Fannie Mae-No Politics (FNMA)

[robert peebles]

Having worked in the public/private finance division of a major Brokerage, the market will move the stock price to a level that they feel the companies valuation would be comparable to.

BAC/WFC trade at roughly 2x sales

WFC has $334 billion of debt of which $23 Billion is preferred stock

FMCC has $73 Billion in sales so it should trade at a mkt cap of $146 Billion
If FMCC sold 8.3 Billion shares at $15/share to new institutional/public holders, it would raise $125 Billion of new capital.....adding back the current 650 million shares......you'd be at 9 billion outstanding shares with a mkt cap of $135 Billion

point being the stock should rise to approx $15-16/share