Fannie Mae-No Politics (FNMA)

[PhantomEnchanter891]

Broad strokes 2B combined FNMA/FMCC shares.

Govt. then would have 8B shares.

In order for the companies to be worth $500B, with 10B shares, that is $50.

Long way from there, but Ackman stated $42.

Now, just how do they get $50?

$25B combined income and 20 P/E. 20 P/E might be a stretch! Maybe they somehow get more juice on the income side?

Your point is well-taken. AT CURRENT PPS the companies are no where near $500B (not even $100B).