few saw any value in those shares after their collapse, but some investors, including hedge funds Perry Capital LLC and Paulson & Co., began buying the preferred shares at deep discounts.

The government upended investors' positions last year when it amended the terms of its rescue. The revamped bailout doesn't require any dividend payment when the firms lose money, but when they turn a profit, all of those earnings are sent to the Treasury as dividends.

Fairholme's lawsuit challenges those terms. A Treasury spokesman said, "We fully believe our actions have been lawful and appropriate."


Most Recent financials Results

Mar 31, 2012 Net Income 2,718,000,000 dollars

Jun 30, 2012 Net Income 5,119,000,000 dollars

Sep 30, 2012 Net Income 1,813,000,000 dollars

Dec 30, 2102 Net Income 7,570,000,000 dollars

March 31, 2013 Net Income 58.7 billion dollars 

June 30, 2013  Net Income 10.1 billion dollars

March 31, 2018 Net Income 4.3 billion dollars

June 30, 2018 Net Income 4.5 billion dollars


Fannie Mae CEO:  We will have strong profits for the foreseeable future

By: Bloomberg TV interview | Thu, Apr 11, 2013

In his first TV interview since the company reported record profits, Fannie Mae (FNMA) CEO Tim Mayopoulos told Bloomberg TV's Peter Cook today that U.S. taxpayers could see a net gain from their bailout as the housing market rebounds. Mayopoulos said, "I do think, given the strength of our future profitability, that it is possible that we will be able to pay dividends that would be equal to or greater than the amount of money that we've received from the Treasury Department."

Mayopoulos also said, "There is a risk that policymakers will look at our profitability and say we don't need to act on this soon. I think that would be a mistake. There needs to be clarity about what the future of the housing finance system is going to be."

Mayopoulos on Fannie Mae's turnaround:

"We are obviously pleased with the turnaround and from our perspective. This is not something that miraculously came upon us. This is the result of four plus years of work that we've been doing at Fannie Mae. We've really been very focused on building a new book of business that will be profitable. We've been managing the legacy book to minimize losses and we've been focused on pricing appropriately for the risk that we take. While it probably seems like a very sudden turnaround to those outside the company, for those inside the company we've been working on this for years to try to get to this place."

On whether the profits are sustainable over the long-term:

"We do think that we will have strong profits for the foreseeable future. The degree of confidence about that varies the farther out you go because we can't predict the future years out, but for the next few years we expect clearly to be profitable."

On whether taxpayers could earn a profit on their investment in Fannie:

"We are paying substantial dividends to taxpayers, so the company received payments from the Treasury of $116 billion. So far we have paid dividends in excess of $35 billion. I do think, given the strength of our future profitability, it is possible that we will pay dividends that will be equal to or greater than the amount of money that we have received from the Treasury department."

On whether the debate for the government to replace Fannie Mae will happen sooner rather than later:

"I'm not sure if it will happen sooner rather than later. I do think there is a risk that I think people should not accept, but there is a risk that policymakers will look at our profitability and say we don't need to act on this soon. I think that would be a mistake. There needs to be clarity about what the future of the housing finance system is going to be. I think the sooner we get there, the sooner private capital is likely to come back to this market."

On whether the reality is that the better Fannie Mae does, the sooner it goes away:

"That's one possibility. I think what our return to profitability does is allow policymakers to think about a full range of potential outcomes. They don't have to start with the assumption that creating some successors to Fannie and Freddie necessarily means that we have to accept hundreds of billions of dollars of losses for taxpayers. I do think the taxpayers may well receive their money back. I think what this has done is freed policymakers to think about what the full range of possibilities should be. There is a lot of debate about that, but I think the key is getting to an answer in the foreseeable future because no matter what you think the future housing finance system should look like, everybody agrees that at the moment the taxpayer shouldn't be on the hook for 90% of the market. Between Fannie, Freddie and FHA, the taxpayers are guaranteeing 90% of all the mortgages that are being written across the country. That doesn't make sense no matter what you think the future of the housing finance system should look like."


Catch the full interview this Sunday on "Capitol Gains," airing at 11:30 am ET on WUSA9 in Washington and nationally on Bloomberg Television at 12 pm and 5 pm ET.



FNMA Security Details
Share Structure
FNMA Security Details Other Company Securities
Share Structure
Market Value1 $844,238,840 a/o Apr 12, 2013

Shares Outstanding


a/o Feb 28, 2013

Float Not Available
Authorized Shares Not Available
Par Value No Par Value
Shareholders of Record 14,000 a/o Apr 02, 2013
Corporate Actions
  Ex. Date Record Date Pay Date
Dividend () Jul 29, 2002 Jul 31, 2002 Aug 25, 2002
Security Notes
  • Capital Change=shs increased by 4 for 1 split. Ex-date=01/16/1996. Rec date=01/08/1996. Pay date=01/12/1996.

Short Selling Data
Short Interest 18,686,843 (19.95%)
Mar 28, 2013
Significant Failures to Deliver No
Transfer Agent(s)




March 7, 2013

News Release - Americans Expect Home Prices and ...

Consumer attitudes toward the economy and housing continue to diverge
this winter, according to Fannie Mae's February 2013 National Housing Survey ...

March 5, 2013

News Release - Fannie Mae Announces STAR Program ...

Today, Fannie Mae (FNMA/OTC) announced Servicer Total Achievement and
Rewards™ (STAR™) Program's Scorecard results for 2012.

February 12, 2013

News Release - Fannie Mae Announces New HomePath for ...

Expanded tool will help prevent foreclosures and stabilize neighborhoods.

February 7, 2013

News Release - Consumer Housing Sentiment Continues to ...

Increasing confidence in home sales and an improved sense of job security
provide further evidence of the strengthening of the housing market, according ...

February 4, 2013

News Release - Fannie Mae and its Lenders Finance $33.8 ...

Fannie Mae provided $33.8 billion in financing to the multifamily market
in 2012, the third highest acquisition year in its history.

January 31, 2013

News Release - Fannie Mae Extends Help for Homeowners ...

Fannie Mae will extend the suspension of foreclosure sales and eviction
lockouts for borrowers impacted by Hurricane Sandy.

January 7, 2013

News Release - Americans Continue to Expect Growth in ...

Fiscal Cliff Debate Appears to Rattle Overall
Economic and Financial Confidence.

December 10, 2012

News Release - Improving Consumer Attitudes Suggest ...

Despite continued uncertainty surrounding the fiscal cliff, Americans are
showing increased confidence in the housing market and the direction of the ...




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PlusOneCoin Top Posts
#480678   Not valid comparisons. FnF already paid money "borrowed" Guido2 11/09/18 10:01:15 PM
#481212   You don't trust that Moelis & Co. did RuudG 11/14/18 03:45:47 PM
#481022   Holy Smokes! The Moelis V2 endorsements are coming Commons_Cancelled 11/13/18 04:04:47 PM
#481212  Sticky Note You don't trust that Moelis & Co. did RuudG 11/14/18 03:45:47 PM
#470579  Sticky Note THERE IS ONE ABIDING REASON WHY MOELIS FAILS YanksGhost 08/14/18 05:57:25 PM
#457234  Sticky Note Hey Amelia that was a great question which RickNagra 04/17/18 09:46:55 PM
#392960  Sticky Note Fannie Mae stock would support $30/share with GSE not one red cent ~NORC~ 03/01/17 03:48:41 PM
#382828  Sticky Note Many of you here seem to be of IH Admin [Edward] 01/31/17 10:34:29 AM
#481293   Check out slide 5 here - http://gsesafetyandsoundness.com/2018/11/09/presentatio RuudG 11/15/18 08:15:55 AM
#481292   The Delaware case was certainly not expected by YanksGhost 11/15/18 07:35:53 AM
#481291   ***MOELIS MATH IS MOSTLY FROM MAGIC MUSHROOM MINDBENDING*** YanksGhost 11/15/18 07:33:30 AM
#481290   The Delaware case was expected. Latergater 11/15/18 07:31:03 AM
#481289   This is great news, too bad it came Golfbum22 11/15/18 07:21:43 AM
#481288   [pre] navycmdr 11/15/18 07:19:13 AM
#481287   Please read what you excerpted from HERA on YanksGhost 11/15/18 07:10:06 AM
#481286   I pray you're right. The wheels of Patswil 11/15/18 06:52:43 AM
#481285   You must still live in your parents basement. KenKong 11/15/18 05:51:50 AM
#481284   This bleeding has to stop. I'd feel wil318466 11/15/18 12:17:18 AM
#481283   Agree. Alex333 11/14/18 11:53:56 PM
#481282   Very secure in my decision to buy a Mr Breezy 11/14/18 11:22:59 PM
#481281   You're welcome. I appreciate all you do as well. Release us 11/14/18 11:18:37 PM
#481280   5th circuit is conservative. :-) Release us 11/14/18 11:17:18 PM
#481279   Thanks for sharing. Guido2 11/14/18 11:13:34 PM
#481278   looking so forward to that! thanks RCChristian 11/14/18 11:09:48 PM
#481277   More on 5th circuit Release us 11/14/18 10:39:20 PM
#481276   ROLG on 5th circuit en banc Release us 11/14/18 10:35:00 PM
#481275   Someone post full article atlanta42 11/14/18 10:05:43 PM
#481272   Concur Clark6290 11/14/18 09:28:39 PM
#481271   "Don't really care " bcde 11/14/18 09:26:46 PM
#481270   Common shareholder rights remain the exclusive property of kthomp19 11/14/18 09:25:04 PM
#481269   The charters do not mention an authorized share kthomp19 11/14/18 09:21:50 PM
#481268   Incorrect, any realist will tell you the court Clark6290 11/14/18 09:20:57 PM
#481267   It's been uncanny. Good news has been followed Release us 11/14/18 09:19:39 PM
#481266   Disagree Clark6290 11/14/18 09:19:17 PM
#481265   Don't really care Clark6290 11/14/18 09:18:12 PM
#481264   "It's none of my business as I am bcde 11/14/18 09:14:55 PM
#481263   Well let’s think who loves the price to Barrario 11/14/18 09:03:55 PM
#481262   It's none of my business as I am Guido2 11/14/18 08:57:38 PM
#481261   Did anyone notice? Golfbum22 11/14/18 08:49:39 PM
#481260   This could be Trumps best play ever. Golfbum22 11/14/18 08:45:43 PM
#481259   "The Man of Steele was just creating billable bcde 11/14/18 08:42:06 PM
#481258   Correct! KenKong 11/14/18 08:21:16 PM
#481257   Concur, lower lows unless action is taken Clark6290 11/14/18 08:05:33 PM
#481256   Yeah, okay just like last week. Clark6290 11/14/18 08:04:58 PM
#481255   It’s coming! Life is good!! Barrario 11/14/18 07:52:49 PM
#481254   It’s showtimeeeeeeeee!!!! https://twitter.com/politicopro/status/106282701035381 Barrario 11/14/18 07:52:09 PM
#481253   Price and volume would be leading us to altruism 11/14/18 07:40:03 PM
#481252   The charters do not mention an authorized share YanksGhost 11/14/18 07:39:47 PM
#481251   "Adviser: White House to address housing finance ‘in RCChristian 11/14/18 07:29:07 PM
#481250   Common shareholder rights remain the exclusive property of YanksGhost 11/14/18 07:29:00 PM
#481249   If the so called moelis plan can get FireMechanic 11/14/18 07:08:43 PM
#481248   It will appear in the form of moelis Latergater 11/14/18 06:57:14 PM
#481247   BREAKING NEWS! White House To Address Housing Finance https://twitter.com/polit CatBirdSeat 11/14/18 06:49:18 PM
#481246   LOL - the mythical FNMA warrant letter will stockprofitter 11/14/18 05:57:59 PM
#481245   I have additional insight on authorized share count kthomp19 11/14/18 05:52:56 PM
#481244   so did I Donotunderstand 11/14/18 05:51:54 PM
#481242   Note I can agree that some one should go Donotunderstand 11/14/18 05:50:10 PM
#481241   Who has common shareholder rights? Latergater 11/14/18 05:46:52 PM