Replies to post #287169 on Fannie Mae-No Politics (FNMA)

[Donotunderstand]

Pats

ok

F and F will likely lose their GSE lower cost borrowing advantage

F and F will likely lose the ability to hold a book of PLMBS with high profit on assets

Any GOV re re re re insurance will be equivalent to all players

so F likely to make a tad less than before as more companies will be encourage to compete - and the three items above leveling the playing field

please accept that as logical

why would F go to prices never seen before on anticipated lower profits ? did F ever hit 234 --

ok - my logic - F will come private but not as a duoploty - i.e. it will earn less

price in past hit high of 80 ? --- why would it ever hit 234 today

[Patswil]

P/E @ 17==makes PPS $234.48
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PPS should be $234.00 $16bill/1.16X P/E 17==$234.00

$16Bill Annual REv/1.16 bill shares X 17 P/E= $234.00

They could have a 5/1 forward split, ($46.80 pps)then we could rake in dividends for a few years,

This calculation was made prior to the recent revelations regarding the $61 billion DTA's...so perhaps it could be higher---anybody got anymore thoughts?