Fannie Mae-No Politics (FNMA)

[Donotunderstand]

I agree that new equity will want a bigger piece of the pie here, and will demand so at a discount to fair value (call it 20-25% discount). They aren't signing up to pay $100b in recap to get $100b of equity at 10-12 p/e. They would probably want access at 6-8x P/E (thats what I would demand as a new recap investor for the reasons you mentioned in your post).

so - as I recall - for years - but years ago ? -- your argument was that new investors would get us current common equity to pennies to accomplish the above

I wonder - if indeed new owners want a sweeter deal - and to know they will not be in court with uncertainty for 10 years plus --- the eaiest route to such a "bargain" is to put the price at around $10 for 4B shares and thus the $10 is what we have too and everyone has a stock that should run up to $15-$20 in good years

??

yes the SP needs to be marked down to near zero or say by 70% as picked from my arse %