Fannie Mae-No Politics (FNMA)

[Donotunderstand]

step by step

prior high is 1.2 billion shares .... or say 90B

at the time - they did not have 75B of FREE cash -

So lets give that some value - say 10B of prior capitalization peak (which IMO is modest)

100B past peak

where a stock is exiting a unique - one of a kind situation - the new offering will have no relation in price to the prior day - IMO

yes - 100B is needed

there are 1.2B shares

they issue 4 B shares (they can choose the #) at 20 bucks

based on earnings of 10 Billion a year that is about 2 bucks a share (5B shares rounded) in earnings on top of 75B in cash - free cash

Why would 2 bucks a share in earnings not come with a 20 buck price